Fintech or traditional banks. the better recourse?

From Stone Age to modern age, the time has evolved, people have changed and so did the technology. From communicating through symbols on caves to communicating with mobile phones, technology has evolved in a tremendous way. Due to its evolution, technology has escalated itself into different spheres, where financial technology is spreading rapidly in the economic sector. In case of financing sector, the rivalry which is going on is between the fintech companies (financial technology), which is growing at a fast pace, and the traditional banks, which has been there from the starting. Now, the public generally gets demented when it comes to the financial part, that whether fintech companies are a better resource or the traditional banks. Well, let us discuss some points which will give a better idea for both the fintech firms and traditional banks.

Digital Is In

Digital future is something which is like a new trend, which is in, as it convenient for the people. Everyone is so busy in his or her life that, either to buy something, or to order something, or even to finance for something, people prefer it to be done through online only, as not only it’s a trend but also less time to consume. Financial requirement is what every single person has nowadays, and because of which fintech companies had taken a lead in this. A Fintech company consists of money transfers, providing loans, mobile payments, assets management and various other things. Whereas the traditional banks have also adopted certain digital measures like the net banking, e-statements, but still the ball is in fintech companies’ court.

No Paperwork

Fintech companies have majorly solved the problems of many people in this scenario. Through traditional banks if you are applying for anything, such as personal loans, or any financial product, you require to provide bile of documents to them, whereas in the case of a fintech company, the process has been simplified, as they are offering with e-KYC options, and also paperless applications, with instant online approvals. With such an easy and simplified process, fintech companies are surely ruling in the financial sector.

Customer Experiences

Fintech firms have again escalated in this scenario. Imagine you have your wedding next week and you are low on finances, how would you arrange a personal loan immediately, Well, here is when fintech companies make their special appearance. Through Fintech firms, you can easily apply for a personal loan and get the instant approval. While in the case for the traditional banks, you need to go to that specific bank, provide bile of documents and then wait for the approval. In making the customer experiences a happy experience, fintech companies have definitely made a winning goal. Whereas, traditional banks, are still trying to beat the fintech companies.

Traditional banks are still somewhere considered superior, as it has the major amount of public as it has been there from starting, but again being startups, fintech companies have the technology, which is evolving more and more in a better and a convenient way for the public.

I am Anjali and I am creative blogger. From the past few months, I work on behalf of LoanAdda Inc.