OCTOBER 10, 2021
8 min read
Saving time, bringing convenience in managing a budget on the go, and granting a lot of extra perks to users — isn’t that a gist about the application of banking online? First, the rise of mobile banking is an obvious reaction to the altered UX needs of modern generations or, in other words, a survival means for a business in the time of digitisation. In fact, 97% of millennials resort to mobile banking apps on a regular basis. Second, mobile banking application development is a must to adjust to the post-COVID remote world with its ‘no matter where the service is located’ approach. Namely, in 2021, 55% of all world customers favor the usage of banking apps, while almost a quarter of the rest are ready to refuse from physical branches in the nearest future. All right, we’ve got it crystal clear, but what else makes banking applications like hotcakes?
The answer is a variety of functionalities perfectly in-built in one place and accessed by fingerprint, voice, or image recognition. According to Statista, in May 2021, the most popular services within the modern mobile banking application included account balances views, mobile check deposits, money transfers, and bill payments. Meanwhile, the hype over these basic functions is also balanced with the novelties like P2Ps, QR code/contactless payments, investment tools, etc. This is especially true in the US, where the race for best mobile banking started in 2012, and the UK, where the number of money management tools doubled in 2020. However, the other world won’t stand still too, so are you ready for a big change as well?
What Is Mobile Banking: 7 Whys to Shift a Service to an App
Are you interested in banking as a service but would like to breathe a new life into its product embodiment? Then the best banking app is what you need as a good challenge! But before a start, consider the advantages the mobile banking application testing will bring to you:
- Reduced expenses. As a rule, an app enables greater geo coverage, process automation, and errors reduction through ML technologies.
- Easier client analytics collection. It embraces all the stages of the KYC procedure: from user acquisition to enhanced client engagement and overall performance.
- Better security. Gesture patterns, two-factor authentication, and other biometric verification types work well in the post-pandemic realities, whereas the fraud activity also continues to speed up and evolve.
- Higher ROI. The easy banking problem-solving on the go and exquisite perks that aren’t available in the traditional banks usually explain the devoted rows of customers and solid revenue boost.
- Advanced UI. What has started as a part of the site’s interaction with the user is now shaping the mobile experience of TA and their satisfaction rate with the service.
- Specifically tailored options. Since the apps usually save the costs of the business owners, its creators usually supply their solutions with the extra perks no one has suggested.
- Additional marketing channel. Social media, emails, and what else? An app creates a unique place to quickly spread product-related news and updates through immediate notifications.
Is this list enough to get you convinced into the exclusivity of mobile banking apps as a business? Are you ready to invest in app product development with Dashdevs? Awesome, but let’s clarify one more important question first.
How to Identify a Splendid App: Online Banking Features that Matter
Your readiness to give birth to the new banking app is commendable, but to avoid a rocky start, decide on the banking features you’d like to integrate into your product as a value proposition to the broad audience. Being an expert in fintech app development, the Dashdevs team will make this choice easier for you. If you’re trends-focused, cherry-pick the mobile banking features you like from the list below:
- QR codes/NFC cardless cash withdrawals — consider the fact that 4 out of 10 Americans resort to this function as a habitual commodity of 2021, and this Bank of America’s novelty is likely to develop further;
- biometric login — a combination of selfie and ID photo is now sufficient to start using the mobile banking app almost everywhere, so think about this function thoroughly;
- _fingerprint/selfie payment confirmatio_n — except for the simple sign up procedure, these 2 identification methods are already applied for payment approval, so look at BMO and MasterCard as good examples;
- voice recognition — this AI tool currently becomes a perfect command management leverage, allowing users to ask the virtual assistant to handle bills payment, as in the cases of RBC, Barclays, and Paypal;
- budget auto control — an inspiring case of Capital One & Foursquare partnership shows the benefit of implementing analytics and geo-related information for sharing the location-specific money management offers to clients;
- anti-fraud security — an app’s connectivity with the big user databases creates favorable conditions for preventative fraud alerts sending in case of suspicious credit scores activity;
- blockchain support — the opportunity of swift payments and quick digital identity verification set the basis for smooth 24/7 global payments, including the digital coins, which can be the property of a particular digital bank as in the case of J.P. Morgan;
- autonomous ecosystem for mobile payments — integrating your app with social platforms and messengers is a good way to enhance banking customer service, facilitate data sharing, and optimise the financial operations flow;
- edutainment — as now users are primarily interested in either entertainment or education while approaching the content, the tactic of developing the customers' financial literacy through the app is a win-win, especially if it’s supported by qualified support specialists as Paypal and American Express do;
- open API — when it comes to automated data collection and its exchange within the software and Google servers, it’s hard to imagine the better alternative to the API, especially in the fintech mobile industry — take a look at Barclays if you need an instance to examine;
- intelligent chatbots — a useful app’s feature that increases the responsiveness of an online bank to users and ensures high-level customer care and retention rate;
- P2P payments — the instantaneous money transitions from one banking account to the other user’s one is one of the most loved banking services that is possible directly from the app, not to mention its security;
- remote deposit capture — those who are interested in the in-built investment tools will truly enjoy this feature because uploading a photo of a check and its endorsement to the system takes a day max and skips the redundant bureaucracy.
Though the list above can be prolonged, these are the most acute in-app banking features that turn users' attention from physical banking to the mobile-centered future of banking, so beginning with them will guarantee a head start of a new mobile banking journey — both for your customers' enjoyment and your business development.
Banking of the Future: The Most Innovative Apps in 2021
You’ve already got familiar with the hallmarks of the up-to-date fintech mobile software, and now it’s time to look through the examples that define the banking of the future. Get pumped with the ideas for your future unparalleled banking product!
Passing the stage from the debit card provider for teens to the full-service neobank, the Current app has also positioned itself as the pioneer of the points rewards program, which is the alternative to the usual cashback feature. By this novelty, the US challenger bank is planning to bring a fresh competitive distinction in the mobile banking industry and promote the brand through teaching users how to proceed with payments, savings, and money transfers effectively. The classic stock of free overdrafts and ATMs, immediate spending notifications, and account management are also on the go here, while the option to use a phone’s camera for depositing checks adds much to the continuous popularity of the banking app.
Bank of America
Though the app is primarily notorious for its self-service ATM machines and cardless cash withdrawals, there’s more than that! This digital bank has invented its virtual assistant, Erica, to assist customers with step-by-step financial instructions and increase their literacy in this area of knowledge. In 2021, its usage rate has already accelerated to 67% with a reach of 17m users. However, for those who don’t appreciate the quality of the chatbots and aspire for real communication with the specialist, the feature of banker’s appointment booking is also available.
This digital-only bank is known for its Surprise Savings feature, which, according to the users' reviews, hones customers' saving habits without much effort involved in the process. Specifically, the banking app is supplied with the function of automatic recurrent transfers — not more than $100 at a time — that’s targeted at helping users consciously save some money at the specific account. As far as customers define the sum and conditions of regular savings, this feature is pretty welcomed among Ally Bank’s customers. Besides, another modern technology embraced in the app is AI implementation — Ally Assist is ready to address any users' concerns in case they need quick virtual help.
The specific feature of this modern banking app is the national charter license that confirms its status of being a bank for all of us. What’s behind this high praise? Absence of fees and account minimums, totally free usage, early payday, deposit insurance up to $250,000, external accounts linking, and many more. Again, in a similar way as Apply Bank does, the Varo app also stirs the users' saving skills within the Save Your Pay function. Don’t consider it something special? And what if this is a deliberate reaction of the digital bank after the revelation that 77% of Varo’s customers have resorted to their emergency savings to deal with the post-COVID crisis? Seems much more valuable already, isn’t it?
Remember the mention about cardless ATM usage and the NFC system? These are the features that are proper for Wells Fargo’s digital wallet for both iOS and Android mobile users. Using this banking app, customers can uninterruptedly access their accounts and hold sway over their financial operations right from the phone. Among the other contemporary peculiarities of the Wells Fargo app, the key ones incorporate Face ID login, the automatic log out after the user’s inactivity, 24/7 anti-fraud protection online purchases and spending limits notifications, convenient credit scores monitoring, customised navigation, and tap to pay function.
Have you heard about the new mobile ‘child’ by Goldman Sachs? The name of it is Marcus Insights, and in short, that’s a variety of useful finances trackers and instruments that allows connecting all the user’s accounts under 1 umbrella. The surprising fact is that users can try their hand at its services even without being a part of the Marcus banking community. Thus, all you need is the app, and the options of personal loans, deposits, account checking, and high-yield savings become in your hands.
That’s another prominent instance of applying AI into the mobile banking advisor and money management tool. In particular, the Chime app gives its customers an opportunity to handle a payday beforehand (2 days earlier), avoid any fees, execute P2P payments, block a card within an app, automatically save money according to the preferred settings and attain specific financial goals. Owing to this helpful package of functions, Chime’s users are engaged in the pleasant UX that stirs their retention all over the world.
Ready to Create a Banking App for Present-Day Users?
Have you decided on the features you’d like to implement in your perfect banking app product? Did this article bring you insights on this matter? Hope, yes. Let’s discuss the future of the banking industry together and focus on your product’s needs. Contact us right away, and Dashdevs will get it done at its finest!