Banking Technology Magazine | Banking CIO Outlook
bankingciooutlook
DEC - JAN19This leaves the question "who in the bank is responsible for Digital Banking strategy"? Consumer Banks should look internally at who can move the bank past web and mobile banking and see the near-term strategy of online account opening and online Consumer/Small Business Lending. Fintechs are all over this space and now awarded charters for these purposes. Banking as a Service (Baas) has opened doors to Fintechs to white label their Consumer apps and utilize Community Banks for servicing. Online Consumer Deposit and Loan onboarding will be widespread in the next three years. Digital vendors have many implementations in their delivery queue and are months out for new implementations. Commercial Banking from an online account opening and online lending perspective are moving at a slower pace. The legacy core vendors and Fintechs focused on Consumer apps and a few vendors are in the Commercial space. As we witnessed the PPP loans utilizing commercial and small business customer portals for document exchange, this enabled these channels to begin the Digital journey. By end of 2020 several other Fintechs will have commercial online account opening. The commercial lending Digital channel has been around for the past two to three years, however very few community banks have taken the step to take it online. For me these are not technology strategies, these are banking strategies. We must allow our customers to onboard and borrow online. This is more about the customer experience and enabling self service in a very intuitive and easy environment. Like purchasing an airline ticket, groceries, making dinner reservations and now we can purchase a car online and it will be delivered to our home. We must hire bankers who understand customer service and how to minimize friction with simple banking processes. Technology is the enabler and people make it happen. Community banks must make this a large part of their banking strategy and really get involved with these initiatives. BCThis leaves the question "who in the bank is responsible for Digital Banking strategy
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