“Technological innovations will be the heart and blood of the banking industry for many years to come and if big banks do not make the most of it, the new players from Fin-Tech and large technology companies surely will.” – David M Brear
For a long period of time, the finance and banking sector was using the traditional way of making money and being profitable but all these are changing due to the emerging technology. The sector has experienced huge number of innovation within the financial world for the past 5 years and all these changes that have emerged are bringing progress and advancement in the way things were done in past.
Banking was something which was previously done in a non-virtual world. We go to the bank to withdraw money, transfer funds from one place to another, a huge queue would be maintained for paying bills and fees. However, these kinds of practices are no longer followed by many people as the new technology has made things easier. Online banking is getting into the action by a huge crowd daily as we can transfer money or pay fee only by clicking a button. No longer the people want to waste the time in waiting and standing in long queues. We are living in a time where we carry bank accounts on phones, computers and tablets
With the help of technology, banks can reach out to more customers and provide better services to them. Also, it helps them function in an organized and in a secure way. We have ATMs, digital wallet, mobile banking and online banking that has reduced half of the work we do. All these new technologies are becoming advanced day by day which will make our banking experience much easier.
We could discuss some of it as when I consider Mobile banking then it a service made available for customers to perform a transaction through their mobile phones so no need to rush to the bank each time. Also, automated teller machines have come into existence which is a computerized device that allows financial transaction in a public place all other facilities like account balance check and transfer of money is also made easier by the use of it.
Internet banking is another way through which our task is to minimize means conducting a financial transaction through a website. In this, the customer accesses the account through the server and then proceed for various services like online trading, online bill payment, shopping etc. These emerging technology has changed everything from paper and pen to computer and mobiles.
The banking industry is one of the main sectors of a country that actually use a huge amount of computerized records and thus it’s proof that technology is helping us in this sector. These technologies have several advantages. At the same time, the development in communication technology made technology execution easier as it became inexpensive to network bank. By the use of these, the sectors are achieving good reviews, customer satisfaction and timely and easy services.
There are several physical equipment’s that make the leading technology used in finance and banking possible this includes computers, communication equipment and network, fax machines, and even pocket organizer. The information on the systems is organized so that the task could be easily understood and executed. These things are new and a little bit time should be used to understand it but for that, there are tutorials made to be followed by ordinary people.
In the banking sector technology has revolutionized the industry as it has changed the way people live and work. This has increased productivity from improved efficiency and also brought a new form of the working mechanism. It is not only the customers who are getting benefit out of it but also the employees as for now the workload is less due to less paperwork. The mechanism of self-inquiry service has reduced the working hours. Now the customer can directly login via the self-made password and username and perform the required action via the internet with the use of one-time password(OTP) generated in registered phone numbers. Networking of computerized branches permits customers to transact from any branch through intra-city connections.
Due to technology now banks can multitask. Transactions are updated in real-time. With technology, there are several inquiry facilities, which assist the bank in business development and follow up. Also, the repeated inquiry is arranged in the form of FAQS for easy access through the online portal only. For this, the questions are analyzed.
In addition to that now the generation of reports and financial statements is done automatically. There is increased in productivity due to the automatic balancing of accounts and interest calculations. Now the messages are sent to the customer mail and number about new interest rate going on. Even there is automatic printing covering schedules, deposit receipt, passbook free the employees from these time-consuming works and enable them to work towards customer need.
There are some issues which are however creating some negative thoughts upon using these technologies on banking and finance which are cases of cyberattacks where the bank’s systems are hacked and money is been transferred through networks of overseas accounts making it hard to track.in such kind of situation the technology seem to be a fault as computers are machine and being reliable on it completely is dangerous but new technologies which are coming would overcome these problems.