Here are some of the influential technologies and inventions which have each in their own way revolutionised the retail banking business in the last 1000 years. Money, guarantees and loans have been around for the millennium. I looked for something new,
and didn't really see any change between the Crusades and and the 19th century. The first entry could also be argued to have existed then too.
1. 1830's Credit Bureaus - Lewis Tappan
1937 before broad adoption, Credit-scoring invented in 1956 by Bill Fair and
2. 1918 Electronic Money - Federal Reserve transmitted remittances internally by telegraph.
3. 1939 The Automatic Teller Machine (ATM) - Luther George Simjian & later by
Don Wetzel, Tom Barnes and George Chastain who also patented ATM cards.
4. 1950 The Credit Card - 1930's oil companies used them. 1950 Frank McNamara started
Diners and Amex followed in 1958 with general use.
5. 1961 Spreadsheets - Professor Richard Mattessich pioneered the development of
6. 1964 Computers for banks - IBM System 360 low cost, modular and powerful
found widespread use, not the first computer but most influential to banking.
1968 Memory Card - Helmut Gröttrup and Jürgen Dethloff, two German rocket
scientists invented an automated chip card memory cardwhich was first used for
phone cards in France by Telecarte on 1983 and Chip and PIN cards and first
deployed for banking 1992.
1960's RFID Tags - Charles Walton patented the first practical RFID devices which
combined with chips and memory are the forerunners if todays RFID Smart cards.
In 2004 he patented a "Proximity card with incorporated PIN code protection.”
7. 1970 POS NCR retail point of sale equipment interfaced with banks by around 1973.
8. 1973 Mobile Phone - Dr Martin Cooper
Customers who owned mobiles called their banks from about 1985 but automated
Mobile Banking only really began gaining acceptance in 2007.
1974 Microprocessor Card - Roland Moreno
1978 The Smart Card - Michel Ugon invented the micro-processor and memory in one chip
2006 before much penetration.
1978 The PC Spreadsheet - Dan Bricklin with Visicalc, used on HP85 in 1970's,
and 1 million Apples. Led to dominance in the personal computer with Excel 1989.
9. 1983 RSA Encryption - Public Key Encryption Algorithm by Rivest, Shamir, and Adelman
1990 saw wide adoption on the internet and held it's ground for more than a decade.
I could only come up with 9. The other card developments are just variations of the original with new technological approaches and they haven't in themselves quite succeeded in revolutionising banking just yet.
It's interesting to note the delay in deployment of these technologies.
What do you think will be next on the list?
I think it will be whatever process binds all these technologies and their successors together into one seamless virtually instantaneous process.
Blog updated: 26 May 2015 07:05:45