The COVID-19 pandemic has caused a wave of cyber crime across the digital finance sphere, and lenders have responded in a big way to keep clients safe. More people than ever before are trying to learn how to conduct day to day business without leaving home.
Fintech solutions are allowing creditors, mortgage providers, and consumers to keep their sensitive information out of the wrong hands. This innovative tech advancement is also helping consumers and financial organizations save time on routine tasks.
Here are major ways fintech innovation is supporting lenders and borrowers during the ongoing COVID-19 crisis.
Digitization of Financial Services
Even before the pandemic, the world has been heading toward complete digitalization for years. Now, it’s crucial for all businesses to transition to an online environment.
If you want to reach consumers from home, it’s imperative to have a secure way for clients to interact with your financial organization online.
Make sure you’re able to provide your services to your target client base from a desktop and mobile environment. Ensuring that your website is equipped to reach clients from a variety of avenues is an easy way to fill your pipeline.
Increased Data Security
As the world moves online, so do the cyber criminals who are trying to steal and compromise our digital data. Financial institutions are a primary target, but tech innovation has made it possible for online users and businesses to keep their information safe.
Since the majority of online users access their banking information from mobile devices, fintech has prioritized the protection of phones, tablets, and even wearables.
Increased data security has allowed consumers to take their financial goals into their own hands with:
- Self-directed investing apps
- Mobile education resources
- Simplified loan and credit applications
- Easier retirement planning tools
Built-in threat detection software and automation tools allow users to make critical banking and financial decisions on their own terms.
Improved Application and Approval Timeline
Low interest rates have driven tons of buyers into the real estate, auto retail, and investment markets. Fintech solutions like automated property management portals and instant rate calculators have sped up the application process for loans and consumer financing.
These easier, more independent processes have boosted activity for buyers by improving the simplicity and comfort of the transaction.
This change in the financial services sphere has led to an increase in buyer activity of more than 50%. about:blank
Customers who need fast cash to cover an emergency can conduct a quick internet search and find the help they need in just a matter of minutes.
Just like having a mobile-friendly website is essential to reach your entire eligible consumer base in 2020, you need to make sure you’re covered from all popular platforms.
Consumers are now looking for alternative advertising from social media platforms and video streaming services to make buying decisions.
By covering your bases and building a strong online presence on all major channels, you can expand your target audience without incurring extra operational costs.
Automated Customer Service
Chat bots, instant calculators, and 24/7 online support portals have made the loan acquisition process so much smoother for everyone involved. Consumers benefit from the ability to compare accurate quotes with ease, and financial institutions can maximize referrals and client retention by boosting satisfaction rates.
Whether you’re typing car title loans Los Angeles into your search bar or you’re trying to reduce costs for your mortgage brokerage, automating customer service tasks is a cost-effective and time-saving solution for both sides of any transaction.
If you have an outstanding loan in 2020 or want to find a way to reach your consumers remotely, fintech is a cost-effective way to secure both sides of any lending transaction. This combination of AI-enabled applications, protected devices, and encrypted data has become the standard for successful loan servicers.
As we continue to navigate this new normal, we’re sure to see fintech grow throughout all corners of the global marketplace.
Source: Tech Times