The disappearing divide between Urban and Rural
Whenever we speak of disruptive technologies and concepts like blockchain, on-demand economies and more, the focus mostly lies on the advantages they are likely to bring to the working class and cream of the society.
Any light has hardly been shared on what such technologies would do to people who really need such technologies and their associated benefits, but that’s not the case with fintech as several companies are trying to reach out to people who are in dire need of financial and banking services.
In rural and urban areas where financial challenges are real, fintech is anticipated to enter and make a difference. This is bound to happen as according to a report from the World Bank, close to 1.7 billion people still don’t have access to or are not part of a substantial financial system.
With fintech’s capabilities being just right, we could expect fintech services trends like this to expand to these market segments as well.
RPA has already happened at significant levels across fintech domains and you and we have already established contact with artificially intelligent systems capable of taking autonomous decisions. In the coming months and years, further automation is forecasted in the fintech industry to optimize efficiency and curb the introduction of errors in datasets and processes.
Manpower will be utilized for higher purposes and some of the most redundant processes like customer onboarding, security checks, reporting, compliances and more will be taken care of by the machines. Also, background verification for repayment and loans will be made more airtight with the implementation of RPA as predictive analytics can predict in detail the likeliness of an individual or a company to repay loans.
Search with voice, not text!
Voice search is the future. Many of us already have a virtual assistant in our houses and workplaces in the form of smartphones, speakers, smart gadgets and more. In 2019 alone, the number of digital assistants across the globe was close to 3.25bn. Over 72% of the people in the US use voice search to seek certain information.
With over 50% of all searches being dictated, we can tell that this is bound to seep into the fintech sector as well. As far as banking or finance is concerned, voice search could be deployed by fintech apps to execute tasks on getting credit balance, overdue, due date, request statements, initiate service requests, check market conditions for investments, pull up insurance policies, and plans and more.
Voice search can also be used by fintech brands for promotions and campaigns by targeting specific keywords. Voice search optimization can be done during fintech app development.
As technology connects more people, there are also people who prefer texts and messages over calls. This trend is anticipated to catch up in the fintech space as well. Conversational banking is what we call this implementation, where people avail fintech services by chatting with a bot, interacting with a human over emails, texts, and tickets, and then availing required services.
This interaction can happen over network-operated text messages, instant messengers, social media platforms, emails, in-app chat systems, and more. As banks and fintech companies try to humanize their brands, this will be a significant step in the process.
While the US should continue to dominate fintech investment globally, fintech hubs will likely continue to evolve and grow especially in Central and North Asia and South America.
We are working ourselves on making India the hub of ground breaking fintech technology innovations in the fields of Neobanks, Credit approval automation, Underwriting and much more.
Digital only banking/Challenger banks
We’re not talking about digital-only payments, we’re talking about virtual banks. The technology is already here, and there are a lot of benefits to be found in eschewing brick-and-mortar for the virtual world. Cloud banking and free-floating financial platforms are already changing the way people bank, and it’s not hard to foresee a day when most of the world’s banking will take place entirely online. We are already planning for tomorrow’s world of virtual banking – with our Neo banking solutions, and we look forward to helping move the fintech industry through to the next evolution in finance.
Crypto is staying, and growing
The evolution of digital ledger technologies combined with stablecoins and increasing interest in central bank digital currencies will begin to open up tremendous opportunities in the cross-border payments space. We have already seen glimpses of this already, and 2022 seems to be the year it goes mainstream – with countries and governments opening up to crypto currencies.
Fintech as a service
In the era of SaaS, financial applications have also begun to be shared as a service/digital product. While one might not want to invest in a heavy infrastructure for their investing and financial management requirements, they can always use existing Fintech as a service.
A variety of features, including billing management, transaction processing, payment regulations and much more can be accessed with different Fintech applications available as a service. This approach bridges the gap between the best technology that is available for financial applications and what is commercially viable for businesses and consumers to access.