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A Comprehensive Guide to Choosing the Best Digital Bank in India

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May 17, 2023

Summary

What’s Inside

The world went from digital-second to digital-first in less than a year. Earlier, online banking was a way to avoid the inconvenience of visiting a physical branch. Today, it is a way of life for customers looking to take complete control over their finances.

We have successfully made it a step ahead of online banking – enter digital banks. Online banking simply refers to a particular bank’s services that are available online. However, the latter is a broader term, encompassing all banking-related activities.

Digital banking is gradually making physical branches redundant. But how to choose the best digital bank in India? Keep reading to find out.

Top Features to Look for in a Digital Bank in India

The key qualities you must ensure your digital bank of choice has are listed below.

1. Easy Account Opening

Every good digital bank will offer its customers a self-onboarding process. Your chosen digital payment bank in India should have an easy account-opening process completed within a few minutes.

This automatically means the KYC process must be simpler and fully digital. If this process takes more than five steps, it is time-consuming and too long-drawn.

2. 24x7 Convenience

An excellent digital payment bank in India must make its services available anytime and anywhere. As a digital customer, you must have the convenience of escaping the long queues that often characterise a traditional bank branch, especially on payday.

The 24x7 convenience feature comprises two factors – a user-friendly application and a seamless process. For instance – the KYC process should be available via video call and be done within a few minutes.

3. High Security

With higher power also comes greater responsibility. Hence, the best digital bank in India will give utmost importance to security. This means the bank must have comprehensive data security systems to maintain customer confidentiality.

One example of robust security is the two-factor authentication system. The double-layer security assures you that your hard-earned money will remain safe despite multiple transactions.

4. Accessibility to Digital Wallets or the Unified Payment System (UPI)

A secure UPI transfer or digital wallet payment system is a must-have feature of any good digital payment bank in India. This will spare you the hassle of visiting a nearby branch to deposit money or an ATM to check for the account balance.

With UPI and digital wallets, payments can be made and received within minutes or even seconds of transfer.

5. Intuitive Additional Applications

Another factor that makes for the best digital bank in India is how well you can plan your personal finances, which means that you must be able to open additional accounts effortlessly and digitally.

These may include credit cards, Fixed Deposits, mutual funds, loan applications, etc. Your power as a digital customer lies in having access to many banking services in just a few clicks. Not only that, but you will also save time otherwise spent on filling separate applications for separate accounts.

Fi Money App: The Effortless Way to Digi-Banking

If you’re looking for a digital money management platform with all the features mentioned above, look no further than Fi Money! The entire account-opening process on the app is 100% transparent and done in less than five minutes. Alongside its licensed partner, the Federal Bank, Fi Money is making secure, all-digital banking available for every Indian.

The app lets you plan your finances, analyse expenses, monitor savings, and schedule investments. If getting money-smart the fun and uncomplicated way is up your alley, Fi Money is your ideal digital banking partner.

Frequently Asked Questions

1. How Do Digital Banks In India Cater To The Specific Needs Of Millennial Customers?

Since millennials are digital natives, they have niche requirements like greater data security, consistent banking experiences across multiple touch-points, and flexibility that fits within their lifestyles. As such, digital banks in India are adopting technology heavily, especially RegTech, to manage risks, optimise processes, and offer more personalised financial services.

2. What Role Do Innovative Features And Technology Play In Making A Digital Bank Stand Out In India?

With technological advancements in fields of Artificial Intelligence (AI), blockchain, chatbots, etc., in the system, banking itself has emerged as an on-demand service. Mobile banking has become many customers’ go-to choice. There is greater accuracy in transactions and better data protection. Not only that but customers can also avail of advanced self-service capabilities like registration, easy account opening, insurance purchase, etc.

3. Can A Digital Bank In India Provide A More Personalised Banking Experience Compared To Traditional Banks?

In a way, yes, digital banking does offer more intuitive personalisation when compared to traditional banking. This may be seen in at least five different areas –

  1. Product Recommendations – A bank may recommend a higher-yielding savings account to a customer who saves money frequently.
  2. Customised Dashboards – These allow customers to view their account balance, transactions, etc., at a glance.
  3. Customer Needs Predictions – Banks may analyse past transactions and savings patterns to recommend tailored products like credit cards, savings accounts, etc.
  4. Personalised Loan Offers – Digi banks also analyse customers’ financial goals and spending habits to provide tailored loan products.
  5. Tailored Marketing Campaigns – A bank may send a restaurant gift card to a customer who frequently spends money dining out.

4. How Important Is The Mobile App Interface Of A Digital Bank When Choosing The Best One In India?

Customers consider a user-friendly mobile app to be of utmost importance in digital banking. This is mainly from the perspective of easy access to banking services anytime, anywhere. Not only that, but an app also brings all information related to an account to a single place for convenience.

Disclaimer

Fi Money is not a bank; it offers banking services through licensed partners and investment services through epiFi Wealth Pvt. Ltd. and its partners. This post is for information only and is not professional financial advice.
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