5 Top Financial Technology Trends

Lately, there has been a lot of buzz in the financial services space over the quick and radical changes in the sector brought about by its shift to a new, digital model that will fundamentally transform everything.

In this piece, we take a look at the trends shaping the financial services industry to bring you up to speed on events.

  1. Digital Transformation

Our world is becoming very tech-inclined with a growing reliance on technology and online resources. This, coupled with increased competition from fintech and regtech firms whose business model revolves around a variety of new technologies has forced traditional financial institutions to invest in digital technologies to remake processes and become more efficient.

  1. Artificial Intelligence (AI) and Blockchain

AI and Blockchain continue to expand the frontiers of technology, enabling companies to solve even harder problems and disrupt the financial services landscape with huge competitive advantages. AI, for one, is taking the financial services industry by storm.

Several financial services firms now rely on artificial intelligence to cut cost, save time, and add value. For instance, wealth management institutions now use robo-advisors to analyze and understand client investment, spending, and general behavior regarding money management so they can customize the advice offered to customers.

Similarly, the blockchain, the technology which runs cryptocurrencies, continues to power innovation in the financial services sector. It offers an opportunity to speed up and simplify cross-border payments, ensure greater trade accuracy, improve online identify management, and ensure transparency in financial operations.

Through smart contracts, transactions and agreements are executed automatically once the conditions coded in them are satisfied. This help eliminates the need for an intermediary and leads to a reduction in cost.

  1. Digital-Only Banks Influence in the Financial World Continues to Grow

Digital-only banks and fintech companies are threatening to replace traditional banks as the focal point of the banking experience. As technological advancements continue to expand and consumers become more comfortable using the internet, their expectations for instant and straightforward digital interactions will continue to increase.

By their very nature, digital-only banks possess the tools necessary to offer consumers what they expect and prefer. Not operating from any physical location means they attract low transaction cost, which allows them to distribute resources better to provide customer experiences that are uniquely differentiated.

For instance, DBS Bank, a Marina Bay-based digital-only bank offers up to 7% interest rates on savings accounts, unlimited access to ATMs, zero balance requirements, etc., all of which can be difficult for legacy organizations to provide.

  1. Big Data Continues to Drive Modern Business Operations

Organizations continue to find new ways to leverage big data. This data now enables companies to create real competitive advantages by providing large amounts of information to assist with their research, marketing, etc. It is predicted that the Internet of Things will make big data even bigger by providing plenty of storage space as well as by offering the big data itself.

  1. Banks and Financial Institutions Embrace Cloud-Based Offering

Cloud innovation has been a thing in the financial services industry for a while now. However, it wasn’t until recently that banks started to embrace it. The innovation was generally not well received by traditional banks due to security issues. Brick and Mortar institutions feared that entrusting data to cloud will make it more susceptible to hacks.

Today, however, the technology is becoming more widely accepted, as banks now use cloud computing for non-critical functions like email, human resource, customer relationship management (CRM), customer analytics, as well as for development and testing.

Businessman hand working with a cloud computing diagram on the new computer interface as concept

 

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Top 4 Technologies in Contact Centers in 2019

Contact center solutions have evolved from answering the phone to fully managing every aspect of operations including customer relationship management (CRM), data analysis, and market research. In spite of this, some still believe that contact center operations have failed to take full advantage of cutting edge technologies that could ensure better customer service delivery.

The good news is that we are in the era of technological breakthroughs that will change contact center operations as we know it. In this article, we provide insights into some of the technologies that will benefit contact centers in 2019.

  1. Call recording and voice analysis

Quality customer service delivery is a key prerequisite for ensuring customer satisfaction. Capturing, storing, and analyzing data about every interaction a client has with your call center allows you to react promptly and tailor your customer service program in a way that increases loyalty.

This is because collecting information about your customers provides you with the data you need to understand what they like or why they were not satisfied. Call recording and speech analytic programs like Recordia enable you to collect and interpret data so that you can improve the customer experience.

Technologies such as speech analytics enable call centers to process speech/audio to understand what a customer wants and how they feel when they call the customer care.

  1. Omni-channel technology

Today’s modern, tech-savvy consumers are very demanding in their quest for a great customer service experience. They expect to be able to reach businesses on any platform, anywhere, and from any device.

To increase customer loyalty, sales, and overall profitability, more and more companies are deploying omnichannel customer service techniques that provide clients with seamless interactions across all channels including telephone, email, social media, chat, text, etc.

  1. Chatbots

Chatbots are increasingly being implemented by companies in contact centers to raise the level of customer service, stay in touch with anyone who shows interest in their products or services and convince them to buy.

A chatbot is typically used in dialog systems to provide some human feel to automated communications to build a rapport with the client and ensure better sales. Also, it allows organizations to automate customer service live chat conversations and conducts conversation through both audio and text methods, allowing for personalized customer service that creates engagement at a higher level.

Chatbots complement human agents by responding quickly to simple queries online, freeing human agents up.
  1. Business Intelligence and Artificial Intelligence

AI-powered digital solutions are one of the essential technologies that are gradually making their way into contact centers. More and more businesses are incorporating these technologies in an effort to transform customer service interactions to improve the customer experience, loyalty, brand recognition, and the bottom line.

AI-powered intelligence agents, through their pre-emptive problem-solving approach, ensure customer satisfaction and increase in sales, thanks to their ability to continually digest data from dozens of information streams to make sense out of prior interaction and customer preferences.

This enables them to deeply understand the clients and serve up personalized content and product recommendations that will boost sales.

 

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How 5G Will Impact Communication and Industry

 

As the next generation superfast wireless networks technology, 5G promises to change our lives fundamentally. The network is expected to have much higher speeds and capacity that allows files to be downloaded in the blink of an eye.

Beyond this, 5G will play a significant role in shaping the cities of tomorrow by powering other technologies that will revolutionize communication, enable travel, learning, and innovation. From The Internet of Things to smart homes, self-driving cars, Telemedicine, Virtual and Augmented Reality and everything between, the wide-scale deployment of the 5G network will drive the reinvention of several businesses and consumer applications.

Its impact is expected to be significant, as an IHS Markit report estimates that 5G will boost the global economic output by $12.3 trillion by 2035.

5G and Communication

As the 5G network makes higher transfer speeds and lowers network latency a reality, it will bring about significant improvements in communication. The faster speeds and much greater network efficiency will make communication a breeze, while the significantly lower latency will significantly improve response time.

Because 5G can send and receive signals almost instantaneously, individuals and businesses will have instantaneous communication with co-workers, friends, or clients, and not have to contend with dropped calls and poor connections. 5G will also be able to connect many pieces of devices, from phones, to computers, to security cameras, and several other types of equipment.

Also, the mobile network is expected to offer mobile internet speeds of more than 10 gigabits per second (Gbps), which is about a hundred times faster than the 4G can provide. This will mean a 5G user could download a feature-length movie in High Definition in less than five seconds.

How the 5G Network Will Impact Industry

The Internet of Things World Wide

Outside of communication, 5G is expected to bring about a widespread implementation and adoption of the Internet of Things (IoT). This could greatly improve the interconnection of devices and their ability to collect, transmit and store data, which will have obvious advantages for industries like manufacturing that increasingly rely on the IoT to connect their processes and factories digitally.

An improvement in IoT will bring about direct benefits such as a reduction of operating costs, an increase in productivity and efficiency, as well as enhanced workplace safety. The capacity to collect, monitor and analyze data from social media, video surveillance, mobile and internet usage will also enable businesses to understand consumer behavior better and improve customer service delivery.

The impact of 5G on IoT will mean that work can be completed in time, more efficiently, more flexibly, concurrently, and in a safer and more environmentally friendly manner.

It is believed that 5G will also have significant impacts on self-driving vehicles, remote healthcare, virtual training, innovative classroom learning, Financial Markets run by robotics, and new military capabilities.

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Robots Are Taking Over Human Jobs on Wall Street

STEPHEN HAWKING WARNS ARTIFICIAL INTELLIGENCE ‘MAY REPLACE HUMANS’

Quote by Stephan Hawkins:

“If people design computer viruses, someone will design AI that improves and replicates itself. This will be a new form of life that outperforms humans.”

The rise of Machines and AI is Fast Approaching

The rise of the machines was always going to come at a cost, as each wave of technology destroys what has been put in place. The frenetic pace of technological development in the areas of artificial intelligence and robotics is causing massive shifts in the finance industry.

The impact is already being felt on Wall Street, where there have been far-reaching and significant changes, with technology eliminating many jobs by replacing hundreds of humans with either robo-advisers or software.

Many investment banks and big institutions, in a bid to cut cost and improve efficiency, use AI to automate financial tasks usually undertaken by humans, such as wealth management, operations, risk management, and algorithmic trading.

One of the areas that the Wall Street has seen the greatest disruption of robotics and AI is the execution of buy and sell orders, where robots carry out between 50% to 60% market trades, according to CNN, citing data from Art Hogan. Hogan is the chief market strategist for B. Riley FBR.

The preference for technology over human traders is premised on the inability of the vast majority of traders to act consistently rationally when trading. Often, people fail to control themselves, allowing emotions to get in the way of their thoughts and actions.

Machines don’t suffer from these psychological issues when a major trading decision is being made. This is because they remove emotion from short-term trading activity, allowing for a more objective approach to trading.

Laying a Claim to the Future of Investing

Artificial intelligence and robotics is fast advancing into the investment sector, where its incredible ability to learn and think will eventually make them the most advanced and complex investment systems capable of helping corporations to make more efficient and effective choices.

For instance, advisory bots are increasingly being used by companies to assess investments, deals, and strategies in a fraction of a second, much faster than any human quantitative analysts using traditional statistical tools.

Such is the growing dominance of robots in the finance industry that former Barclays boss, Anthony Jenkins warned they could displace half of the workers in the banking sector, and lead to branch closures.

Activities such as calculations based on structured data and other repetitive support tasks are the most susceptible to automation because robots are well-suited for them.

There’s Still a Place for Humans in a Robotic Wall Street

While AI is probably the most robust technology there is today; its ability to perform complex tasks is limited. Trading machines can only learn historical data and trade patterns. However, stock market behavior changes all the time and computers can be less adept in the face of unexpected market performance.

Humans can easily adjust themselves to these changes. Getting the robots to do the same, however, will require changing their algorithms, which can be too expensive and time-consuming. For this reason, humans will always be a step ahead and remain relevant.

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How Blockchain Is Transforming The Online Gaming World

Blockchain and the Impact on Transforming The Online Gaming World

Blockchain technology has certainly taken over every domain of digital transactions. It has revolutionised the world of cryptocurrencies and has given everyone around the world a new platform to do online transactions. The Blockchain technology has definitely exceeded expectations and has reached new heights year in and year out; the tech has even lengthened its reach and can even be found in the online gaming world. In fact, it has made quite an impact in gaming and it should be very interesting to see how Blockchain will revolutionise the gaming space.

Private, Legal, Low Cost and fairly accessible Option

Cryptocurrencies have managed to find their way into the casino industry and in doing so its expanded its status. An increasing number of online casinos have introduced cryptocurrencies as a main payment or as a substitute payment method. The great thing is that these forms of payment are safe, accessible and well documented which further strengthens the reputation of cryptocurrencies. With the use of cryptocurrencies these gaming companies allow their members to remain anonymous and give them a piece of mind knowing that it is extremely safe. Cryptocurrencies also make it easier because gamers and gamblers don’t run into any difficulties with regards to financial documents or setting up an account.

Reduces Fraud and Loss of Revenue

Fraud and a loss of revenue is relatively widespread on the internet and this is really unfortunate. Studies have confirmed there were approximately two million online fraud incidents reported in 2017, with the general belief being this number is only the tip of the iceberg. Blockchain technology has ensured the extermination of fraud and revenue loss which will save the online casino industry billions every year.

Developers are creating Blockchain driven games

Blockchain has created many games but it has taken their technology to a new extreme. Developers have created Decentraland which is a virtual reality platform which is powered by Ethereum Blockchain. Decentraland allows people to own different pieces of land which you are free to do whatever you want to with. With this so called ‘digital real estate” players are able to access an entire new platform that has businesses, services and social activities.

Ensures more equality in the online gaming industry

Most players have the idea that the house always wins but that is no longer the case thanks to Blockchain. The majority of gamblers have accepted the fact that they would most likely lose more often than not, but Blockchain has created equality in games. Smart contracts, cryptography and Blockchain technology have all worked together to develop a system which has ensure that there is equality in any games that contain their technology.

Therefore, it is clear that the Blockchain technology has had a significant effect on the online gaming industry. Blockchain technology has given this industry room to flourish and has also made the online gaming industry a much safer environment to get involved in. This technology has also improved payments, betting and encouraged the creation of new types of games.

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How Financial Technology is Creating Growth Opportunities for Small Businesses

Changing the Way Small Business Are Financed

One of the major problems many economies have had to deal with is that which concerns catering to the needs of small businesses in a changing business environment. The traditional model of new companies turning to banks for finance was limiting for most entrepreneurs.

Small business owners found it unbelievably hard to secure funding through a bank, with loan requests being declined for reasons ranging from insufficient collateral to economic concerns, and everything in-between. This made survival difficult, never mind expansion.

Thanks to new fintech firms, small and medium businesses can now access cheaper alternative financing and grow. The innovative ideas and new developments brought by fintech companies have changed the business sector and made it easier for startups to navigate the financial services landscape through the following ways:

Advances

Fintech enables small businesses to get the funding they need to expand. Peer-to-peer lending sites such as Funding Circle, LendGenius, and Kabbage provide microloans for business owners that often have difficulty finding lending support. This helps make it possible for small businesses to carry on their operations unhindered.

The requirements for getting approved by these companies are less restrictive than commercial banks. Fintech advances also attract lower interest rates, involve little to no paperwork, and do not require collateral. Add the convenience that they offer on top of that, and you will see just how far financial technology has brought us.

Expense Tracking and Electronic Invoicing

Another way that fintech removes the barriers that small businesses encounter when they try to expand is that it provides them with reliable expense monitoring solutions that are flexible enough to allow them to meet their business needs.

Fintech firms like Sage offer tools with which small-sized businesses can monitor all the money coming in and going out of the company’s accounts. This helps business owners to understand how much money is in the business at any point in time, as well as how that money is being spent. When a business can have a clear picture of its finances in this manner, it will find it easier to make informed financial decisions.

Further, fintech enables small businesses to automate invoicing, simplifying the accounting process as a result. This helps entrepreneurs to not only deal with cashflow challenges but also to maximize efficiency.

Provision of Digital Payment Options

Before now, one of the major problems for businesses that operate on a small scale is how to send money across international borders. The procedures for sending funds across borders was long and tedious. As a result, it discouraged clients from buying from overseas businesses. Fortunately, payment solutions like PayPal, Stripe, Venmo, Skrill, etc., now make it easier for small business owners to accept payments globally. This enables businesses to achieve international growth, as any customer can pay for items regardless of their location.

Last Word

Fintech has contributed in no small measure to helping small-sized businesses to drive revenue and grow market share in a tough business environment by addressing the market failures that they encounter.

The ease with which organizations can access funding, track expenses and conduct business have significantly enhanced their ability to keep their finances in check, achieve growth, and measure results effectively.

 

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How Banks Can Reimagine their Business Processes to Deliver Real-Time Personalized Banking Experience

Global Financial Services

The global financial services sector is on the cusps of significant disruption, with fantasy technologies like AI and blockchain fast changing the way banks operate and deliver services to clients. More so, the emergence of financial technology (fintech) and regulatory technology (regtech) firms who continue to muscle into financial services has created a digital race of some sort in the industry.

Along with robo-investors, digital banks have been launched to help individuals transact as fast as can be imagined, and they are making a difference. The disruptive momentum of fintech vendors is helped by a growing population of tech-savvy consumers who expect personalized services.

The customer-focused nature of these new breeds of tech startups has made traditional financial institutions realize that they are at risk of falling behind in the innovation race unless they acquire transformative technologies that will enable them to keep up with advancements in an ever-evolving business environment.

Reshaping the Customer Experience by Leveraging New Digital Tools

To deliver real-time, personalized banking experience to clients, businesses need to address significant customer pain points as well as identify new ways to satisfy them in differentiated ways. Today, we live in a generation where people are never far away from a smartphone.

To put this in perspective, 87% of millennials never separate from their mobile devices, according to a report. Another report says customers use mobile banking apps 7,610 times a minute. Also, 70 percent of consumers who own a smartphone prefect transacting from their phones. These make mobile one of the most clear-cut ways to differentiate.

To meet client needs in this digital age, banks must do their due diligence to appropriately integrate digital tools such as live chat, self-service, mobile, and Omni channel support and emerging technologies like artificial intelligence into their processes.

Ways to Optimize the Customer Journey Experience

Information gathering is key to improving the customer journey. To deliver banking services in real time, banks first have to have enough data to make informed decisions. This requires gathering deep customer insights so that institutions can get a better sense of their needs, which can be achieved by investing in systems that recognize every customer irrespective of the platform used.

That said, here are the ways banks can improve banking experiences for consumers:

  1. Improve the account opening process and make the onboarding experience efficient

An exceptional account opening experience can help banks earn customer loyalty and remain competitive. To this end, institutions are advised to make the account opening process faster and provide robust mobile account opening services to make it easier for today’s connected customers to open accounts on a mobile phone. The more straightforward the process, the better the customer experience.

  1. Consider a user-friendly authentication solution

A complex authentication system can get customers frustrated. Institutions are advised to consider authentication solutions such as those based on one-time passwords, as they offer robust security and are user-friendly.

In addition, less intrusive technologies like Facial Recognition, Touch ID, and Iris Scanning are other effective solutions institutions might want to consider.

  1. Embrace the disruptive potential of AI-powered chatbots

Chatbots are some of the fascinating stories in fintech. It wasn’t so long ago that they were nothing more than automated answering agents. Today, they help address customer complaints, thanks to their ability to engage consumers with their intelligence.

Implementing this innovation will help financial institutions lower cost while improving the customer experience by providing personalized, always-on service. This is the future of Banking.

[fts_twitter twitter_name=@wallstreetcom tweets_count=3 cover_photo=no stats_bar=no show_retweets=yes show_replies=yes]

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5 Top Financial Technology Trends

Trends in FinTech

Lately, there has been a lot of buzz in the financial services space over the quick and radical changes in the sector brought about by its shift to a new, digital model that will fundamentally transform everything.
In this Featured Article, we take a look at the trends shaping the financial services industry to bring you the most current trends affecting your everyday life. Financial Technology is move at an incredible speed.
  1. Digital Transformation

Our world is becoming very tech-inclined with a growing reliance on technology and online resources. This, coupled with increased competition from fintech and regtech firms whose business model revolves around a variety of new technologies has forced traditional financial institutions to invest in digital technologies to remake processes and become more efficient.

  1. Artificial Intelligence (AI) and Blockchain

AI and Blockchain continue to expand the frontiers of technology, enabling companies to solve even harder problems and disrupt the financial services landscape with huge competitive advantages. AI, for one, is taking the financial services industry by storm.

Several financial services firms now rely on artificial intelligence to cut cost, save time, and add value. For instance, wealth management institutions now use robo-advisors to analyze and understand client investment, spending, and general behavior regarding money management so they can customize the advice offered to customers.

Similarly, the blockchain, the technology which runs cryptocurrencies, continues to power innovation in the financial services sector. It offers an opportunity to speed up and simplify cross-border payments, ensure greater trade accuracy, improve online identify management, and ensure transparency in financial operations.

Through smart contracts, transactions and agreements are executed automatically once the conditions coded in them are satisfied. This help eliminates the need for an intermediary and leads to a reduction in cost.

  1. Digital-Only Banks Influence in the Financial World Continues to Grow

Digital-only banks and fintech companies are threatening to replace traditional banks as the focal point of the banking experience. As technological advancements continue to expand and consumers become more comfortable using the internet, their expectations for instant and straightforward digital interactions will continue to increase.

By their very nature, digital-only banks possess the tools necessary to offer consumers what they expect and prefer. Not operating from any physical location means they attract low transaction cost, which allows them to distribute resources better to provide customer experiences that are uniquely differentiated.

For instance, DBS Bank, a Marina Bay-based digital-only bank offers up to 7% interest rates on savings accounts, unlimited access to ATMs, zero balance requirements, etc., all of which can be difficult for legacy organizations to provide.

  1. Big Data Continues to Drive Modern Business Operations

Organizations continue to find new ways to leverage big data. This data now enables companies to create real competitive advantages by providing large amounts of information to assist with their research, marketing, etc. It is predicted that the Internet of Things will make big data even bigger by providing plenty of storage space as well as by offering the big data itself.

  1. Banks and Financial Institutions Embrace Cloud-Based Offerings

Cloud innovation has been a thing in the financial services industry for a while now. However, it wasn’t until recently that banks started to embrace it. The innovation was generally not well received by traditional banks due to security issues. Brick and Mortar institutions feared that entrusting data to cloud will make it more susceptible to hacks.

Today, however, the technology is becoming more widely accepted, as banks now use cloud computing for non-critical functions like email, human resource, customer relationship management (CRM), customer analytics, as well as for development and testing.

 

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3 Ways You Can Implement Project Management Skills in Business

PROJECT MANAGEMENT

 

You may think a degree in business is enough to help you in your career of choice. While it may help you land your first job, for you to prosper, you need to continue improving yourself, otherwise your skills will become overlooked. Completing an MBA in Project Management can help develop your skills, which will, in turn, propel you forward in your career. Through project management, you can learn how to make goals and meet them within the constraints your business or client imposes.

Here are three ways your can implement project management skills in business.

Organizational Skills

Business requires a level of organization, however, chaos can ensue. You need to ensure that you are able to organize not only yourself but also your team. Otherwise, you may miss deadline, fail to meet quality or miss out on details that could impact the business as a whole. As a leader, it is up to you to meet the client’s brief, while knowing how to manage the scope of the project, the budget and the quality and time that is needed.

Strategic Planning

It’s in the name – ‘management’ means you will be managing a number of projects as well as people, so that you can meet deadlines and ensure the quality is up-to-scratch. You may be assigned one project at a time or perhaps two. If it is the latter, then multi-tasking is a required skill.

You may need to work with other sectors within the business, such as designers, contractors and other project managers. Ill-defined project management can be detrimental to a project and the client’s objectives, which is why, if you are needing to improve your skills, you should look for ways to improve your knowledge in the area. Project management MBA program can help teach you about strategy, as well as leadership, making business decisions and marketing.

Working Within Budget

All projects will require you to work with a set budget. This is a necessity, so that your business – and client – can breakeven or make a profit. To ensure you do not overspend, you need to learn how to work with money and keep finances in order. Project management can help you work within this common constraint.

As a project manager, you need to speak to your client and understand the outcome they are hoping for. While a budget may seem restricting, it can help you mold an image of what it is your client is after – without overstepping the mark. This is a problem you need to solve, which is why learning problem-solving skills can help you deliver to your client and impress them.

Project management has the ability to help you improve your skills personally as well as your professional life. You can become a better leader, know how to manage within certain Res-Ptrictions, work with clients as well as co-workers, and establish or improve pre-existing planning, organizational and marketing skills. Project management skills can be obtained easily, through the internet and through online courses.

 

 

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“Banks On Notice” Fintechs Are Coming for Checking Accounts and Debit Cards

A New Financial Order

As user behavior among consumers continues to shift towards a mobile experience, fintech offers exciting new technologies that could potentially disrupt existing financial practices and establish a new order.

A majority of commenters perceive consumer banking as the area most likely to be disrupted by fintech companies because most startups have sought to target the end customer directly by providing smart solutions.

The technology provided by fintechs could change the way we transfer money, make payments, and manage our financial lives. As such, it is seen as having the ability to impact customers’ demand for checking accounts and debit cards, and this has the traditional players worried.

Meet the New Players

A PriceWaterhouseCoopers survey reveals that around 83 percent of traditional banks and credit unions believe that they are at risk of losing out their business to fintech companies. This is because new fintech entrants bring with them innovative and cutting-edge digital banking ideas that enable them to cater to the digital generation better than existing practices allow traditional banks to.

One of the major companies looking to change the way consumers bank is Venmo. Venmo is a peer-to-peer system which seeks to enable consumers to send money or request funds from each other using a mobile app. Such a system offers convenience and gives the customer a great deal of autonomy, as they do not have to rely on established financial institutions to send funds.

The New Venmo Card

Venmo is also on the verge of launching its Venmo Card. The card, which operates on the MasterCard network, will make it possible for a user to withdraw funds without having to go through a traditional bank. Payment company, Square, also has a prepaid debit card which functions in the same way, allowing users to make payments with a swipe.

In a related development, online payment system, PayPal offers the PayPal Cash MasterCard, which lets users use funds in their account to pay for goods online, in-stores where MasterCard is accepted, as well as withdraw cash at ATMs.

On its part, online-only lender, SoFi, which offers inexpensive rates for mortgages, personal loans, as well as student loan refinancing, seeks to revolutionize traditional banking models using SoFi Money. The product allows account owners to spend funds using the company’s own debit card. If you prefer to leave your funds in the account instead of spending them, they will earn an annual percentage yield of 1.10 percent.

Other innovative products that could overtake traditional mediums as the primary way individuals spend and send funds or invest include the Acorns Spend card from Acorns and the Stash Banking from Stash Investments, among others.

Fintechs and Account Use: What Statistics Say

Meanwhile, the number of checking accounts has dropped by nearly 100 million in the last six years due to fintech’s growing influence on financial services. A Moebs Services study uncovered that the total number of checking accounts fell from 690 million to around 600 million from 2011 to 2017, representing a 12 percent decline.

 

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