23rd June 2017 at 12:00am
Is ‘Fintech’ just another buzzword or a tech-smart solution to managing our finances?
Fintech, or financial technology to give its full name, has been around for a long time now and we all benefit from it. Some of it behind the scenes bathed in technological wizardry, and some of it ingrained in our daily lives.
What is fintech?
It combines the merging of a traditional, regulatory-led industry such as banking and combines it with the fresh ideas and tech know-how and passion of young technology companies. For example, the familiar cash or credit card is fintech because it involves using technology to provide financial services. So if you’ve ever drawn money out of an ATM, you’re a fintech user.
And what’s fuelling this revolution?
Since the dawn of the commercial internet era in the 1990s, rapid advances in digital technology have transformed the way we live our lives, communicate, work and do business. And we now expect to handle financial affairs as easily and conveniently as our email or Facebook page.
So this has become very much a consumer-led revolution, people are increasingly harnessing new technologies because it’s fast and convenient, allowing them to manage their money when and where they please.
A report from The British Bankers’ Association (BBA) echoed this sentiment. It found that through the use of digital technology we’re in contact with our bank more than ever before. And first-time customers now favour mobile apps more than banks’ websites.
Consumers favour apps over websites
And it would also appear that there can be health benefits too. Fintech could reduce stress. The BBA report also highlighted some research by Lloyds Banking Group, which found 86% of people who manage their money online worry less because they find it easier to keep track of their finances. Which is great news!
Fintech could reduce stress
Take more control over you financial life
Fintech now presents a huge opportunity for businesses to be ever more customer focused. For us, integrating the latest digital innovation into our processes to offer customers slick and easy ways to engage with their finances, whether it’s online or on the go, is business as usual.
The development of features like our customer dashboard and mobile apps are not only down to fintech innovation and ingenuity, but come as a direct result of this growing consumer trend and customer expectation.
A step in the right direction
Bridging the gap between the tech and traditional sides of the finance coin, fintech has come as a breath of fresh air to the financial industry.
Your financial decisions and activities – budgeting, spending, saving, investing, retirement planning – affect your financial health both now and in the future.
And while it used to be challenging, to say nothing of tedious, to keep track of all of your financial activities, today’s technology can help make these chores quick and easy.
This blog and any responses to comments should not be regarded as financial advice and is based on our understanding in June 2017.