Negosentro.com | What are Current Fintech Trends Leading into 2020? | Knowing what’s ahead will help you to keep track of your finances so that you can make the most sound financial decisions. In order to get a leg-up on the game, her eare some of the current Fintech trends for the coming year. There’s no better way to start the new year on the right foot.
The Approach of Digital-Only Banking
The majority of websites, even Mywealthandinvestment, will tell you that banking is starting to move towards the virtual world when it comes to handling and transfer of your money. And this is for the better. Transactions can take place a lot more quickly and there are fewer fees to worry about.
For this reason, many banks only exist in the digital world, with no physical buildings to speak of. This can seem daunting for some people, but there aren’t any more long lines to stand in or extra paperwork to deal with.
There is the drawback when a problem arises; who does a customer talk to in order to settle matters? There’s also the concern about the danger of Internet hackers. The last thing you want is all of your financial information to be up for grabs. Don’t go signing up too quickly for a digital bank. Instead, do your research and consider online banks that have a longer history of providing good customer service and safety.
Increasing Fintech Regulation
The financial sector, in and of itself, is one of the most heavily regulated industries in the world. So when a breach occurs, financial institutions stand to lose a lot, not only from the breach itself but also from the media attention they will receive.
Another regulation question is who the data belongs to. In the digital realm, the lines can become very blurry, since there are no boundaries to speak of. There are no clear-cut answers yet, as nations are still discussing the necessary terms and considerations.
The Use of AI
Financial institutions are starting to employ AI solutions and strategies in order to deal with the excess income. This is estimated to boost operation costs by at least 22% by the year 2030.
But this solution isn’t without its problems. There are very few skilled professionals out there who are well-versed in AI technology. So far, they’re doing a pretty good job at keeping customer service flowing smoothly through the use of chatbots and they’re expected to work pretty well against cybercrimes and other breaches.
When it comes to Fintech, innovations are comprised of multiple components: everything from mobile wallets to contactless payments to mobile payments. Everything is pretty much at your fingertips and mostly hassle-free.
This makes it much easier for people to make faster transactions that don’t have them standing in line for almost an hour, just to get money flowing in the right direction.
Being aware of these trends will help your business to stay up-to-date on what technologies are being used. Exercise caution when transitioning your business; you don’t want to do it all at once before you’re familiar with how all of the technology works.