Page 28 - Banking Finance March 2023

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users can customise their accounts. Your Neobanking app believed, Neobanks in India have a promising future. Here
will benefit from increased client loyalty and engagement. is a list of Indian neobanks:

Freo, Fi Money, Jupiter, Freo, Instantpay, Fampay, Mahila
Biometrics
Money, Niyo, Razorpay, Chqbook, ZikZuk, Finin.
Biometrics verification and validation features are present
in the majority of modern apps, reducing cyber dangers. The
Neo bank services might utilise any one of the following
majority of Neobanking customers are young people, and
three business models:
they like simple login and signup processes that prioritise
Traditional banks that are starting their own digital
face or fingerprint identification technologies. It will be
operations.
advantageous to add it to your account.
Companies in the fintech sector that work with
conventional banks to offer a mobile or online interface
Real-time Fraud Detection
for their partners' goods but lack a licence.
For all sorts of banking apps, the fraud detection mechanism
is crucial. Neobank app development may be a novel idea, Neo banks are authorised financial organisations that
but it is still important. It will make it easier to recognise conduct business independently of regular banks. In
legitimate users and spot any fraudulent activities. nations where it is legal, this is often true of licences
for digital banking.
E-wallet
Freestanding licenced neo banks in India have not yet
Fintech applications and e-wallets are closely related. Instant
received approval.
payments are made simpler for customers via e-wallets.
From a security perspective, it is a fantastic choice to add
FIA Global, a top supplier of business correspondent services,
in your Neobank app. Here, you may benefit your business
states that the typical neo bank services include:
by fusing the creation of e-wallet applications with Neo
Accounts for savings and payments,
banking.
as well as services for transferring money &
Tools for financial education that assist with budgeting.
Functions of Neo Banking
Technology, most notably Artificial Intelligence Technology, Most neobanks give little to no credit in order to reduce their
is what powers Neo banks' operations in India. Neo banks
risk, which aids in keeping prices low. On the other hand,
don't have any physical locations, thus their whole service
some neobanks collaborate with ally banks and credit unions
model is based on utilising technology to offer their clients to offer loans to people and enterprises.
high-quality, highly customised financial services. The
Reserve Bank of India (RBI) has not yet given neo banks in
Neo banking vs Traditional Banking
India permission to hold a banking licence. Since their
Traditional banking is a specific bank's customer service
banking partners have a banking licence, they are, legally
grounded in the actual world in any way-financial, political,
speaking, platforms that provide financial services. Focusing
or otherwise. Naturally, you are not need to visit the bank
on innovation is one of the essential components of Neo
location to complete this. A comprehensive range of bank
banks. Neo banks are always seeking to advance and
services are available remotely thanks to modern
improve their use of technology to give clients a smooth
technology. Even very complex operations can be completed
experience. They have the extra benefit of having low
remotely from the bank using a desktop or mobile device.
operating costs because they do not have a physical office
Frequently, it doesn't even matter if you are at home or
from which to offer their services.
overseas. In conclusion, everything takes place within the
framework of a real bank, albeit outside of its walls.
Neo Banks in India and its service
Neo banking in India has made huge profits over the past Neo Banking is only available online. It has no physical
several years thanks to the fintech ecosystem's focus on user locations and communicates with customers only through
friendliness and client happiness. And if experts are to be remote means including phone, chat, and email. All of

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