Why Neo Bank?

As bank services shift to digital, neobank bridges the gap between traditional banks and the changing expectations of customers. Neo-banks are transforming the face of fintech industry, and they might one day surpass traditional banks.

Sometimes, people are confused with digital banks since both offer online banking. However, the only thing that they have in common is their mobile apps.

What’s Neobanking in 2022?

Neobanking operates as digital banks with no physical branches and offers services that traditional banks do not offer. Neo bank makes use of technology such as AI and cloud computing to offer highly personalized services at much lower costs.

It is becoming more important to focus on customer satisfaction and customer experience in the Indian financial landscape. Traditional banks cannot provide customers with all the services they expect. Neo-banks are hoping to fill the gap.

Indian banks rely on legacy infrastructure and are incapable of providing SMEs and startups with financial services such as PGs (payment gateways), Invoicing software, and Cash management tools. In light of this disparity and the explosive growth of mobile technology, banks are logically positioned to merge with other financial institutions.

Neobanks works in what way?

A look under the hood will reveal that both the front and back ends of a Neo bank’s system are 100% digital and aren’t held back by bulkier legacy tech platforms.

Neobanks differ from traditional banks in that they have completely different business models. However, neobanking makes slightly more money between their money inflows and loans than traditional banks do.

Neobanking will offer customized services powered by technology via online access to a customer who is energized by the products. Customer services are their focus, and they provide personalized services powered by AI technology.

In the neobanking environment, decision making is driven by data-driven objectives. Their platforms are modernized so they can easily collect and analyze data about their customers.

What are the benefits of Neobanking?

Since neobanks can be accessed online, shoppers have many benefits. These are important factors to consider when looking for a neobanking service.

  1. Simple and Hassle-free Account Creation

It is no secret how difficult it is to open an account with a bank. Although the process isn’t as complicated as it used to be, there are still some hiccups. However, with neobank, this tedious process can be entirely eliminated.

It’s easy to open an account with neobanks, no matter where you are, and no matter what device you use. In just a few minutes, your account is ready! When there is no physical storefront, so opening a new account does not require travelling.

  1. A Seamless Process of International Payments

The traditional banks might not issue debit cards or credit cards that are compatible with international transactions. You might be required to request an upgrade and finally get a debit or credit card that offers international transactions,

Your neobanking account provides you with the ability to transact and purchase aboard at current exchange rates.

  1. Interface That is Easy to Use

Unlike other banks, Neobanks is committed to providing customers with great service. You don’t have to navigate a slow or unreliable net banking website anymore, nor should you have to worry about having a mobile app that doesn’t meet your needs.

Since neo-banks meet the needs of the average customers and are easy to use, they have quickly gained popularity in India.

  1. Reporting with Intelligence

In a neo bank, transactions can be made instantly. Transactions details are instantaneously populated, so you always have the most up-to-date balance in your app.

This app allows you to easily track your expenses and even set savings goals that you can customize for your own needs. This app will help you to manage your finances with greater accuracy and efficiency.

  1. The Neobank can be an excellent tool for businesses 

Neo-banks offer lower fees. An online bank, neobanks don’t maintain branches, they pass those saving along to their customers.

Higher interest rates. Neobanks tend to offer higher interest rates to their customers due to their low overhead costs.

Easy Access. Using mobile or online banking, you can conduct everyday tasks like checking your bank account or paying a peer-to-peer.

As a business owner, you often have to deal with lengthy and tedious processes involving payments and disbursements. Employees spend hours manually entering data each month due to complicated and buggy software.

Money movement views can be a challenge to view due to the complexity. It is also worth nothing that you cannot make business decisions with understanding payouts.

Using EasebuzzNeo, you can automate, accelerate, and boost every aspect of your financial operations, from accepting debit cards and credit cards to reconciling transactions to flexible payouts.

Conclusion

Neobanking is already one of the biggest trends in India. It has disrupted traditional banking systems. Its popularity has risen rapidly over the last few years. India can benefit from it by becoming digitally connected and by offering customers a unique banking experience.

Author

The author writes about fintech, banking, and future of SAAS services. He works as an SEO analyst at Easebuzz, so if you're looking for an account that tracks India's fintech scene, you should check out his Easebuzz blog.

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