The rapid growth of the internet has enticed an increasing number of individuals to consider digital banking as a more convenient and efficient means than conventional banking. This revolution has been driven by a range of factors such as the government’s push for digitalisation, the rising number of fintechs and the need for more financial inclusion nationwide. Read on to learn about digital savings accounts and how they play an essential role in remolding personal finance.
∙ Simple account opening process
Opening a savings bank account is easy now. Many financial institutions let you open a savings account online without any hassle. The online route eliminates the need to visit the institution in person or deal with lots of paperwork. All you require is valid identity proof, address proof and a PAN card to start the process. This simple way has allowed financial institutions to reach more people easily. It saves time and effort for everyone involved in the process.
∙ Enhanced accessibility
Customers gain lots of freedom with their money as their online savings accounts make funds accessible at any time. These accounts provide 24/7 access to features through online portals. Real-time balance updates, quick money transfers and easy bill payments let customers handle their banking requirements without the need to leave their home.
∙ Customised services
Digital banks use artificial intelligence and data analytics to offer tailored financial services. Such personalized advice or suggestions allow customers to better plan their financial goals and spend their finances smartly depending on their preferences and habits. This leads to proactive money management, as customers now have smart tools, insights, and data to achieve their objectives.
∙ Improved security measures
Many users worry about data security when banking digitally. To counter this, financial institutions utilise safety measures like multi-factor verification, end-to-end encryption, real-time monitoring of transactions, etc. Such steps build trust as well as encourage customers to use more digital banking services in their daily life.
∙ Financial literacy
A digital savings account plays an essential role in promoting financial literacy. With its user-friendly interface and easy data accessibility features, a digital savings account simplifies complex financial concepts and allows customers to make well-informed decisions. Also, digital banking services can reach rural and remote localities where conventional banking infrastructure is limited or non-existent.
∙ Eco-friendly banking solutions
Digital banking, which involves online savings bank accounts, helps reduce the carbon footprint of the banking industry. Now consumers have the option to opt for digital bank statements, transaction records, and e-receipts over conventional banking instruments. This growing popularity of digital banking has eliminated the necessity of approaching physical branches and ATMs for banking purposes, resulting in decreased energy usage and less environmental impact. This eco-friendly aspect of digital banking appeals not just to environmentally aware customers, but also aligns with global sustainability goals.
Ending note
Digitalisation has brought disruptive changes in the way individuals manage their finances. Digital banking accounts that operate through banks are growing in popularity due to their distinct benefits and simplicity. With the increasing acceptance of digital banking, it is evident that it will contribute to the creation of more financial inclusion and reshaping of personal finance approaches for many.