Top 8 Financial Processes Ripe for Digitization

0
Top 8 Financial Processes Ripe for Digitization

Covid-19 has pushed the trend toward remote banking and digitalization, compelling financial institutions to adopt new technologies & processes to keep their companies running despite social barriers. With more people depending on digital solutions for transactions and interactions, the industry focuses on the next set of problems, actively striving to rethink customer journeys by differentiating them from competitors and attracting new generations of tech-savvy customers. Below highlighting are the top eight financial processes ripe for digitization.

  1. Remote Account Opening & Maintenance: Remote bank account opening has become a need of the hour for banks & financial institutions, and customers must be able to finish the process without visiting a branch. The requirement for a digital onboarding solution is vital, and banks must develop e-forms, e-signature, and digital identification systems.
  2. Lending: e-forms, e-signatures, and digital processes can help simplify and speed up loan applications and finance contracts in the lending industry. As all transactions are kept entirely digital and follow workflow standards, the dangers of document errors, like missing data and signatures, are minimized. Given the popularity of mobile-first lending in recent years, businesses should concentrate their efforts on this channel. In light of this, using two technologies: mobile e-signature with digital audit trails and mobile app shielding to protect against cyberattacks.
  3. Residential Mortgage: Even though digitizing the mortgage process has been the industry’s trending topic for over a decade, the progress is slow. However, the pandemic has heightened the need for speedier innovation, regulation, and uptake.
  4. Life Insurance: Covid-19 has expedited the need to digitize the paper-dependent life insurance realm. This has fueled the growth of e-signature technology, which companies see as a quick enabler for digital transactions that can be delivered to agents as a standalone solution or linked with an e-app, agent portal, or core system. These solutions are now widely used in new business applications and areas like agent licensing & appointment, e-disclosure, e-policy delivery, and beneficiary modifications.
  5. Wealth Management: Financial advisors may maintain ties with their clients and provide customized service from home thanks to the increased adoption of digital tools in wealth management and private banking. Wealth management firms must enhance their new remote operations and provide a convenient, intuitive customer experience in the future.
  6. Corporate Banking & Treasury Management: Commercial banking operations can be complicated and frequently entail ad hoc, bespoke agreements & contracts that necessitate signature authorizations and approvals. Speed and convenience can make a difference for banks in the new normal, helping businesses to boost client loyalty and retention.
  7. Auto Finance & Leasing: Rise in competition, the transition to zero-emission vehicles, poor margins, the pandemic, and lower sales have put pressure on the auto domain, which has impacted financial institutions and lenders involved in auto & equipment lending & leasing. This environment has led banks to explore ways to use technology to save costs and enhance operating margins, with e-signatures and digital identity verification methods being used to aid limit contact during sales processes and eliminate costly manual stages.

8. Employee Processes: With the threat of Covid-19 still prevailing, financial institutions must vest their focus on keeping operations safe for employees.

LEAVE A REPLY

Please enter your comment!
Please enter your name here