New technologies such as blockchain, artificial intelligence, machine learning have transformed personal finance. Customers are getting far superior experience from financial institutions. Data are more secure.
Financial transactions have become more personalized. All these things are happening because so many cutting edge technologies have become integral parts of dealings related to personal finance.
Financial firms are providing services to their customers like never before. They are catering to customers’ special needs without being asked.
Here are some of the technologies that have transformed personal finance:
Chatbots & DVAs
Do you know when you visit the website of you bank, you don’t get assistance from bank’ staff. Digital Voice Assistants (DVAS) and Chatbots do all the works.
They help, they guide you, they patiently listen to your queries, and they even answer you queries. They have become so sophisticated that smartest of you cannot tell you are not getting help from human staff.
Although, responses from chatbots are not as accurate as offered by human customer support staff, but at the same, they are very prompt, and most of the time, are able to resolve most of your queries.
DVAs have gone one step further. They have eliminated the need to use text. They are capable of listening your queries and they reply verbally like a human staff.
Role of Data
Whenever you visit a website, or do some online or offline shopping, you leave a trail of data behind. Machine learning algorithms are doing what human beings can’t do. They analyzed huge data and create a consumer profile that is very accurate.
Financial institutes are using machine learning to understand you so that they can provide customized services to you.
Leading financial institutes are already using algorithms to cross-sell and up-sell products to consumers who are likeliest to buy them.
Blockchain has made financial transaction completely secure. Blockchain keeps track of every single transaction. Trust between trading partners is greater than before these transactions also happen in a very secure environment.
Earlier, for migrant workers, sending money to their home countries was a costly and complicated affair. Now, thanks to blockchain, funds can be transferred across national borders without visiting a money transfer office, waiting in line. Transactions happen over a mobile phone.