The possibilities of doing things with your online bank account are endless. With the technological advances of the twenty-first century, we have stretched ourselves to the limit, and all of these have been benefitting us in ways we could never have imagined. The more we learn, the more we get amazed by the ways banking has developed and the plethora of transactions that we can do at the comfort of our home, and that too at our fingertips.
Let’s consider a few things that we can do with our online bank account.
#1: You can earn offers and rewards
How many of us would have imagined that we would hear about offers and rewards while standing physically at a bank while withdrawing our money? The only offers that we ever heard in the bank about fixed deposit interest rates. However, now with the development of internet banking in surprising ways, we are able to unlock offers after literally every transaction. These offers range from grocery discounts to end of season sales, and people can even collect reward points after each transaction and can redeem them while shopping.
Many banks provide customer loyalty programs that rewards their loyal customers with loyalty points similar to those offered by airlines and hotels. These reward points can help customers earn more money from their savings. Banks can afford these programs as online banking means lower delivery and administrative costs for the bank, the benefits of which they can pass on to their customers.
#2: You can apply for any type of loans
Gone are the days when people had to physically fill in application forms for applying for loans and submit documents, and wait for a week or more to get the amount disbursed. With internet banking, all of this procedure can be eliminated and loans can get cleared and disbursed in less than 10 minutes. At the same time, banks are also offering reductions in interest rates in their periodic offers and if you are one of their credit-worthy customers, you may end up with a good interest rate on your loan account.
#3: You can purchase insurance policies
We are all living in times where external events are playing havoc on our peaceful life. To save us from uncertainties and to provide financial security to families in our absence, many banks are partnering with insurance companies to provide insurance products to their customers. In short, you can actually purchase an insurance policy by applying it on your mobile banking app and the representatives will make sure that you get the best policy in a few minutes.
The arrangement of selling insurance policies through banking institutions is known as bancassurance, and this concept is gaining popularity in many countries due to the advantages it offers. Customers can get a complete package from their existing banks, and this novel distribution model allows customers to get all their financial needs serviced under one roof. Also, due to the banks existing information about their customers, they are in a better position to process claims faster.
#4: You can pay all your bills
Paying your bills can take a heavy toll on your life with all the different payments at different counters and offices. With the online bill pay function, you can add all your different billers on your banking app and pay when they are due. In fact, you can even set up reminders to let you pay your bills on time. The advantages of online bill pay frees you from the hassle of going through many different online steps, as your online banking saves your preferences and you can finish your transactions in a few clicks. You also get added security as banks add multi-layered security protocols to their websites and all transactions, including the bill payments, are completely secured.
Summary
The influence of digital technology in banking is reshaping the financial institutions in the country. The growing customer awareness in the country is positive and according to Amit Kumar, Partner and Managing Director, The Boston Consulting Group, India, “The wide-scale adoption of digital technology …can substantially improve customer level profitability and can add to retail profit pool by $3 – 3.5 billion by 2020”.
As people living in the era of technological innovation, the use of the internet is not limited to social networking, but for conducting complex online transactions mentioned above. Whether it is shopping, or booking tickets, or filing tax returns, everything can be done at the comfort of your homes. We have just scratched the surface, and more is yet to come in this front.
