Wherever we look, there is a constant push towards going paperless. Whether it is in industry, offices, and now banking, there are many benefits for doing so. For some, the main factor is reducing waste and projecting a green image, but at the end of it,
a paperless world is simply a more convenient and efficient one.
And it should come as no surprise that this new generation of consumers is embracing and expecting paperless banking more than ever. Banks will have to adapt either by slowly phasing out paper support, or
partner with Fintechs who will allow them to transition more smoothly. The Fintech industry is an intrinsically paperless one, and is a major catalyst in this trend towards virtual banking. Let’s take a look at how Fintech is transforming our relationship
to banking and how it is leading to a paperless future.
Less is More
Customers are constantly looking for more convenient ways to conduct transactions, and there’s a shift towards “less” everything when it comes to banking and financial services. We’re seeing more contactless payment solutions, wireless has pushed more banks
to adapt a mobile first approach, and paper is slowly getting replaced by e-statements, remote check capture, and forms that can be filled completely online.
Clients also want to see less bills in their mailboxes, and more solutions to handle all of their payments in one place. Services like
Doxo, the bill paying app, are already doing that, by allowing people not only to store all of their important documents in a virtual form on their service, but also a payment service that allows clients to pay all
of their bills at the touch of a button. Fintech apps are also taking the world of financial planning by storm, allowing investors to build smart portfolios based on their needs and preferences that run completely on auto pilot.
Another sector Fintech is set to turn on its head is loans. Banks now have to compete with alternative lenders who might not only be more lenient to smaller lenders, but take much of the inconvenience out of the process.
Clients can now access a whole smorgasbord of different lenders at the click of a mouse, and with little to no paperwork. And they don’t have to get probed by potentially biased loan officers either. Fintech lenders take judgement out of the equation, and
the pre approval, approval, and release of funds process is done in a fraction of time it takes the average bank.
Serving the Unbanked
The unbanked are the final frontier in the world of banking, and traditional banks have not always been favorable to this crowd. Digital wallets are succeeding where banks aren’t, allowing thousands in the cash only economy to carry some of it digitally
and pay for products. Crypto currencies could also be a game changer for the industry, and empower thousands of
unbanked and underbanked to access financial products they couldn’t before.
Fintech is the future of finance, and the future of Fintech is paperless. Unless banks are ready to take the leap and adopt their own initiatives, they are bound to have to contend with disruptors who will be able to speak to this new breed of customers,
and cater to their needs.