Evolution to Revolution: How is Neobank Game-changing for the Fintech Sector?
In the ever-evolving universe, technology is the key reason for new transformations. Likewise, the banking industry has upgraded and armed with technology. So, it is recognized as the Fintech industry now.
Primarily, the importance of Neobanks in the sector is noteworthy. It has impacted the growth of the banking sphere with technology trends. Neobanks are an innovative and the latest approach for tech-savvy users. In this article, you will learn its significance and how it has redefined banking operations.
What are Neobank Apps & Their Significance?
The Neobanking app is the new era of banking solutions. It has been a remarkable approach to prevent the drawbacks of conventional banking operations. Basically, users can create their profiles and operate their accounts from their smartphones. Neobanking apps are the trailblazing solution in 2024 and beyond because it doesn’t need any physical branch.
The KYC, account management, transferring funds, and all other banking operations are streamlined. Users can access all other banking functions like investment plans from the app only. So, it allows users to plan their finances efficiently.
Many big Neobanks are already booming in the banking market. So, Neobanks are breaking the stereotypes of traditional banks. By offering a myriad range of functionalities it is gaining customers’ trust.
You can also make your Neobank app. To ease down your research, here are the steps to create Neobank Apps from scratch.
- Determine your Target Audience
- Prepare Wireframe
- Finalize Fintech Mobile App Developers
- Setup Backend Infrastructure
- Undertake Security Compliance
- Testing & Deployment
- Advertising & Marketing
For a detailed view of each step check the article How to Develop a Neobank App in 2024
Top Neobanks Worldwide in 2024
Now, let’s move to the list of leading Neobanks in 2024.
- Chime
The ultimate best Neobank example in 2024 is Chime. It is a USA-based Neobank with over 10 million users on the Play Store. The app has efficient security compliance. It assists users in managing their finances. For a startup banking firm, building an app like Chime is a great choice. It has a feature set to optimize the user experience. Additionally, it doesn’t charge any extra monkey fees. So, your banking aspect can be fulfilled with a mobile banking app like Chime.
- Revolut
Next up is Revolut, the popular Neobank app in the United Kingdom. Revolut has captured the global users. It offers full-fledged fintech solutions to handle your money. Moreover, the Revolut app fetches the transaction details on a real-time basis. It offers exciting features like currency exchange and investment in the stock market. So, users can get sources of earnings with apps like Revolut.
- Varo
Varo is also among the well-known Neobanks in 2024. It is an all-digital bank in the USA. With no monthly fees, customers like the app’s features. Prominently, the app works to lend credit and increase savings. It also gives cashback and rewards on each transaction. Therefore, Varo has kept up the pace of customer-centric solutions.
- NuBank
Nubank was built with the motive of eliminating traditional banking operations. It focuses on giving the entire financial control to the users only. Nubank has achieved 100M+ downloads. So, you can understand its popularity among the users. It is the prevalent solution for controlling your finances. However, it has been inspiring new banking firms to develop Neobanking apps like Nubank.
How is Neobanks Redefining the Future of Banking?
Neobank has transformed and promoted the banking industry. It is the perfect combination of trending technologies and banking services. There is no doubt that Neobanks have raised the bar. Now, it isn’t merely about banking operations, mobile banking has widened the scope.
In a nutshell, the Neobank has opened the doors for exploring banking facilities. Here are the main ways Neobank will impact the future of banking.
- Quick Accessibility
Unlike banks with physical branches, Neobanks are easily accessible on your mobile phones. It gives banking services to customers at their fingertips. Neobanks assist your business to gain customer loyalty. Customers can use the app anytime and from anywhere. Regardless of the device, Neobanks like Chime offers desktop and mobile banking.
- Real-time Data Tracking
Neobanks provides users with their account details immediately. It tracks online banking activity. So, it notifies users about the account balance, transactions, and other services. Neobanks eradicate long-time consumption like traditional banking. Users benefit from real-time transactions 24/7. Thus, it left no stone unturned in delivering a high-end experience.
- Customized Management
In the fast-paced world, handling your finances strategically is a slightly challenging task. Neobanks delivers financial management tools for first-time bank service users. So, it frees the users from the hassle of overseeing each transaction. Neobanks analyze your activity and recommend the solution. Hence, it manages to provide personalized financial management services.
- User-friendly Features
Although Neobank is a customer-centric approach, it simplifies the user journey. Neobanks are indeed the powerhouse of user-friendly features. You can also build a Neobank app with incorporating the following features;
- eKYC
- Biometric authentication
- AI-powered chatbot
- Fraud detection
- Push-notifications
- Various payment options
- E-wallet
- Gamification, etc.
Furthermore, these features are the proven way to create a mobile banking app. You can enter the fintech market with your feature-packed Neobank app.
- Lower Charges
Lastly, the most important consideration of the customer is cost. Even after offering lower charges and no monthly fees, Neobank has multiple monetization ways. Traditional banks exploit customers by charging higher rates of interest. Neobank has made banking affordable for lower-class people. So, anybody can easily open their account and enjoy the facilities.
You might be wondering how Neobank makes money. Hence, Neobank makes money through transaction fees and credit card payments.
Neobank — The Profitable Banking Model
In summary, Neobank is a groundbreaking idea for fintech or the banking field. We suggest developing an online banking app if you already have your bank established. So, you can get started with Neobank app development. As the app demands many technical features, look for experts with good experience in the industry.
To get the competitive edge, hire fintech app developers. They will guide you through the right tech stack. Also, they will handle the project requirements proficiently. Buckle up and join the squad of robust Neobank apps of the world!
