The future of finance is fintech, and it was already looking even more & more technological with remote using increasing, but with the spread of this horrible coronavirus, it has seemingly been pushed ahead even faster now! Before the outbreak, millions of people were already using digital banking & fintech services like mobile deposit, balance transfers, credit management, cashback shopping, and many different investment options that were only able to arise because of fintech. However, it wasn’t until recently that it became a necessity, and thus has significantly increased in usage, and is now going to have significantly more people building out newer and better fintech!
Just what will the future of finance look like now?
It Comes Down to Fintech
Technology and finance together create Fintech or the assistance of technology to affect financial services. The effect is an extremely positive one, especially in the eyes of the consumer, as it makes services that were once only accessible to certain communities and areas, will now be accessible to everyone. In addition, fintech is changing many financial niches for the better, with new options, tools, and even new currencies that make finance much easier for people to use and connect with people they were never able to before. The changes to finance because of fintech is happening so fast as it now has become a necessity with the social distancing. We are all forced to be at home, and because of this the financial industry is changing fast to adapt to this, and it is something that is wonderful, because this new technology is making finance so much better by decentralizing it, giving more access to people to connect with people they never could before, and making it so much simpler & easy to do financial tasks that used to take lots of time and resources to do!
You might wonder what would happen to interactions if we move primarily to Fintech (doing business on a mobile device or remotely with enhanced technology versus in person). But Fintech companies today have finessed the process, making it so that you don’t even miss the interaction with an in-person teller or advisor because of all the benefits it offers. While you may be taking pictures of checks, sending money via an app on your phone, or chatting with a robot, you get the answers you need instantly and the services that once took forever accomplished right away! These additional benefits that fintech brings to the table are overshadowing the fact that now you don’t need to interact with a human, or was that never something good, to begin with?
Convenience and Speed
With the inclusion of Fintech into everyday life and too many more people, we will be seeing financial services and advice being provided much more conveniently and with much greater speed to everyone. Through the use of Artificial Intelligence, chatbots, and mobile & online-based applications, Fintech companies can provide services with speed and accuracy never seen before. We are going to see finance changing significantly and for the better with this amazing fintech being adopted by the masses.
Perhaps besides all of the benefits above is the level of safety practiced with the advance of Fintech at breakneck speeds thanks to coronavirus. Our antiquated methods of payment (debit & credit cards and cash) only put the health and welfare of many people at risk. So for the time being, fintech is something that is really helping to allow for social distancing to be practiced, and hopefully soon the coronavirus to be overcome because of it!
Contactless payments, transfer anywhere in the world, and digital wallets and currencies are yet another Fintech advancement that we hope to see be adopted at a much faster pace than ever before because of the need to use it. In the U.S., we have been so behind on the contactless payments with less than 5% of the country using them when in countries like Korea, 96% of people use contactless payments.
The spread of coronavirus is speeding up a change that was going to happen to finance no matter what, and it is a good chance that will help connect so many more people! We were on the cusp of changing the way things were done, but we were being slow to adapt many of it without the virus, but that seems to be changing with everything going on. This is the wakeup call we’ve all been given and that will change the financial arena for the rest of our lives! The way we handle our finances, the way we use money, and the ability to have financial tools and advice at your fingertips are just some of the amazing things we are seeing with the adoption of fintech into our everyday lives, and I for one am very excited to see just how fast and great it changes our lives for the better!
So what do you think the future of finance & fintech is going to look like?
Adam Davis is a finance writer, tech entrepreneur, and business consultant. He graduated from Indiana University, home to one of the top business schools in The Kelley School of Business, with a degree in economics and marketing. Since the young age of 14, Adam has always had a passion for technology and built his first website. It would become a big success and home to thousands of paid members on the website. Since then he has continued his love of the web and incorporated his writing practice and financial education into producing websites that help educate people about finance and technology. Adam also runs a fintech company that helps people get an advance on their tax refund: TaxRefundLoans