Consumers have become accustomed to the concept of low-friction digital payments and account transfers, and firms that fail to keep up with the push for ubiquitous money mobility risk irritating customers and losing revenue.
Digital wallets and peer-to-peer (P2P) payment apps are becoming more common in consumers’ daily lives. These same customers are inundated with practically limitless possibilities for financial servicer accounts, ranging from banking to P2P apps, and new account openings continue to climb.
At the same time, those new account users want to be able to transfer money across accounts as simple as they may split a bill with a friend using a P2P app.
Delays in transferring money into and out of bank accounts or digital wallets may prompt clients to seek out another account provider. Consumers do not want to wait days after completing a transaction for it to move from “pending” to “complete.” Nonetheless, without assistance, putting together an efficient solution that matches these objectives might be difficult.
The flood of new account openings that has accompanied the pandemic’s fast digital transition shows little signs of abating. This year, customers in the United States are expected to establish 13 million new bank accounts. Account providers must guarantee that they provide the features that users demand in order to attract new account holders.
The epidemic sparked a digital financial revolution throughout the world, with 40 percent of individuals in low- and middle-income nations making electronic or card payments for the first time. More than three-quarters of global customers will have a bank or mobile money account by 2021, up from 68 percent in 2017.
Increase the Use of Virtual Cards to Simplify Business Expenses
Despite the rapid digital change, commercial financing is still frequently handled using multistep processes and sluggish approvals. Contractors and workers may be required to incur major expenditures out of their own pockets before being reimbursed over an indefinite length of time.
Extend CEO and co-founder Andrew Jamison explains his company’s attempts to offer a better solution for digitizing business spending using virtual cards in this month’s Feature Story.
