Banking and Financial Software Development: Features and Requirements

No matter how significant money is in our lives, most of you are unaware of efficient ways to manage it. Fortunately, we have a plethora of banking and financial institutions at our service that runs the trains for us seamlessly. At present, we are witnessing a vast transformation in banking due to emerging disruptive technology. Yes, no two ways about it, the ways of conducting cash management, credit/capital and a plethora of banking services have transformed to a great extent again due to technology.

Artificial intelligence, blockchain, big data, machine learning, personal finance management software, the internet of things, voice banking, banking as a service, etc have certainly resulted in the creation of a banking scenario that one would have never thought of in their wildest dreams. Imagine today if you want to pay a merchant, all you have to do is tap and pay, if you have taken any kind of loan then you don’t have to worry about returning the money, it can be automatically transferred at regular intervals – all you have to do is keep sufficient balance.

It is expected that by 2025, banking will work behind the scenes of every activity you do.

No wonder, digitalization is transforming the world including all industries from manufacturing to retail, media and entertainment, education, aviation industry and whatnot! There are several predictions made regarding banking and technology that the banking sector will soon be doomed. However, technology being a double-edged sword is unpredictable, in fact, if we focus on the brighter side it can work wonders like never before. It may quite interest you to know that several financial software development companies are brewing up offering full-fledged banking and financial softwares that can assist you in having a cutting edge over your non-technologically savvy competitors.

Banking and Financial Software

Now we all know what the software do or how important software has become to handle every aspect of life. Much like other softwares, even these banking softwares tend to automate and simplify the procedures, reduce excessive bureaucratic hurdles, and obstacles and satisfy end users to a great extent. Some of the finest examples of banking software include CRM systems, banking systems mainly used for management purposes, financial operations control, mobile apps, and so forth.

Now, what is an ideal banking software or what makes an ideal banking software? Well, there is no cookie-cutter way or solution that has to be done in such a manner. Overall, you need software that assists you in simplifying all your day to day tasks and eliminating all the monotonous and tiring tasks.

Apart from these, modern banking has included the internet to such an extent that managing your money is possible from anywhere in the world.

You see developing a banking software is complex, confusing and expensive.

So, exactly what type of software is required to manage Banking Services?

  • One that enables bank to manage financial operations and transactions
  • Document management software
  • Administrative management software
  • Customer service solutions

So, exactly what type of software is required to manage Financial Services

  • Management accounting
  • Balanced scorecard system
  • Transfer management of financial resources
  • Financial planning and budgeting
  • Manage finance statements

Further below I would like to mention certain must-have aspects/features that must be taken into account while developing banking or finance software.

●      Account Management

What’s the point in developing software especially banking software if it doesn’t carry adequate account management. The whole point of developing such softwares and solutions is to manage bank accounts seamlessly. If the software comprises of adequate bank account management capabilities, several tasks can be conducted with ease. For example, users can monitor their transactions, credit card details, check balances, view transaction histories, transfer funds, pay loans and whatnot.

Yes, the one-size-fits-approach works wonder like none other solution. In fact, by using such banking software, investment plans can be created in no time. Apart from these, there should be a provision for end-users to create a category that specifies where their money is being spent on. Right from food to shopping to entertainment to other miscellaneous expenses, the money can be tracked easily.

●      Security

Another interesting must-have feature in your ideal banking software or finance software should be full-fledged security. With security breaches happening every now and then, businesses are supposed to be extra careful and that’s when they are asked to come up with banking software or finance software that features security as its paramount.

Yes, make sure your app has secure sign-in functionality or a two-way authentication process so that you can avoid as many security breaches as possible. Also, at the same time make sure not to involve too many steps that could easily irritate end users. You see there is a fine line difference between cautious and paranoid. So ensure that you don’t cross the line and lose your end-users.

So what exactly makes a secured sign-in process? Well, it is said when the end-user is able to sign in easily, quickly and securely. Here you can also consider incorporating multi-factor authentication. Now this feature might be a bit time-consuming but it turns out to be extremely secure.

Apart from this, Biometric technology is pretty much in demand as it has the potential to recognize a person’s typing, rhythm, voice, and even physical gestures. Yes, technology has created endless opportunities in places that one could never expect.

●      QR Code

Another exciting aspect of offering full-fledged security is by incorporating QR codes while creating software for the financial organization. QR codes are not a new term though! I am sure if you have been using google pay or made any kind of mobile payment, the use of QR codes has been done.

Plus, it turns out to be a convenient way to make quick and contact-less purchases.

Even banking softwares have started incorporating QR codes within their existing and newly-made applications. All you need is a smartphone and money can be paid seamlessly with additional security.

●      Personalized Experience

In today’s times not offering a personalized experience could be a major hurdle. Gone are the days when offering a generic solution turned out to be more than enough for the end-users. At present, personalization seems to be gaining momentum. Businesses as well as clients have started trending towards the concept of personalization and customization.

Try to develop a banking software where all the transactions are personalized and increase engagement with the end-user using different communication channels.

●      Peer-to-Peer Payments

Carrying cash all the time with you has become a little passe’, especially after the rise of cashless transactions. You see this gives significant momentum to the concept of peer-to-peer payments. Now, what exactly is this all about? P2P enables banking customers to transfer funds from their current or saving account to someone else’s. These transactions take place directly via using mobile apps.

Since the inception of P2P payments, people started worrying less regarding their money’s safety, security and other finances.

However, you will come across several third-party providers offering the same kind of service but convenience is what makes these banking applications a cut above.

No doubt, there is no guarantee that these third-party services are secured or reliable and capable of conducting prompt payments.

●      Planning and Forecasting

There is no point in developing a banking software that doesn’t offer appropriate planning and forecasting. To leverage historical data and predict future financial activities is what is considered the need of the hour. You see increasing incomes and revenues is possible when proper planning and forecasting are done.

Go through the historical data and look out for potential scenarios, market conditions, and acquisitions that can directly or indirectly affect your finances. So yes, planning and forecasting should be a must-have feature.

●      Paying Bills

In today’s fast-paced world, who has time to stand in the queue for hours and hours to pay mobile bills or electricity bills? Earlier, we had no other option but not anymore. Yes, there is no point in conducting such time-consuming, inconvenient, costly tasks. Since you have the alternative to pay bills using your banking application.

Apart from time consumption, you no longer have to worry about your check being stolen or getting misplaced, buried under useless papers, etc. Not to mention by using these banking apps, payments can be made from anywhere and at any point in time. Also, you have the scope to set an automatic bill-pay feature so that no single payment is being missed. For example, auto loans with fixed instalments can be deducted, you can set up a recurring payment model, check bank statements, balances, spending habits, etc.

●      Cashflow

Now, what is another main objective of creating banking software? It’s to manage cash flow seamlessly. Tracking income was not an easy venture but not anymore. With the increasing fintech technology, managing finances has become more easier, speedy and accurate.

It is now more than possible to streamline consolidations, allocations, budgets, and other cash flow management tasks in real-time.

●      Chatbots

Another interesting feature that must be incorporated into your banking or finance app is chatbots. You see not being replied to is one of the worst scenarios anyone could face in their lives. Besides, it is a turn off for your end-users compelling them to switch to your competitors.

Fortunately, today you have a chance for providing excellent customer service by incorporating chatbots. These bots are pretty intelligent and can assist customers in the best possible way. Plus, they offer 24/7 support, which means customers can contact your banking services at any point in time without having the fear of getting disappointed.

Since chatbots tend to work round the clock, they tend to answer hundreds of questions and the best part is you don’t have to pay anything. Not just customers but even banks are seen being benefited from using customer support chatbots.

●      Advanced Reporting and Analysis

There is no point in developing an app or banking software that doesn’t feature advanced reporting and analysis. Day in and day out, several transactions are being made, therefore one needs to have accurate balance sheets, profit and loss statements, budget allocations and several other financial reports. Thus, you need an appropriate financial software package. Now what are certain aspects that your software package must incorporate:

  • Advanced security features
  • Web-based access to eliminate troublesome requirements
  • Seamless integration

What happens when you incorporate such Banking or finance software?

  • Reduced operating costs
  • Ensure compliance and security
  • Short deliveries
  • Provide instant banking solutions
  • Gain a competitive edge
  • Enhanced productivity
  • Gain trust via multi-channel communication

And it’s a Wrap!

So yes, that’s all for now! I hope now you know what an ideal financial software looks like or how the software development is supposed to be. Banking and managing finances is a heyday, every day you will find something new and worth learning. So try evaluating multiple options and make sure to end up choosing a company that has the potential to provide the best ROI possible.