The Evolution of Banking
Banking has changed a lot over the last 20 years. Gone are the days when you could only visit your bank between the hours of nine and five, Monday to Friday. The rise of the internet and extended opening hours mean that you can arrange transactions and check your balance at any time of the day or night.
The increased availability of accounts with an online banking facility has been absolutely essential for the lifestyles of today. Working hours have increased across the board, with standard working hours of 8.00am until 6.00pm becoming the norm for the majority of office workers.
Banks have had to change to keep up with demand and improved technology is not the only difference in the way that they work. The whole banking industry has changed significantly over the last couple of decades and they are offering far more financial products than at any time before.
How Banks Have Changed
It used to be that banks worked on a very local level, offering loans and savings accounts solely to customers in their area. With many smaller banks having being taken over by larger national banks over the past few years, this business model has changed significantly.
There are all sorts of benefits to the individuals using the banks’ financial products. They have lowered the costs of banking for many of their customers and transactions take place at a much faster rate than in times gone by. However, there is still a high demand for the personalised service that can only be maintained by staying with a local branch which has the best interests of its customers at heart.
Technology
It is technology, though, that has created the largest change in the banking industry. The widespread use of online banking means that transactions can be completed globally 24 hours a day. Money transfers are almost instantaneous and customers can keep abreast of the exact state of their balance at any time.
Online banking has also meant that costs are significantly reduced as banks don’t need to employ as many people. These savings are in turn passed on to customers, so not only is online banking more convenient, it is also far cheaper for the majority of people.
The move towards technology-based banking is only set to increase over the next few years. The advent of apps for devices such as the iPhone means that soon we will be making transactions using just a mobile phone. These advances will decrease the cost of banking even further for many individuals. However, there is still a lot to be said for going into your local branch and actually speaking to an advisor, at least once in a while.
The reality is that banks today are totally different from those of a couple of decades ago. The majority are now owned by larger, more powerful institutions and this has totally changed the landscape of the banking world. They are able to offer a far broader range of services and products at competitive prices, allowing the average consumer far more choice.
Tags: mobile banking, majority, online banking, competitive prices, bank accounts
“Bling-itis” pushing Brits towards bankruptcy, says expert
May 3, 2008 by admin
Filed under News, News-Credit-Cards
A personal finance expert has warned that young Brits are overspending to compete with their friends on items such as clothes, cosmetics and gadgets, leading many of them into financial difficulty, says personal finance writer Cliff D’Arcy.
Research conducted by the UK’s mobile banking network Monilink has shown that more than 25 per cent of people aged between 16 and 34 years old are spending to compete with others and one in five young people are now struggling to pay off their credit card debt.
The research has coined the phrase “Bling-itis” to explain “young people’s obsession with buying flashy goods for the sake of keeping up appearances,” says Mr D’Arcy.
According to the survey, 21 per cent of young people prefer to spend their money on “personal treats” rather than saving it.
Mr D’Arcy warned that buying luxury goods to “look good and feel good” can lead to debt.
Two-thirds of those surveyed say they are still trying to pay off credit card debts that they built up two years ago.
Text message banking makes balance checking easier
July 20, 2007 by admin
Filed under News, News-Banking
New banking systems using mobile phones are helping in the fight against debt, it was claimed this week.
First Direct said that its more recently introduced services such as mobile phone and internet banking were proving popular with customers.
According to the company’s own figures, almost 400,000 of its 1.2 million clients use the text message service, with about 2.6 million messages sent out every month.
Customers can set up alerts for when they become overdrawn or when their salaries are paid, as well as using the service to check their balance.
Spokesman for the company Rob Skinner said that the service helps customers “manage their money a little better”.
“The mobile phone is something which we carry around with us, it’s almost a remote control for our lives”, he added.
However, Mr Skinner maintained that telephone banking remains popular with some First Direct customers, who “still like to speak to a real person at the end of the phone.
“Ultimately it’s up to the customer to choose the method which suits them best.”
