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Many assume that banking is an industry that doesn’t change much — that it’s run by austere men in double-breasted suits, moving money around and making advancements only when compelled. The truth, of course, is very different. These are the five top technologies affecting the world of banking in 2020.

 

Person-to-Person Payments

 

If you owed someone money in days past, you had to go to an ATM and pull it out, then deliver it to them. With the development of new P2P (peer-to-peer) technologies such as Venmo and Zelle, cash transactions are far less necessary. Venmo, popularized by younger early adopters as an instant transfer system, has lately lost some share to Zelle. Zelle is now the money transfer software for more than twenty of the largest banks in the US. If you have an online banking app, take a look in the ‘transfer’ menu option – you may be surprised to see a new Zelle option there.

 

Video Collaboration and Marketing

 

Consider the process of handling a problem with your account. You can either call your bank and navigate through automated menus until you can get to a banker or take time out of your day to visit the branch directly — neither option is ideal if you need to handle the problem immediately. That’s why more and more banks are investing in technology that allows customers to contact their bankers directly from the privacy of their own homes, improving both productivity and the customer’s ease-of-use.

 

Digital Account Opening

 

This is a simple one, but, surprisingly, it took so long to become an industry standard. Banks have explained their sluggishness by saying that they’re working to bring their online systems into compliance with federal regulations. Still, the truth is that opening an account isn’t that difficult. You generally need two forms of ID and must be willing to consent to make an electronic signature. While valid personal identification is critical, banks such as Wells Fargo do not require proof of US citizenship to open a bank account.

 

We all need banks at some point, and while many may seem stuck in a bygone era, the largest banks are moving fast to compete for your business with better and faster technology.