Banking Application Development: The Ultimate Guide for 2024" /> 
Nataliia PeterheriaBanking Application Development: The Ultimate Guide for 2024" /> Nataliia Peterheria
A century of thoughtful banking application development has come. Investors and startups learn to navigate in the conditions of inflation, interest rates increasing, and the expectation of recession. And today, those entrepreneurs who can create convincing business models receive funding.
Banks can go in two ways and focus on the middle- and back-office functions, providing effective flows, or bet on capturing customers through rich front-office features.
In this article, we focus on the first business model and discuss how to build a banking app that will satisfy the client’s needs and improve their experience.
Django Stars has been developing complex banking app solutions for various business purposes for 15 years.
New technologies affect not only user experience but also the essence of the financial sector. Here are trends you should consider when developing a mobile banking application:
Open banking is the practice of using APIs to enable third parties to access customer banking data (with their consent) to create new applications and services based on this data.
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On a larger scale, open banking doesn’t just mean that banks are becoming open. It’s more of a change in their operational and business model. In their annual report, the Open Bank Project highlighted the main benefits of using fintech APIs for businesses. Apart from improved customer service, it will promote rapid prototyping and new revenue streams — offering APIs with access to a certain type of data to third parties.
2. Blockchain
Transferring money from card A to card B boils down to a few taps. Transfers between different bank accounts are a bit more complex but still a no-brainer, while international transactions are still time-consuming and often include intermediaries who charge extra fees for the services. Blockchain can reduce the number of involved parties, thus reducing the costs by millions. Apart from the hidden costs for the customer, blockchain can help optimize operational processes.
Whenever it comes to referring to past information, like when a clerk needs to create a report about payments based on country, age or customers’ spending habits, it requires them to dig into the archives and juxtapose tables with complex numerical data. The chances of making a mistake are high, and the time it takes to complete this routine task could be used more efficiently. Blockchain simplifies data extraction so the task gets done faster, and the clerk is less likely to err.
Thus, the blockchain can push mobile banking solutions, providing:
The banks that are fully digital – that have no physical branches – are called neobanks. The perk of signing up for a digital account is that you never need to go visit a bank to get service. You do all the financial activities through an app interface. Banks, in turn, reduce the cost of maintaining physical branches and service staff, so the focus is on delivering cost-efficient and user-friendly applications and services.
Artificial Intelligence (AI) – is a high-level term for different technologies, the most notable being machine learning (ML), natural language processing (NLP), and natural language generation (NLG). These technologies are based on learning algorithms that self-improve by gathering and analyzing mountains of data.
