Mobile Banking Creates a Better Financial Experience–For Everyone
February 01, 2022
Banks have been around since 2000 BC and have certainly evolved to fit the times, but the evolution can sometimes be slow. Sometimes, their policies can be impersonal, and maybe even punitive.
Until recently, however, there hasn’t been an easy way to break from tradition and do banking differently. Today, the internet and new technology are helping change all of that.
Online forums, social media, and word of mouth converged to proclaim a long-held truth: that modern banking is in need of change.
Plus, with the rise of fintech (financial technology) and digital accessibility, the banking experience is being reexamined. Just ask Jamie Dimon, CEO of JPMorgan Chase, who looked at the landscape of fintech companies and admitted, “We should be scared sh*tless.”
While Fintech may be a concern for big banks, it’s only the beginning for customers, especially the unbanked and underbanked.
These are just a few of the many ways Fintech banking will show you value:
Mobile Banking Values Relationships
As human beings, we adhere to a fairly fundamental principle: if a relationship isn’t working, we either try to fix it or go separate ways.
This is where Fintechs are working to thrive! The complexities of your personal finances can be met with customization, handheld banking, and features that banks haven’t put in place, like gamification.
Firms like JPMorgan Chase have over 51 million customers! This can make personalization really hard. So when financial troubles happen in life — as they do — a personalized experience can make solving financial challenges much easier.
For example, during the height of the pandemic in 2020, countless customers reported being on hold for three hours at a time with their banks. That won’t cut it in today’s fast-paced, digital banking world.
This may explain why over 71% of customers believe banks “only care about themselves.”
Bank Fees Can Pile Up
The facts are in: fees are the #1 reason people leave their banks.
Fees are a lucrative component of modern banks. In fact, Americans were charged over $12.4 billion in overdraft banking fees in 2020. In total, the average household paid about $234 in overdraft fees in 2020.
Sadly, approximately 95% of those fees were paid by “financially vulnerable and financially coping” consumers.
While those statistics are shocking, overdraft fees account for just one of the many other fees banks build into their business.
There are monthly maintenance and “service” fees (which average $5.14 a month), out-of-network ATM fees (which average $2.52 per transaction), and insufficient fund fees (which can be as high as $35).
Let’s just take a moment to think about this. These insufficient fund fees are effectively charging customers money for not having enough of it.
Yeah. We’re too frustrated to discuss foreign transaction fees, paper statement fees, wire transfer fees, account fees and the countless other costs of being a customer of big banks.
Financial Education is Sometimes Hard to Find
Millions of consumers trust a bank to hold and protect their money.
But, banks aren’t responsible for helping them grow their money. They aren’t responsible for teaching them about budgeting, saving, or investing. Yet, charges will occur if you make a mistake.
So many people need to learn about handling their finances. A true conversational education, not being told to “Google it.”
Let’s face it: anybody can help you deposit a paycheck or withdraw cash. But you need more than that. You need a bank—and a digital banking app—that’s truly invested in your financial success.
That’s why over 70% of Americans are ready to switch banks if an institution can help them more effectively master their money.
They’re Behind the Times
Jamie Dimon, the CEO of JPMorgan Chase, is clearly shaken by the future of banking.
While he colorfully expressed his anxiety, he also admitted to a shortcoming at his bank. “We’ve just got to get quicker, better, faster,” he said.
In other words, the banks simply aren’t keeping up (and they know it). Their systems and burgeoning clientele prevent them from keeping up with technological innovation. As a result, their digital platforms aren’t fully prepared for the times.
This isn’t merely public perception. It’s the way most banks even see themselves. In fact, over 62% of financial institutions admit their digital deployment is “not delivering as expected.”
Flyp the Script on Modern Banking
Ready for something different? Something better?
Welcome to Flyp Financial: the future of banking.
While providing the essential banking features you’ve come to expect, we go above and beyond the competition with awesome features including:
– Financial Blogs to help you learn more about how to handle your money.
– Social connections with others “like you” trying to keep their hard earned money and learn how to make it work for them.
– We’ve even brought the fun with the coolest gamified rewards program ever.
– The ability to get paychecks early.
– No hidden fees.
– No overdraft fees.
– No ATM withdrawal fees.
You get the picture. We’re here to flyp the script and help you achieve the financial future you want and deserve.
Flyp is not a bank. Banking services provided by Sutton Bank, Member FDIC. Rewards provided by Flyp. *Terms and conditions apply.