IMPORTANCE OF DIGITAL FINANCIAL SERVICES

IMPORTANCE OF DIGITAL FINANCIAL SERVICES

528 Views

This Service is termed as the process where in every financial transaction happens virtually and we do not need to go to the banks all the time physically even for a deposit or withdraw. This digitization of banking sector became so fast and easy for their customers as they follow one API process. IN initial days that is before the technology came into pace, we all had to stand in front of banks for deposits, withdraws, and many other banking related issues which are to be fulfilled, but now everything is on the lap of the internet. Banking as a Service is a process of complete online banking using “Application Programming Interface”. By this all are banking tasks can be accomplished very easily without any hassles.

Digitization helped in us in many ways like:

  • Less usage of real money on our hands, rather we can use card payment methods if needed to spent.
  • We can use credit cards for the purpose of loan, which we get while are opening the bank account.
  • We can save all the income which we get by availing the schemes called fixed deposits, term deposits and many more through online only.
  • We can transfer the amount to other account easily by one click in digital banking technology.
  • We also can have mutual funds kind of investment in banking sector digitally without any trouble, like we do not need to fulfill many documents by sitting and filling everything on the paper.

These are only few examples coated for advantages of banking digitization. There are a lot many advantages which can be seen practically.

As every coin has both sides this online banking also has side effects like:

  • There are many online frauds happening by using this digitization process, we have to be very careful with all the online transactions that we do.
  • More of fraudulent is happening after digitization when compared to before.
  • As the technology is growing people are using it for both good and bad, so each and every customer of all the banks should be careful and have updated knowledge about banking technology in order to use them and avail fullest benefits from them.

Banking digitization helps the organization in saving time of saving records manually, and less of money laundering happens as every transaction would be registered online and they have all the records for future reference. Less of human intervention is done by digitization of banking.

Leave a Reply

Your email address will not be published. Required fields are marked *