1. Increase of Digital and Neo banks.
The financial sector has previously been monopolised by more conventional banks which have established and maintained a more guarded approach to accessibility within the market. According to Buckzy Payments Inc., due to increased digitisation globally, we can “expect digital banking to move ahead of in-store services”.
2. Global payments in ”real-time”.
Around 50% of payments outside of the US already happen in real-time with the US (currently at 40% real-time payments) set to follow suit in coming years, according to Levvel Research. In today’s fast paced climate, the need for instantaneous payments both locally and globally has increased in demand. This is not just for convenience but as a way for businesses to maintain a competitive edge whilst also reducing the risks associated with payment failures.
3. Open banking.
In recent years, especially due to the global pandemic, we have become more dependent on the digitisation of our banks in the form of access to self-service banking and digital payments. Open banking provides a way for financial institutions to offer payment services which use “an API enabled [and] technology driven approach” to collect and verify customer data.
4. Artificial Intelligence (AI) and Machine Learning (ML).
Multiple financial institutions and service providers use AI or ML to streamline the speed and effectiveness of their decision making. This can be anything from loan approvals to projection of investments to Anti-Money Laundering (AML) monitoring and prevention.
5. Banking-as-a-Service (BaaS).
Over the course of the past few years, BaaS have arisen as an evermore popular way of creating more affordable and streamlined financial services in collaboration with the potential of open banking. According to Buckzy Payments Inc., “banks must adopt to a service-oriented and composable/modular architectural approach in the delivery of new and innovative digital services… Expect many more legacy financial institutions to collaborate with fintechs by using BaaS services to bring innovative tech in-house and enhance their own offerings”.
Wallet Max is a mobile app providing a seamless digital wallet with all credit cards and cash rewards in one place, and enabling financial wellness and inclusion. Wallet Max helps customers to optimize their shopping experience by proactively selecting and saving on personalized discounts from local stores and preferred product categories in real-time.
You can read the full article by Buckzy.com here.