As the number of online banking users continue to increase at an exponential rate, the demand for banks to reshape their digital banking landscape and improve their online banking experience has also increased more than ever.

By Nosheen Naz

A recent calculation published by Business Insider -Square reveals that the total value of payments made using mobile devices will amount to $503 billion in 2020.Customers are relying on online banking for nearly everything whether to check their balance, engage in online transactions, transfer funds, view financial statements or to shop online from credit cards. These evolving consumer needs are driving banks to adopt digital transformation, modify their products and find a digital financial tool that can enable them to meet the needs of customers.

According to a survey conducted by Bank rate, 64% of millennials and 59% of Gen Xers said they have at least one full-service banking app on their phone. This underlines why banks need to develop a finely tuned banking app that can replace meaningless complexity with simplicity and that’s where PFM white label comes into the picture. It can simplify the online banking experience and adds actual value to the user experience.

PFM is a digital money management tool that allows users to manage finances efficiently. It can seamlessly integrate into the banking app and consolidates customers’ financial transactions, budgeting, and saving goals’ information all in one place. It generates data-driven leads and actionable insights which enables banks to make informed decisions and offer the right product to the right customer at the right time based on their financial activities.

By integrating PFM into online banking services, banks can revolutionize their users’ experience by providing them with a variety of features that can help in their day-to-day financial activities. PFM empowers banking customers to view all accounts in one place which provides a holistic view of their finances and enables them to always stay on top. Customers can set up accounts and monitor all financial activities effortlessly. Another feature is the expense tracker which enables bank customers to keep tabs on their expenses and manage cash flows effectively. Customers can log their daily expenses and effortlessly view their day-to-day financial activities on the app. PFM also acts as a budget manager as it automates budgeting and intuitively allows customers to budget their expenses. It encourages customers to set monthly budgets for various expense categories and when customers record expenses against the labeled budget category, it automatically updates the budget and reflects the change.

Auto-categorization is another useful feature of PFM as it automatically categorizes all financial transactions into relevant categories and transforms the information into interactive visualizations which makes expenses tracking more convenient for customers.PFM also serves as a great analytics tool which empowers customers to view all financial activities in consolidated, clear and easy to understand graphs and visuals which help them understand their financial habits easily. In addition to this, to assist users in achieving their saving goals, PFM works as a wealth management tool that helps bank customers in developing saving habits and achieving financial goals. It enables customers to set up both short-term and long-term saving goals and makes progress tracking incredibly easy by sending notifications and alerts on goal progress. PFM also helps customers receive personalized and relevant alerts based on their financial activities which enables them to make more informed financial decisions.

Where PFM facilitates bank customers on so many levels, it also imparts a variety of benefits to banks that help them improve their overall performance. As customers share their financial needs and goals, PFM allows banks to offer personalized offers to customers and increase meaningful engagement, which consequently helps in increasing retention and building long term loyalty by responding to customer needs with an intuitive personal finance management tool. AI-driven, actionable insights also enable banks to respond to emerging customer needs with the right products and increase ROI by providing customers with a digital money management tool that consolidates all financial information in one place. Moreover, it also enables financial Institutions to identify the cross and up-selling opportunities which eliminate the meaningless targeting and adds value to the product offering which ultimately enables these institutions to offer the right product to the right customer at the right time.

PFM, therefore, does not only provide consumers with a tool to help them improve their financial situation but it also helps banks facilitate their consumers better by catering to their specific needs. Thus, an integrated version of online banking and PFM gives a rich user-experience of self-service while enabling banks to attract and retain more and more consumers, hinting at the future of a transformed digital banking landscape.