The Future of Mobile Banking Apps
Might one consider patronizing a bank devoid of a mobile banking application? The collective response would likely lean towards the negative, and a recent survey conducted by Kasasa reaffirms this, indicating that a significant 65% of millennials would readily switch banking institutions in pursuit of a superior mobile experience.1
Financial technology, or fintech, which includes mobile banking applications, has evolved beyond a mere convenience for balance inquiries. Instead, these apps are swiftly becoming an integral aspect of the overall banking experience, with consumers heavily weighing this factor when selecting a financial institution.
In light of the intense competition within the banking sector, this consumer-centric focus on mobile banking experience has catalyzed the development of novel and unique features, as banks strive to outshine competitors in the mobile banking arena.
Future Prospects of Mobile Banking Applications?
It is reasonable to anticipate that mobile banking applications will continue to offer more comprehensive features, enabling us to conduct a greater portion of our banking activities independently, using our mobile devices. Innovations are expected in the domains of banking services, mobile banking security, and customer service.
Furthermore, an emerging trend reveals banks introducing "stand-alone" applications boasting unique features, often catering to a particular segment of their customer base and serving as a platform for the swift experimentation of novel concepts.
Emerging and Forthcoming Features in Mobile Banking Applications
Cardless ATM Capabilities
An emerging feature gradually making its way into various banking applications is the cardless ATM function. This feature bolsters ATM transaction security, as mobile phones typically incorporate built-in security measures like biometrics and passwords.
The ATM card can safely remain at home, and should one's phone be stolen, the thief would face several security hurdles before accessing the ATM, rather than just needing to know a PIN.
Banks are adopting various approaches to implement this feature. Some generate an instant code via the application to be entered alongside the PIN, while others utilize the phone's camera and beacons.
NoteThis feature has been progressively introduced over the past few years and is gaining traction among major banking institutions.In addition, various mobile banking alerts can be configured on one's mobile device to flag any unusual or suspicious activities.
Customer Service
The act of dialing a phone number for assistance is a relic of the past. A growing number prefer seeking help through a messenger or on-screen chat, thus making way for virtual banking assistants.
These digital assistants, such as Ally Assist from Ally, Eno from Capital One, and Erica from Bank of America, can currently respond to consumer inquiries about their bank accounts.
With advancements in machine learning, these applications are projected to evolve into advisors for customers, potentially alerting them when they are at risk of overspending and offering suggestions on how to manage their expenses.
Additional Stand-Alone Mobile Banking Applications
Another significant trend anticipated in the future of mobile banking is the advent of spin-off applications. These are stand-alone applications that banks deploy to experiment with new app features and offer innovative services to specific segments of their customer base.
The Road Ahead for Mobile Banking Applications?
As technology continues to advance and smartphones introduce more features, alongside the development of new applications outside the banking industry, the online banking app sector is expected to witness increased innovation.
Features such as card controls—enabling the activation or deactivation of a debit or credit card, savings applications—functioning similarly to Fifth Third's Momentum but for savings, and the capability to apply for accounts and personal loans via one's mobile device, will likely become increasingly commonplace.
Moreover, it is likely that new features aimed at enhancing banking security, personalizing the banking experience, and simplifying the process will be developed. While it remains uncertain what these applications will look like, the prospects are certainly intriguing.
Banking applications, when well-designed and embedded with novel and avant-garde features,possess the potential to integrate banking seamlessly into the fabric of our daily lives. Such a prospect carries a highly positive connotation. It underscores the evolution of mobile banking from a tool of convenience to an instrument of empowerment, granting us the freedom to manage our financial affairs on our terms, from the comfort of our mobile devices.
As the digital banking space continues to evolve and expand, it will not only transform the way we interact with our finances but will also shape the future of the financial industry as a whole. The advent of new technology and the incorporation of innovative features will continue to redefine the boundaries of what is possible within the realm of banking.
Indeed, the promise of a more seamless, personalized, and secure banking experience is enticing. However, it is equally crucial to remember the importance of vigilance and prudence in this rapidly evolving digital landscape. As we enthusiastically embrace the future of mobile banking, let us also remain mindful of the need to safeguard our financial assets and personal information in this digital age.
The future of mobile banking apps is poised to be not just exciting but transformative. As we look ahead, let us anticipate these changes with an open mind and a keen sense of curiosity, ready to embrace the new and the innovative in our continuous quest for a better, more efficient banking experience.