As banking apps become more and more popular, customers are starting to expect a lot from these mobile banking solutions. They want features that make banking easier and faster, without having to visit a physical bank branch. In this blog post, we will discuss the 10 must-have features for mobile banking apps. We will also explain some of the issues related to these features, such as their complexity and mobile banking app development costs.
The popularity of mobile banking
Banking apps have been skyrocketing in popularity over the past few years. People are increasingly turning to mobile banking apps for their banking needs, and as a result, companies have been investing heavily in improving the features of these apps.
According to Bankrate, almost two-thirds of US citizens use digital banking services. Among millennials, the numbers are even more impressive: 80% of them have used digital banking in 2022. Additionally, 57% of millennials and 64% of the Gen Z population have accounts at nontraditional financial institutions. As for mobile banking specifically, its usage as a primary method of accessing bank accounts has grown from 9.5% in 2015 to 34% in 2019. These numbers clearly indicate that digital and mobile banking are good areas for investment.
As such, it is clear that perfecting the various must-have features for banking apps is an important step for companies operating in the financial sector.
The first must-have feature, if it can even be called that, is proper security. Security is one of the most important aspects of banking apps, and it should be given top priority when developing them. Every app should use a secure encryption system, and banks should also be implementing two-factor authentication to ensure the security of their customers’ accounts. Additionally, app logic and coding standards can go a long way in ensuring that no security flaws will be created in the app's code.
Aside from security measures implemented during mobile banking app development, like device fingerprinting, and real time alerts, it is also important to educate users and use SIEM (security information and event management) solutions. Among potential security breaches, social engineering attacks (e.g.) phishing are mong the most common. Finally, proper testing, secure data storage, and strong protection of the network, servers and API communications can be key in reducing security risk.
2. User authentication
The next must-have feature is user authentication. This involves ensuring that users can securely log in and access their accounts on the app. Implementing an authentication system usually requires a high level of security, which means a development team with the necessary skills and experience should be put in place.
3. Biometric authentication
Biometric authentication is another important feature for mobile banking apps. With biometric authentication, users can securely access their accounts using facial recognition or fingerprints. This type of authentication is becoming more popular and can be a great way to make banking apps more secure and user-friendly. However, it does require advanced coding skills and can be expensive to implement.
4. Payment processing
Another must-have feature is payment processing. Banks should offer customers multiple methods for making payments, such as credit card, direct debit and mobile banking transfers. This requires a secure payment gateway, which will require additional coding and expertise from the development team.
5. Money management
Money management features are essential for any banking app. Customers should be able to easily manage their finances, whether to set budgets and track expenses, or transfer money between accounts. This requires the development team to have a good understanding of financial technology (fintech).
6. Transaction history
Another must-have feature for mobile banking software is transaction history. This allows users to easily view their past transactions and account balances on the app. It is important to ensure this feature has a simple, intuitive design and is easy to use.
Notifications are an essential part of any mobile banking app. Customers should be able to receive push notifications about their transactions and account balances, as well as other relevant banking information. This requires the development team to have in-depth knowledge of coding for mobile notifications.
8. Customer support
Customer support is also an important feature that sets the best mobile banking apps apart. Banks should provide customers with a range of customer service options, such as live chat and phone support. This requires an experienced team of customer support staff, as well as a comprehensive knowledge base to answer common queries. Some of the work can be handled by an appropriately set up chatbot, which is relatively easy to implement but can be costly to maintain. It is important to be careful with chatbots, as they may cause frustration in users if they are seen as unhelpful or preventing access to human support.
Analytics is another crucial feature to add during the mobile banking app development process. Banks should be able to track user behavior and create reports to gain insights into their customers’ needs. This requires an experienced team of developers who are knowledgeable in analytics and data science.
Top user experience
Investing in user experience (UX) design is essential to ensure that customers have a pleasant experience using mobile apps. A professional UX designer can help to create an app that is easy and intuitive to use, while still providing all the necessary features. By investing in these features , banks can ensure they are providing their customers with a secure and efficient mobile banking experience.
Navigation should also be taken into consideration during mobile banking app development. This is because customers need to be able to easily find the features they need and use them with ease. App navigation should be intuitive and easy to understand, so that users are not overwhelmed when using the app. This can be achieved by breaking down features into categories and developing a logical structure for navigation.
Additionally, providers of digital financial services should ensure that their apps are optimized for different devices, such as tablets and smartphones, and for some offline use. This is particularly important for user groups that have access to lower quality devices and worse internet connections.
Finally, accessibility is a key concern for mobile banking apps. For example, color blind users may not be able to easily navigate an app if the UI relies on color-coded information. Users with other vision impairments may require voice interactions with the app, and users with dyslexia can benefit if appropriate fonts are applied.
Delivering a banking app that users will love
The above are just some of the must-have features for the best mobile banking apps. By investing in these features, banks can create secure and user-friendly apps that meet their customers’ banking needs. With the right development team on board, banks can ensure that their apps provide a great user experience, while keeping customer data secure.