Tamir Zoltovski Talks about New Changes in Banking

Advanced technology in banking is already changing the financial industry, and the conventional banking set-up is set to quickly change in the next few years. Advanced cryptography and biometrics are some safety features which will protect against bank scams, and remote apps will make it simple than ever to perform many banking tasks without visiting a branch — definitely, the experience is possibly much more customer-friendly in near future.
Tamir Zoltovski (co-founder of Bruc + Bond) defines how banking technology will transform data sharing and the way we manage our money:
1. Advanced ATMs
ATMs changed the bank technology system when they were initially introduced in 1967. The next advancement in ATMs entails contactless payments. Similar to Apple Pay or Google Wallet, soon customers can carry out contactless ATM transactions using mobile.
Some ATM innovation such as biometric authentication, IRIS recognition is already available overseas. These technologies are capable to protect against ATM hacks.
2. Blockchain Technology
Blockchain technology is already established to transform banking and financial services. It decentralizes monetary management from a fundamental authority to an extensive network of computers. Financial transactions are divided into encrypted packets, or “blocks,” which are next added to the computer code’s chain and encrypted for improved cybersecurity.
3. Rise of Non-Banks
Banks are hopeful that technology will permit them to deliver a quicker, more clear experience to the customers. A large part of their resources, however, is essentially devoted to security, compliance and other business-specific needs which helped non-banks — or financial service providers— to enter the market. Since these firms can devote a higher percentage of their resources to cutting-edge financial technology, they perhaps are able to innovate more quickly than conventional banks, drawing the attention of tech-savvy consumers in the process.
4. Partnership
With modification in the banking-sector taking place rapidly, it is impractical for any business, of any size to “go alone.” The worth of setting up the right calculated partnerships has never been larger. Collaborating can broaden products and platforms into new markets, and highlight brands to new consumer segments and form level. The ultimate aim is to improve the consumer experience with an improved value transfer.

When the correct strategic partners are chosen, there should be higher agility, a flawless incorporation with systems and products already in position, and a synergy not like before. There also has to be flexibility within the company that will permit the collaboration to adjust to market changes without renegotiating the relationship.
5. Improved Data Utilization
With improved basis of data and technology to practice insights, there is a great opportunity to proactively recognize customer needs and the suitable product or service to be offered. Away from using an easy demographic, manufactured goods ownership and risk-based profile, banks and credit unions can convey highly enhanced results by integrating both conventional and non-conventional data.
Today, financial promoters and product managers have entry to everyday life and psychographic data, financial/non-financial product possession, channel liking insights, product loyalties, geo-location data, and insights from social media use. The result is extremely personalized communication, which the customer will gET delivered to the device or platform they prefer. If executed well, it can even raise the prospect market ahead of what was possible before, reaching earlier underserved customers who may just have a “thin file” with fewer data available.

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