Future of banking in India: Greater success

As per the latest bank exam notification, SBI PO exams are just around the corner and one important topic that is being stressed on by experts is ‘Banking and Economy’. Indian banking is progressing rapidly these days, with everyone around the world recognizing and acknowledging it. Deviating from the traditional mode of banking, it has gradually moved towards modern banking. With the face of banking changing in India, experts are predicting many positive things about it. Read on to know more about the future of banking in India.

Future of Banking in India

1. Smart banking

The system of taking a number of documents or papers to the bank in order to open a bank account is slowly fading away. Now, you can just open a bank account with a simple touch on your Smartphone. This exclusive feature is known as smart banking. Since digitalization is the name of the game these days, banking has also become digital in nature. Most banks these days have introduced the facility of digital banking where you can sign up online, pay your initial deposit through net banking and get your job done. This does not just make the process simpler but also help you save a lot of time.

2. Online KYC and electronic signatures

KYC or Know Your Customer is the process through which banks verify your identity so that they can provide extra security to you. Earlier KYC could only be done if an official visited your house and did everything on pen and paper. However, things are changing as you can now complete your KYC online. You will have to just log in to your account, click on the ‘complete KYC’ option and provide all the required details.

The same process is applied when it comes to signatures. Due to this facility, you do not need to go to the bank yourself or wait for a representative to come for your signature. You can simply give your electronic signature and your job will be done. Studies and surveys show that through the process of electronic KYC, you can open savings accounts worth up to one lakh and electronic signatures have been used around 20 million times in the past two years.

3. Paperless banking

Not every region in India has a bank branch. People living in these regions have to travel many miles in order to avail banking services. However, with the rise of digital and paperless banking, things have become easier as you can do your banking from your home. Using the power of the internet, you can just provide the details of your documents online, authenticate your account and get your job done. Additionally, since AADHAR card verification can also be done online, chances of financial fraud are also minimal, thereby preventing risk to security.

4. DigiLocker

DigiLocker is a facility introduced by the Central Government and is a cloud-based system of storing, sharing and receiving documents. With the help of DigiLocker, you will be able to save and store all your important details such as drivers’ license, school mark sheets, and birth certificate. You can then share all these details whenever you want, with government and business organization using DigiLocker. This system helps the government save time and cut costs at the same time.

Conclusion

The future of banking seems very bright and promising due to the factors mentioned above. A few years down the line, Indian banking will be a financial juggernaut and will give tough competition to the banking sector of other major countries. If you are aspiring to join the State Bank of India, you should be familiar with these topics, as it will surely help you with your competitive exam preparation.