What's Next?

What's Next

Time and technology make big changes in banking. Let's take a look at a few current trends in the infographic below. Find out more details beneath the image.

Bitcoin

Bitcoin is a digital currency that is used in a peer-to-peer network with no middle man such as a bank involved. Bitcoins are valuable because they are rare and they are useful and accepted as a form of payment by people all over the world. Because they are used peer-to-peer, costs of items are often lower because there are no fees. As more merchants accept Bitcoin, the value will stabilize. The downside for banking is that Bitcoin reduces the need for the services of a financial intermediary.

Crowdfunding

Small businesses have always depended on banks for start-up and expansion capital. If the loan wasn't available from the bank and friends and relatives did not have the money to lend, many new business ideas never got off the ground. Thanks to the internet, small businesses and individuals have a new way to acquire funds, namely through crowd funding. Through websites like Kickstarter and Rocket Hub, business owners and individuals can put their projects on display and hope for small amounts of money from large amounts of people to fund their project.

Mobile, Online, and Virtual Banking

The days of rushing to the bank on Friday afternoon to cash your paycheck for money over the weekend, are all but gone. First, more and more companies pay their employees through electronic transfers which makes payroll safer and more efficient. Bank customers don't really have to go to the bank at all to conduct business. They can pay their bills online, transfer money between accounts with their phones, and interact with virtual tellers at ATMs and bank kiosks. In addition, customers can apply for loans, make investments, and buy insurance at their bank's website.

Mobile Wallets

In the future the answer to "what's in your wallet?" will probably be "what wallet?" Your phone will be your wallet. Several smartphone manufacturers are offering mobile wallet applications that allow you to pay from your phone. You can use these apps to make payments straight from a bank account or from a credit card. Technology requires you only tap your phone against a special sensor that records your payment.

These are just a few of the current banking trends. What would you like to see in your banking future? In your next assignment, you will come up with a new banking service and create an ad for it.

 IMAGES CREATED BY GAVS