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The Future of Digital Banking: What Can You Expect?

The creation of multi-purpose smartphones, high-tech tablets, and futuristic laptops means we now spend more time than ever glued to a screen. With the ability to order food, send a message, or make purchases with a few simple clicks, we’ve fallen in love with the speed, simplicity, and accessibility of our tech.

Therefore, the natural progression from traditional banking to digital banking was inevitable. Ultimately, people want their banking documents to be easily accessible – from any device, any time.

So, what is digital banking, what benefits does it offer, and how will it reshape the world of banking in the future?

Keep reading to discover all you need to know!

Traditional vs Digital Banking: What’s the Difference?

• Traditional Banking

UK high streets are bombarded with banks, offering customers the opportunity to speak to a representative about their monetary needs. Banks operating from these locations are known as traditional banks.

But they’re not as fantastic as they once were – especially with the introduction of digital banks. Often, you’ll need to visit a branch to complete certain tasks, such as depositing a cheque or simply opening an account. You may also find you earn less interest on your money with traditional banks.

• Digital Banking

The term digital banking refers to any banking activity available online or via mobile devices. Typically, these are operations that would normally require a trip to a traditional bank. However, all digital banks are branchless. Therefore, they’ve supercharged their technological abilities, ensuring customers receive the same level of care they would expect from high street branches.

A Digital Bank enables you to:

  • Check your account balance from anywhere
  • Transfer funds between accounts
  • Manage standing orders and direct debits
  • Apply for a loan or credit card
  • Deposit cheques quickly and easily

How Have Digital Banks Changed the Banking World?

• 24/7 Access From Anywhere

Unlike traditional banks, which typically operate from a branch with limited opening hours, digital banking means customers can access their money instantly from anywhere, anytime. For those living in remote areas, this poses a significant advantage. Even during the weekend, when most bank branches shut their doors, you can still access and manage your money from a digital device.

• Time Saving

How many times have you planned a bank trip into your day? How many minutes have you spent trying to set up a direct debit, standing order or otherwise? With digital banking, you can complete these operations with just a few clicks. Plus, with comprehensive instructions on-screen, you won’t need the help of a bank representative, saving you time and money on travel.

However, digital banking doesn’t mean you’re in charge of all your money with zero assistance. Many banks offer the ability to book appointments with an expert, or you can live chat with a banker via your app. For many, these top-class features still save time when handling monetary needs.

• Real-Time Updates

Whether you need to send money in a hurry, want to track your savings or are on a tight budget, the real-time updates of digital banking are pretty handy. With each transaction, you can track your remaining account balance instantaneously with a harmonious ping and a notification via your smartphone. Needless to say, this beats waiting for a bank account balance to come through the door.

Up-to-the-minute updates also help you detect when your account is at risk, as you can see any fraudulent money leaving your account.

• Improved Relationships with Money

With a range of incredible features at your fingertips, it’s no wonder digital banking has improved people’s relationships with money. 67% of people feel more confident with their money thanks to budgeting benefits, the ability to check their balance from anywhere, and more.

What Does the Future Hold for Digital Banking?

The benefits of digital banking are pretty clear, and it seems customers love the idea of managing their money from digital devices. According to a survey from TSB, one of the UK’s leading banks, 80% of people said they were likely to use digital banking in the future. So, what advances can we expect to see?

• 100% Cardless Payments

Today, you can register with a digital bank and receive both a physical, plastic card and a digital card to add to your mobile wallet. However, more people than ever are using Apple Pay and Google Pay to make payments straight from their smartphones. Hence, physical cards could be on their way out.

Asia, the most technologically advanced continent, is already leading the way with fully digital banking. Over 50% of their transactions are completed via digital wallets, meaning their plastic cards are simply collecting dust.

• Next-Level Personalisation

The wonders of technology mean that banks can utilise the digital world to better connect with their customers. This could mean providing guidance on purchases, real-time budgeting advice or otherwise. Essentially, customers will have their very own banker at their fingertips, helping them to make the most of their digital banking experience.

• Competition with “Non-Banks”

The likes of PayPal and Venmo are ‌non-banks. They offer the standard functions of typical banks, such as money transfers or loans, but they’re not registered as a bank. Operating 100% digitally via handy smartphone apps, they pose a significant threat to the success of digital banks in the future.

• Enhanced Customer Experiences

As bank branches slowly fade out, customers will expect much more from their digital banking experience. This will likely mean next-level design, enabling quicker services and better functions.

Digital IDs will also become the new norm in years to come. Without visiting a representative in the branch, banks need a way of verifying each customer. Therefore, digital IDs make it simple and hassle-free to complete everyday functions, whilst also improving security and privacy.

Digital Banking with DT&T

At DT&T, we’re reshaping the world of international, multi-currency transfers with Multi-Currency Accounts. So, you can send and receive money globally, track your transfer and more, all from our handy user-friendly platform.

How will you benefit?

  • 24/7 access from anywhere
  • Fantastic customer service
  • Instant conversions at competitive FX rates
  • Instant global transfers with low fees
  • 180+ countries
  • Manage 35 currencies in digital wallets
  • One incredible app

There’s no need to get in touch. Simply set up your account in under 5 minutes. Then, you’re ready to send and receive international payments via our safe and secure platform. Visit the DT&T website for more information about our digital banking solutions.