April 26, 2021
Creating a Fintech App
4 Mistakes You Should Avoid
Fintech has become a term we can’t avoid when discussing finances, as the whole finance environment has gone digital. Fintech’s fundamental goal is to enhance financial practices by making them more usable and straightforward. While completely transforming the landscape of financial services is a difficult task,
Fintech’s capacity for meeting consumers’ ever-increasing requirements at a rapid pace is limitless. Financial institutions have recognized the potential and started digitalizing their services to meet customers on the channels where they are the most present. Using in-house teams or partnering up with experienced tech teams, they have been creating digital strategies that involve fintech apps, contributing to the overall growth of the fintech market.
In fact, the global fintech industry was valued at $127.66 billion in 2018, and it is projected to grow at a CAGR of 24.8 percent to $309.98 billion by 2022. According to Statista.com, 66.7% of bank executives think fintech would have a global effect on wallets and mobile payments.
However, when you’re under a lot of pressure to meet your customers’ demands for fast, simple, and safe transactions, it’s easy to make mistakes when creating a fintech app. These errors would not only result in a negative user experience, but they could also cost you a large portion of your resources.
Just a single error in the app can either make or break your day. In order to keep clients and actively work to meet your targets, you must be mindful of all the mistakes you should avoid when creating a fintech app.
The aim of your fintech app UX design should be to make it as easy as possible for people to manage their finances. To find the right balance between the fintech app framework and the consumer specifications, you need to create the perfect UX. To achieve this, have several things in mind.
First, don’t overwhelm users. When it comes to finances, it just takes a bit to get matters confusing. In certain ways, showing far too much information will make the user feel anxious. Likewise, having a lot of features in your app will increase the mental burden on the user.
Then, try not to make a boring app. You need to inject more excitement and fun into your fintech app concept to make it less boring. Positive feedback and a tidy interface, together with a seamless flow, do wonders for inspiration and trust.
Also, avoid complex financial terms as much as you can. A financial app must be understandable to all in order to provide a pleasant experience. To do so, you’ll need to create proper terminology that won’t confuse your users.
Not considering security matters
Almost all FinTech apps deal with highly sensitive information. It entails moving and maintaining funds and financial records, which can be put at risk if the application’s protection is inadequate. With so many hackers now attempting to smash in through multiple channels, it’s more important than ever to keep your app secure.
When it comes to security, fintech software developers must follow specific protocols. There must be encrypted codes in place to secure sensitive data. If you decide to use face detection or other biometric authentication solutions to ensure your fintech app provides access only to the designated user, you must prepare carefully.
Ignoring data cleansing
Since fintech is a part of the finance industry, it has access to a lot of complex data. Fintech systems use data from a variety of channels, with varying formats and unknown consistency and quantity. The financial industry is so ingrained in the ecosystem that it can introduce a slew of unknown and unexplained glitches for someone working on a fintech app. You may be looking at data from mainframe legacy archives, a personal archive, a stock exchange, and other sources.
Since data is so interconnected, it’s critical for the creator to sort, prepare, and then use the data they gather for the application. Fintech software providers must carefully consider what types of data they need to provide reliable results when creating a fintech app. The fintech framework may be slowed down by improper data organizing, missing information, and replicating stored data. It’s critical to filter the data with validated algorithms so that scaling the app isn’t a problem in the future. You can avoid a lot of glitches by specifically observing or performing data cleansing.
Forgetting about accessibility practices
Accessibility is one of the essential qualities in today’s apps because it provides a solid basis for inclusion. A more open product would attract more users, resulting in higher levels of customer experience and, eventually, better business benefits. Many programmers may not feel this to be a significant aspect of their work when developing an app. However, if you’re creating a fintech app, good accessibility is a must-have feature. This includes:
- Precise and understandable information
- Easy-to-navigate interface with the movement of the hand in mind
- A good contrast to make the critical elements visible
- Audio alternatives for the essential information
Moreover, fintech apps should have the ability to fetch and communicate with servers easily. These features must be built in from the start and not released as patches by the app developer. Uncertainties vanish as connectivity becomes a central aspect in a method, which has a massive effect on the user experience.
All of the above recommendations about creating a fintech app can help you create a better end-product. However, they are meaningless if you don’t have a solid product idea that effectively solves a specific problem for your target group. Building a mobile banking app is difficult enough, but developing it in such a way that the consumers have a positive UX and UI experience just adds to the burden.
A one-of-a-kind fintech application with all of the recommended features and protections boosts the competitive edge and ensures end-user loyalty. Getting professional advice is often a good idea, particularly for those with no prior experience in the industry.