Technology has changed the banking industry in a big way. It has made your money more secure, it has allowed you more access to your money, and it has made banks more accountable for protecting your money. As technology improves, your financial institution is able to offer better service and more convenience for its customers. Below are six ways that technology has changed banking forever.
Customer Safety and Security
Technology has made banking much more secure than in the past. Before, a person’s account could be compromised and they would not even know until they received their monthly statement. Now, innovative technology can immediately catch suspicious activities and questions the transaction. This financial technology helps to deter identity theft and prevents the headache that comes when a criminal drains your account.
Easy Transfers
Going out to eat or planning a trip with friends used to be very stressful because of the hassles involved in paying each other back or splitting the checks. Technology has now practically eliminated the need to owe someone money because it’s possible to send money instantly. There are now an abundance of different apps to choose from to transfer money and a majority of them are free to use. Friends and family can transfer each other money with the simple push of a button, so it’s no longer necessary to wait for a check in the mail or pay someone back when you finally get the chance to hit the ATM.
More Competition
Technology has created more competition between banks, which has ultimately improved the banking experience. Companies like PayPal and Venmo have disrupted the industry by providing an opportunity to pay people online. Banks had to catch up to this trend, so now it’s even more convenient to transfer money to friends, family, or even vendors.
Constant Connection
There’s little excuse for a person not to be always connected to their bank account information. Almost all American banks now have apps and mobile websites, so a person can log in from basically anywhere with their data service or the internet. You will always know exactly how much money you have in your account, whether your most recent transaction was correct, and whether there are suspicious transactions on your account.
This kind of technology can come in handy during so many situations. If you see suspicious activity on your account, you’re able to handle it right away, rather than having to wait for a monthly statement to come in the mail. Additionally, you never have to wonder if you can afford a big purchase you’re going to make or worry about your card declining.
Customer Service Innovations
These days, people are much less likely to step foot into the traditional brick and mortar bank. Many customers prefer convenience over personal interactions. Online bank chats have completely disrupted the customer service industry for banking. People don’t need to sit on hold and wait for a representative or drive down to their bank. If they have quick questions about their account, they can hop online and chat with an agent in a secure way.
Gone are the days of having to wait in line to deposit your check at the counter or rush to get to the bank before they close. You’re now able to communicate with your bank from anywhere, at any time.
Business Payment Methods
Banking technology has made it easier for small businesses and people to accept credit cards. Businesses and individuals can add an extension to their phone or tablet and receive credit card payments without having to buy bulky point of sale machines. It’s easier for a small business to get going since they don’t have to spend as much money to accept credit card payments, and customers appreciate not having to carry around cash when they shop with these vendors.
Your money is incredibly important and needs to be safe. With emerging technology, you have to worry less and less about whether your money is protected and accessible.
Kidal Delonix is a contributor to Mr. Hoffman's blog. The views and opinions are entirely his/her own and may not reflect Mr Hoffman's views.
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