Here’s why The Digital Banking Platform is making a Wave in the Industry. Due to the shift from traditional banking methods to Digital Banking Platform that has made customers rely more on digital banking. Digital Banking Platform has many advantages over traditional banking method.With the surge of in user for smartphones and revolution on the internet have also led to digital banking platforms to grow.
Everyone wishes to get their work done easily without a wastage of time. Digital Banking Platform is one such platform that saves the time of the consumer from visiting the banks. If you working and find it difficult to get time to have a visit to the bank, here comes Digital Banking that helps you in getting information about your account balance. You can also plan to invest money and at the same time, can transfer the money just by a click on a laptop or phone.
Digital Banking Platform is a type of online banking service that digitalizes banking operations. This platform allows the bank to offer its customers with digital support and services. It enables the transfer of funds, loan sanctions, withdrawal and deposition of cash, and many more with the help of the internet virtually. The new, as well as traditional services and products of the bank, are directly delivered to the end-user by the Digital Banking Platform. Digital Banking Platform is also making financial works easy and more accessible for customers because of the increased use of desktop, mobile, and ATM services. All these factors are leading to a gradual shift from traditional banking to digital banking.
Digital banking platform is broadly categorized into two types, retail banking, and corporate banking.
In retail banking, bank services like savings, transactions, debit and credit cards, personal loans, etc., are provided to the customers. It mostly deals with the general public and can also be called as consumer banking. While corporate banking deals with customers having business therefore also known as commercial banking. Corporate banking provides services such as treasury and cash management, trade finance, equipment lending, etc. to the companies and the investors in the business.
For convenience digital banking platforms are classified into two that are online banking and mobile banking. Both of these modes are more or less the same with a few differences Online banking refers to taking banking services on the website of the bank from a private profile using a desktop or laptop. While mobile banking facilitates bank services on mobile apps. What one needs to do is to log in the app to use the features and facilities offered by the bank in the mobile app. Apart from general transaction services, by using mobile banking one can pay bills and also helps in locating nearby ATMs using GPS of mobile. Mobile banking is increasing in demand because of an increase in the number of users of the smartphone and a rise in cashless transactions. Apps like BHIM, Paytm, swipe machines, etc. are working for this purpose only. Both the modes of digital banking platforms provide convenience to users to manage their finance with ease.
Due to the pandemic caused by COVID-19, most of the countries were on complete lockdown for many months, people are also avoiding to get out of their home. This outbreak has a negative impact on the company’s production. On the other hand, amidst COVID-19 spread, bank operations have been hindered and tend people to rely more on digital banking platforms for their financial management. Banks are also introducing new digital tools to provide banking services on the digital banking platforms and make it services more convenient and effective for the customers.
The digital banking platforms market has been witnessing rapid growth due to a rise in the number of users of smartphones and laptops and also the internet. In addition to it, most organizations, companies, and industries are preferring to digitalize their financial services. According to the current trend, the adoption of artificial intelligence in digital banking platforms is expected to result in the growth of this market in the coming years. The introduction of AI will ensure more safety and security in the operation of digital banking and in turn, overcoming the constraints of digital banking platforms.
There are many benefits of digital banking platforms over traditional methods and thereby attracting users to rely on digital banking. In the meantime, the current outbreak of COVID-19 has a positive impact on the digital banking platforms market.