3 Advantages of Digital Banking You Can Utilize in Your Business
3 Advantages of Digital Banking You Can Utilize in Your Business
The changes and innovations in technology are developing rapidly. For example, payment methods that used to be only offline can now be done online. This has also led to the emergence of digital banking. Prospective customers no longer need to go to physical branches just to enjoy its services.
In Indonesia, the presence of digital banking is growing. This is also supported by the ease of access for users to have more than one digital banking account.
So, how did digital banking evolve and become so widespread in Indonesia? What services does it offer? What are the advantages that digital banking can offer? Brick has compiled them in detail.
History of Digital Banking
Internet services have made it easy for anyone to access information. Internet users no longer need to go to offices to access and obtain information; they can simply use their phones or computers.
This convenience has been developed by banking services, especially digital banking. In addition to internet banking and mobile banking, digital banking services can be used for various purposes.
Perhaps you never imagined how to have a bank account without having to go to the bank branch. Now, banks have innovated and improvised. Customers only need to download the application, then register, follow the process (usually via video call), and the account is created.
Definition of Digital Banking
In general, digital banking refers to banking activities carried out through digital or internet platforms entirely. From opening an account to any banking activity can be done without having to go to the branch.
According to the Financial Services Authority (OJK) Regulation No. 12/PJOK.3/2021, digital banking is an electronic banking service aimed at maximizing the utilization of customer data to provide fast, easy, and tailored services. In addition, customers can conduct banking activities independently while still paying attention to its security aspects.
Digital Banking Services
After understanding the history and definition of digital banking, you need to know the services it offers. Compared to conventional banks, digital banking services are more practical, have faster processes, and ensure secure transactions.
1. Mobile Banking
Mobile banking services are the easiest to access because they can be used with just a mobile phone. Customers can perform transactions via a phone that has a SIM card installed (a result of collaboration between mobile operators and banks).
2. Internet Banking
In addition to mobile banking, internet banking is a service launched by digital banks to help customers transact more easily. Similar to mobile banking, internet banking can be accessed via a phone or a computer.
3. SMS Banking
This feature can be activated when your phone is connected to a SIM card, allowing it to be used for transactions. Its usage is simple; you just need to send an SMS to the bank for processing.
4. Phone Banking
This service can be considered the easiest to use because you just need to contact the bank by phone. Then, the bank will have a system that directs customers to where they should complain, which will then be handled by human resources.
Advantages of Digital Banking
Several advantages of digital banking are summarized in the article below:
1. Faster Services
Speed is the key to reaching more customers. Additionally, speed helps customers to transact without any delays. When everything happens quickly, both parties can benefit.
2. Good Security Assurance
Nowadays, managing funds is no longer a hassle because digital banks are available. The security assurance provided is almost the same as conventional banks. From PINs to passwords, digital banks provide a sense of security for their users.
3. All Transactions are Done Online
The rapidly evolving technology era has brought significant changes to the banking world. Users no longer need to go to physical branches to transact; they only need their phones. Users can simply open the application from the banking service and utilize all its features. This is the advantage of modern banking, especially digital banks.
After understanding the definition, history, services, and advantages of digital banking, you can utilize it in your business. To further expand your business, use payment methods that suit customer preferences. Brick can help you accept various payment methods and process them automatically.
