5 Latest Features of Next-Generation Core Banking Solution
In India, the core banking solutions are more than 10 years old. The core banking solutions were designed and built to cater to different requirements of online transaction processing systems. With the emergence of technology and the modern internet, the banking systems around the world underwent a colossal transformation. In the past two decades, the revolution has introduced new methods and technologies to perform basic banking activities. This has replaced the traditional banking systems with more modern and sophisticated solutions and has become an institution in our society. One such revolutionary system that has ruled out the traditional banking system is the digital core banking system.
What is the core banking system?
The core banking system is a back-end system of banking that processes various transactions across various branches of the bank. CORE is a short form for Centralized Online Real-time Exchange. As the name says it all, it is a centralized system that is created by a bank and its branches. The customers can manage access and make basic transactions from any branch of the bank. This system, therefore, removes the barrier of geo-specific transactions. The core banking is operating with an aim to empower the existing and probable customers with the freedom to manage their account transactions.
Benefits of the core banking system
Core banking software solutions are widely adopted now by banks owing to the massive amount of benefits it provides.
- It considerably brings down the operational costs
- It requires only a lesser amount of manpower
- The errors during multiple entries are eradicated.
- Gives great accountability for customers
- It is highly efficient and user-friendly
- Management of existing products and introduction of new financial products has become seamless
The next-gen features
The core banking system has started to let out branches in India with the adoptions of a plethora of features. These power-packed features have made core banking solutions a tool for digital transformation.
One of the most cumbersome tasks that are performed by the traditional bank is customer banking. Once everything was paper and the banks struggled a lot to collect, analyze, and store it manually. But with the core banking and financial services, the hassle of endless paperwork is just pushed away. The entire process can be finished with just a few clicks as everything is digitized.
Management of digital cash
The basic and day-to-day transactions including withdrawal, deposits, and transfers are processed without contact of any in-person. This enables a safe and easy transaction. The added benefit is that other banking activities such as bill payments, credit card payments, and online retail transactions are also managed by the core banking systems.
Data management has become more secure
When it comes to banking data management is one of the most critical aspects. The core banking platforms have made it an impeccable and manageable process. It provides consolidated information containing customer data, business data, and transactional data and helps the bank to make crucial decisions. Precise data management helps the bank to suggest the right products to the customers. It also aids the bank to evaluate the growth strategies followed by them.
Integration to mobile apps
The mobile app has become a mini-bank in hand. The mobile apps allow the customer to carry out the basic transaction from anywhere. It ensures a seamless transaction without any interruption. This is one vital tool to increase customer engagement.
Advanced security integration
One of the vital significance of financial core banking software is top-notch security in all sectors of the bank. The CBS platforms have features like dual authentication process and digital identity management to add an extra layer of security to both banks and the customer.
The core banking systems are being embraced now by banks and the customers owing to its incredible features have been increased. The adoption of CBS in more numbers is going to make the banking sector more competitive and demanding in the coming years.