One of the oldest industries in the world is that of finance. While humans may not have always dealt in physical currency, they have always traded goods to obtain things that they needed. For hundreds of years these transactions were kept track of using nothing more than a written ledger. Very quickly, the finance industry quickly outgrew the ability to be kept track of using just a simple pen and paper. The digital age helped to get this information off of paper and into a computer that is much more accurate and takes up far less space. Even after the addition of computers and the internet, there was still a ton of room left for growth in the finance sector. So, how exactly has technology been used to even further update the finance industry?
- Improved Security Systems
- Mobile Banking
- Online Training Programs
- Instant Fund Transfers
Improved Security Systems
The most important thing for all financial companies is to keep the personal information of their clients safe. After all, it is incredibly hard to regain the trust of a customer once it has been lost. One mistake is one mistake too many when it comes to the most sensitive information. More and more financial institutions are looking into blockchain technologies to better protect this valuable information. Blockchain allows sensitive information to be kept on decentralized ledger as opposed to a centralized one. This means that the information is split up over many different locations as opposed to being in a single place at any given time. This makes things like identity theft and bank fraud far more difficult for those who don’t have consumers best interests in mind. Technology has helped to keep consumers and their hard earned dollars safe over time.
The introduction of smart phones immediately changed the finance industry. Consumers saw all of the incredible things that they could do right from their phones and naturally wondered when they would be able to do their banking from their mobile devices. Now, consumers can deposit checks, transfer money, pay bills and even invest right from their smart devices. This trend will only continue as more services are offered through a mobile platform.
Online Training Programs
Decades ago, the only way to train a new finance employee was either to dedicate an existing employee at the company to training them or pay to send them off to a days long training program. Both of these techniques, although usually very effective, were costly and wasted valuable time. Now, thanks to a variety of online training programs, new employees can be fully trained and ready to go in a fraction of the time. Things like negotiations training and customer service can be completely learned online thanks to better financial training programs. This not only leads to better equipped employees, but it also improves overall customer satisfaction with the financial institution.
Instant Fund Transfers
Even after the advent of being able to do your banking online, it still took some time to transfer funds from one account to the next. In fact, it was once considered a big deal to be able to transfer funds in as little as a single day without having to physically go to the bank. Now, thanks to instant fund transfers, this idea is a thing of the past. Certain financial companies have made it their mission to provide instant mobile fund transfers to all consumers. There is usually a small associated fee for this service which is usually either a flat rate per transaction or a small percentage of the total amount of money being transferred.
Technology will continue to improve and the finance industry still stands to gain from these improvements. The biggest thing to consider when adopting a new technology is whether or not a new system has been properly vetted for security concerns. Although it is nice to release new services and features as quickly as possible, it must be done in a responsible manner.
by: Dennis Hung