With the financial industry at its peak and technology evolving faster, Fintech has suddenly taken the market by storm. It has become an integral part of today’s economy and finances, with several payment apps like PayPal, Paytm, etc., playing a critical role.
But what exactly Fintech is? In simple words, Fintech stands for Financial Technology which was initially meant to use as back-end systems of well-established financial institutions. It then prospered into a huge financial industry to improve and automate the financial services sector. It enabled companies, business owners, and consumers to manage their financial operations through specialized software and algorithm development services.
Currently, Fintech has captured a consumer-oriented market and includes different sectors and industries such as retail banking, fundraising, nonprofits and more. Hence, Fintech has become a hot topic in the financial and technology sector, creating the buzz about why it is important.
Supporting Financial Inclusion
That may sound strange to you, but Fintech has made financial services available just anywhere and for anyone. It has brought a transformation in terms of people interacting with financial institutions like a bank. The revolutionary financial solutions have bridged the gap between traditional retail banking services and places with the least accessibility to them.
Now you will find more and more people, even from remote locations having access to basic financial services such as mobile money and e-wallets. Today, almost everyone (even those in rural areas) has the access to financial support online.
The development of superior software capabilities has led to creating a remarkable revolution in the financial services sector. Not to mention, Fintech solutions providers are contributing to taking people out of poverty and creating a more financially inclusive world.
A Cost-Effective Solution
When compared to traditional financial institutions, Fintech service providers can deliver the same solution for a lesser price. By making use of disruptive technology for the automation of tasks, Fintech companies can save money on the engaging workforce to do the job. They can also save on infrastructure such as physical branches to operate and provide solutions to their customers. Overall, Fintech companies have to spend relatively lower operational costs, which enable them to put the savings into delivering optimized services to you. Today you are empowered to have a bank account with no fees and stock trading apps with no commission. That means you can have more money in your pocket.
More Safe and Secure Processing
Many believe that there could be some kind of risks in Fintech services. But this is not really true. In fact, traditional institutions seem to be more vulnerable to such issues as they are slowly embracing the latest technology and cyber security measures.
Fintech companies are focused to make every transaction on their platform protected. The security extends to customer data and personal information. Even financial software development services providers strive on creating solutions that offer complete protection to users’ data. Having said that, several revolutionary features have been introduced to keep users’ information secure more than ever. Instant transaction alerts, OTP based transactions and more such features are creating a secure Fintech ecosystem.
Empowering Small Businesses
A few years back, large businesses used to enjoy supremacy in using the latest technology and financial tools. Now things have changed to different scenarios. Today, small business owners and startup owners are also leveraging technology to process payments and manage their accounts efficiently through different apps and software. Small businesses have been empowered with innovative Fintech products allowing them to further expand their services and operate at higher productivity and scale.
Wrapping Up!
Fintech has climbed to new heights uplifting the face of modern banking and other financial institutions. Thanks to leading-edge Fintech solutions providers like WebMobril Technologies, the financial sector has transformed to be faster and more disruptive than before.
At WebMobril Technologies, we offer an extensive set of custom Fintech solutions with a focus on data security. With our profound knowledge and expertise in the domain, we can help you create next-gen financial solutions aligned with the industry’s functions and needs.