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Anyone who is familiar with digital bank?  All I know is that, unlike traditional bank, they do not have the bank building hence saving them from all costs related to it.  In my country, they are offering higher interest rates returns compare to their traditional bank counterpart.  Anyone knows the reason why they can do that?  Also, what is the pros and cons of using digital bank instead of traditional bank?

I am not thank knowledgeable on the matter, but especially if they are new on the market, they have to do something to attract customers, don't they?
Plus, not having to have offices all over the place will save them quite some costs. Win-win, at least on the paper.


I can't say for sure, but one thing I'd expect is not-too-great customer support. I mean that if the number of customers increases their call center may get a bit busy and you don't have the chance to go to the office and yell to an employee.
Maybe I'm thinking too far, but another thing may be their actual residence / the country under which laws they operate - which may or may not be the same as yours.


Maybe you could ask in your own country's topics, specifically about the bank you are interested in. Some may give more spot-on answers.

Are you sure they don't have building in your country? try to search the bank in google maps, you might find it in the other city because that's what happen in my country.

Pros:
Easy to access.
High interest rates.
Many promotions.

Cons:
Mostly not insured.
Hard to find the ATM and branch/building.
Higher chance to bankrupt.
Probably bad and slow customer service.

I don't know for your country but in my country, digital Banks offer low interest rate returns compared to the traditional banks, and the reason why they do that is because they have low operational cost and more money in their coffers, unlike the traditional banks that runs high operational cost, because they have their branches spread around the country with staffs working everyday day.

In terms of the pros and cons of using digital Banking. I think one of the disadvantage of a digital Bank is the absence of physical office in most locations, so if you have any issues with your account, you have to get across their customer service, which most time don't respond on time. I believe most digital Banks are not allowed to receive tax payment in my country, they are not allowed to operate or open business and cooperation account for any customer.

There are actually a lot of digital banks in my country, and to be honest, many of them are currently doing very well, much more than their physical banks counterpart, for example, we have one called Opay, we have Kuda bank, Palmpay and so many others - this digital banks are doing very well for themselves because on like the physical banks, this digital banks not only provide a higher APR when it comes to fixed deposits, they also provided users with better network services for easier and much faster transactions, like for example, I've personally being using opay for some years now and never any issue with not getting refunded a failed transaction within 24 hours, meanwhile in a physical bank, the failed transaction can last up to 2 weeks to get resolved, and this also depend on how frequently you are visiting the bank.

The only downside of digital banks is that, some of them lack good customer support, but opay for example have started opening offices here in my country where customers can walk in to make complains just incase they don't get a timely response online.
And again is on the issue of trust, digital banks are risker to use than physical banks, and to reduce the risk, only use ones that are issued and given license to operate by the Central Bank.

Some of the digital banks that are operational in my country currently mostly started with loan service; they started by giving out loans to people, and from there they built a little, which they then moved ahead to start a banking system. 
 
And one of the reasons I believe they have a higher interest rate is the fact that they are more accessible than the traditional banks, and their loan terms are very low compared to commercial banks, but when it comes to the interest they attach to the loan repayment, they always have higher interest than the way the normal banks charge.
 
Once you fail to repay on the agreed deadline, interest is immediately attached to it, so there are other means they are using to make quick money compared to the traditional banks.

these are usually savings accounts not ones that come with debit cards. in short you wire transfer funds in and out of them to then get higher rates than a debit card account would

here in the UK having a debit(visacard) account only gets you 1.5% where as if you use a banks "online" account you can save at 4-6%
they can do it because they are not paying visa/mastercard. plus savers keep value for a year rather than raiding the account every month on bills/daily living costs so the money stays in the account for the banks to invest and use as a base point for other activities that earn bank money and thus pay their customers money

also yes a physical bank branch might only have 20k customers per branch(particular sort-code/routing number(small town for that bank brand) meaning if someones average savings is $12k then those 20k customers of $12k is $240m total holding. but the buildings physical costs and labour of staff and other costs can be 1% of a banks customers total holdings. so by having it "online account" they can save 1% but also have access to more then just 20k small town branch managing a particular sort-code/routing branch allotment of customers, which further dilutes costs on the bank

pro:
by not having physical branch costs can save(and pass on) 1% to the customer
by not having visa debit card costs can save(and pass on) 1-2% to the customer
by having money saved more then a months length generates more profits, to pass onto the customer

con:
reliance on online service and their online customer support
may not get a debit card as most are savings accounts
requesting money in-out is reliant on wire transfer not ATM
bank runs. though bank branches have duties to allow withdrawals(at limits)
online accounts can have different conditions and due to lack of physical branch its not like you can complain or demand anything face to face

my bank brand does have branches and online accounts. but the online accounts can only be managed via the online portal as the (in uk) sortcode is not the physical branch sort code

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super-con

digital payment services, can act like a bank without a banking charter and thus not be insured by a banking rules of a government compensation plan. so be sure the online account is an actual bank and not a payment service

as far as i know, digital banks have head offices and branches, but only in certain cities and with fewer personnel compared to traditional banking, because all activities, complaints, requests, etc., are carried out through the application, only in cases certain customers need to go to the head office/representative. and because the number of offices and personnel is much smaller, they can reduce operational costs to the maximum in order to achieve efficiency and the best offers to their customers.

and due to their lower operational costs and better management of customer funds, digital banks are successful in making profits and offering higher interest rates to their customers compared to traditional banking (but not exceeding the interest rates set by the central bank).

so if you find a digital bank that offers interest above the interest rate set by your country's central bank and does not have an umbrella for protecting customer funds, you should be wary of that digital bank, because it is very possible that the bank will scam its customers.

I have never used a digital bank even though it is also very familiar in my country under several different names at the moment. However, for now I still use a traditional bank with very ordinary services even though I don't save more money there, except when I need more money to send to businesses. So I don't know what the advantages and disadvantages are in digital banks in my country so far even though I also have the intention to use them someday.

well, you said it yourself they save more money than traditional banks because they don't have physical infrastructure. so they can afford to offer higher interest rates but it could also mean it's just a matter of time before the digital bank becomes a scam.  real banks can't even offer 3% interest rate. it always comes with a warning sign you won't even know who to look for if you want to complain.

one good reason for using them is that you can offer from an e-commerce site stress-free. i just keep clicking when ordering a product from an online store.

You have mentioned that because they don't have a physical presence they would spend less on rent and other property payments. I also think they save money by paying fewer workers since they can run the bank's services with the help of technological tools. Some of them might not also pay a high licence that these traditional banks pay which might reduce their operating cost. Some of them might not be some of these statutory fees because they don't have any physical presence in the country.


Reduced cost of operation is one of th reason why they give high-interest rates. And many of them also engage in more risky but profitable Investment than traditional banks. One of the advantage of these digital banks is fast services and less complicated registration process. They also offer more innovative services than these traditional banks. I am not comfortable with them because many of them turn out to be failed and scam banks. They can easily defraud depositors because they don't have a physical presence and might not be tract easily.

Well, haven't you already replied your own question in your post?

Therefore, they can offer better rates than traditional banks... That is the most reasonable hypothesis for that question.

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As you have already mentioned, they offer higher interest rates. That is one of the pros. Furthermore, I also prefer digital banks because they are practical and accessible for me. The one I use has a very complete app's platform, where I have access to every features, including several categories of investments, varying from saving account to international stocks' market, and of course, cryptocurrencies.

On the other hand, there are also cons. First and foremost it's the difficult to talk to support in real time, anytime you want. You have to wait several hours to get replied sometimes... Meanwhile, through a physical agency, you could just call the manager and talk to him directly. Another cons is when investing in cryptocurrencies, as you can't cashout your coins and tokens from the bank to a private and personal wallet, as they are mandatorily held in custody, similar to an ETF.

There are few banks in my country that only focus on digital banking but it doesn't mean they even don't have an office, probably they have few branches and let all the work done via online from account registration, KYC verification, deposits via machines from their own or from many other third party service providers.

So cutting the expenses can give some leverage to offer better internet rates.

We've got quite a handful of these digital banks in the Philippines, and as some have pointed, they are able to give out more generous interest rates than physical banks due to decreased operating costs by not having to pay for lease on buildings/office spaces. Plus, since the said interest rates can only be had if the money stayed in on an account for a certain period of time, users are usually just leaving their money there for extended periods of time to accrue said interest. This gives the bank ample time to make money off of these deposits and in turn, giving out the crumbs to their depositors to attract them to deposit more.

Other have pointed out that they're having a hard time reaching out to customer support for these digital banks. Here in our country, you can get connected to a real human in a matter of minutes. Don't get your hopes up though, because even though you can get a live representative over the phone, there is a high chance that you'll get passed on to several people before they can address your questions properly.  :D

Never mind digital banks, traditional banks are not very familiar because they are in contact with them or only go to big buildings with guards when there is a need.

I'm not familiar with digital banks. In my country, around 10 digital banks are operating, but I don't know all of them are still actively operating.
But for me digital banks have unreliable doubts because not all areas in the country they operate in have representation like in the area where I live.

I know about this and I even use some of the same or close to what is called a digital bank but i think it would be very funny if they dont have a bank building or office that is not used as an operational because it will obviously raise the question of where we will complain about the problems we have if we have problems that cant be resolved because after all an agency can be recognized if they have a place to be used as an operational office in the end .As for the usefulness of digital banks like this it is clear that this is an option for me at least for now because ill continue to live within the scope of the bank so indeed for the same thing or close to dealing with fiat it will still be very influential and with something like this .

Besides stating the obvious, digital banks these days have begun working hand in hand with the central banks of the countries they operate in and have also started issuing out credit and debit cards as well as have at least an operating headquarters they work from.
I also believe digital banks have a better customer service delivery system that is both automated and also offer live discussions with online customer service representatives.

One other thing is that digital banks has more options for funding wallets for gambling or betting or paying bills and other services that many offline banks would deem necessary to fit in their online apps.

I don’t think they didn’t have a building or a place where they will be operating the activity of their project, because online banking are like a project or a micro finance bank, which most be registered with the central bank of the country. So I don’t think the center bank can give them a complete License without seeing where they will be operating from. So I think they most have a place or building that will be the headquarter of their banking service, which after they have gotten lost of costumers they will start creating some agents for some locations around the country. for easy access of the costumers, which as you mentioned this will cost the a lot of savings from tax and other expenses that will sustain the bank a lot because they will also have lost of reductions like the staff and and other things that you can think of compare to the traditional banks.


You have two important questions here, which I can answer a bit, but I would also like you to go and do your research.
Firstly, for the speed of connection, online banking has to be competitive compared to traditional banking because they will like to have more customers that will patronise their service, which will encourage them to try their possible best in order to make their customers feel like they are the best, which the online banking will give the customers unnecessary rewards, and the fast connection that will persuade the customers and make them even recommend it to their family and friends. From there, the project (online banking) has started getting what they wanted. 

Secondly, there are several advantages and disadvantages to online or digital banking, of which, like you mentioned, one of the advantages is a fast network connection, low expenses, low tax, intermediate relationships, and many more. For the disadvantages, we have a lack of trust from most of the customers, find it hard to make a complaint to the bank service, and many other factors, so if you do your own research, you will find out more about that.

They offer higher interest rates because their cost of operation is lower than the typical bank. That means that those rental expenses and other expenses from the branch is easily diverted to the depositors interest and that's why they can afford to pay depositrs higher interest rates.

Pros: convenient

Cons: you as a depositor, you don't feel that you've deposited in the bank because their operations are digital and you have no physical location to complain with if ever you are in trouble.

Personally, I’m inclined to think there are more cons than pros when it comes to digital banking. Don’t get me wrong; there are some lovely advantages that digital banking provides that has and probably would continue to attract new and keep old customers.

I think these are some disadvantages that I think could and do hurt digital banking.

. Lack of physical presence: They lack physical offices and halls like traditional banking do. You can’t easily walk in to lay whatever complaints to an actual human that would readily solve or try to solve your problems. There wouldn’t be any physical nor close relationship with the bank and it’s customers.

. Internet connection: You need an internet connection to access the bank and your funds. Today, access to the internet is easier but In the unlikely scenario where there isn’t an internet connection, you’re literally fucked.
Also, there could be outages or “upgrades” that could hinder transactions.

They do try to make up for their shortcomings with some good and much needed services and I guess that’s why their services are still being sought after and utilized.

Always verify the insurance status, so you do not use a digital bank that have faked their insurance status.

So far because I have had an experience with using a digital bank for more than a year, I can say that their customer service is not always slow and sometimes even faster than the customer service of normal banks. The digital banks that I've used, have actively had customer service agents on their on their social media platforms for complaints, and also on their core lines.

Digital banks have physical offices, but not as many offices as the normal banks do. It is for the simple reason that most of their services are online. If they start opening up many physical branches, then they are no different from the normal banks that already exist.

A centralized bank that doesn’t have a physical address doesn’t sound so safe. Like Apocollapse asked, are you sure that they don’t have a physical address? Because even centralized cryptocurrency exchanges like Binance, etc have physical addresses registered with the government. And I really do not believe any government would approve a bank that doesn’t have an office.

They are probably doing that because they want to attract more people to use them instead of the traditional banks.

A few pros and cons which came in my mind.

Pros:
- Accessible online or through mobile apps, allowing you to manage your finances from anywhere.
- Often have lower fees compared to traditional banks.
- Use the latest technology for secure and innovative services.

Cons:
- Don't have physical branches, so in-person services are not available.
- Thus, lack of personal touch.
- Require a stable internet connection and may not be accessible during technical issues.

Mostly digital banks here in our country does have headquarters building like Maya, Gcash, Seabank and ING. That's true they have higher interest rate than traditional banks because they only consume lesser operating expenses due to limited headquarters and employees in every country. if you ask what are the differences between a digital bank and a traditional bank, all I can say is that digital bank is a user friendly and prioritize the digital conveniences while the traditional bank offers wider range of banking services. Since we're in digital era, Digital bank is one of the most convenient way to store money and to use as one our basic needs when it comes to payment transactions, It is paperless, speed transaction and Easy access of our bank accou nt.

Do you mean banks that offer digital services? I do know some banks that have physical branches but also have digital apps where you can make transactions as well.

But if you mean “banks” that are purposely and solely digital then yes it is something very common in my country. It’s kind of like a crypto wallet except you are storing fiat in it. We commonly use it to pay digitally. We can also transfer from and to banks. I didn’t know that not a lot of countries have this.

I am familiar, as I would say I have only been using online banking for more than 10 years. And I think that's the global trend. Going to a physical branch to update the passbook and things like that is very 20th century. Normally they do have buildings, usually a central office that you can go to, but they don't usually have the typical network of offices where people go in person to do the formalities. And if you think about it, why? Transfers, payments, purchase of financial assets, contracting loans and cards, I can do everything online. I don't need to go to a physical branch for anything, and even less knowing that they will try to sell me what is convenient for the bank as if it were convenient for me.

Digital bank is the easiest ways to financial freedom, the world is evolving and we are evolving with the latest technology. A time shall come when most of what we usually see as important will turn inrelivant because people have find an alternative way than the others. Just like people will prefer to put their money on bitcoin than Puting it on local bank where there is no much volatility. The bank keep on reducing your fund through SMS charges and bank maintenance fee but in cryptocurrency there is nothing like maintenance fee, or even sending money to someone and complain that the money was unable to reach the receiver, but in crypto currency any amount send is equal to the amount recieced except for transaction fee. But after that the Price changes due to Bitcoin growth.

Whether the bank is digital or physical, you must first ensure that the bank you are depositing money in is safe to deposit your money. If your digital bank is authorized by the central bank of your country and if that bank is more reliable and secure, you can keep your money in digital bank. However, currently all physical banks have introduced digital banking services to further increase their banking services, as well as mobile banking services, so that even if you keep money in physical banks, you will get all kinds of benefits. If you get all the facilities including digital banking by keeping money in physical bank then it will be safe for you to keep money in physical bank.

I've used that before. In my country, I used Bank Jago, and it was very convenient for me because I really need easy online access everywhere and anytime.


Based on my internet research, digital banks offer more than traditional banks to satisfy liquidity needs and attract customers. However, it's important to note that deposit interest rates in Indonesia are not guaranteed by the Deposit Insurance Corporation (Lembaga Penjamin Simpanan, or LPS) if they exceed the LPS's stipulated limits.

Pros:

• More affordable transaction costs
• Can be accessed anytime and anywhere
• Easy account opening process

Cons:

• Highly dependent on internet connection
• Risk of fraud with various modes
• Uncontrolled spending due to ease of transactions

Overall, the pros of digital banking still outweigh the cons.

Source:

• https://infobanknews.com/penuhi-likuiditas-bank-digital-ramai-ramai-tawarkan-suku-bunga-tinggi/ (https://infobanknews.com/penuhi-likuiditas-bank-digital-ramai-ramai-tawarkan-suku-bunga-tinggi/)
• https://keuangan.kontan.co.id/news/tawarkan-bunga-tinggi-bank-digital-optimis-targetkan-pertumbuhan-dpk-tahun-ini (https://keuangan.kontan.co.id/news/tawarkan-bunga-tinggi-bank-digital-optimis-targetkan-pertumbuhan-dpk-tahun-ini)

When you just arrive into a market environment anew for you to be recognized and giving that patronage from a users that have already been captured by an existing competitors you have to initiate certain features and offers that isn't found with those of others that were in the environment before your arrival, and that's exactly what these online banks are doing against the backdrop of traditional banking. And they seem to have one of the fastest reliable network for transactions than traditional banking does. Etc.

  I just mentioned one pros above as fast network transactions, also they have daily bonus or interest they give customers something traditional bank does not do, less charges and many more.

One cons I have looked into about online banking is that it doesn't fit in with the elderly for use, so it's youth friendly innovation than elderly. Another thing is that when a user face problem its only online you have to stay on to solve it as there's no walk-in office to lay complain since most of these online banks doesn't have a physical branch yet situated in the places they operates.

Banks provide loans to earn high interest. Traditional banks are offering higher interest rates of return than their counterparts as their profit margins are limited here as commercial banks offer much lower interest rates. The advantage of digital bank is that customers will save time as they do not have to go to the bank. Many times customers have to go to the bank and sit in the queue to get the service. But you don't have to do that here. They will also save time traveling to the banks will be able to provide services to customers at a lower cost.

Traditional banks used to give loans only to rich people to see what they have left.  At that time, loans were not given to the poor.  And nowadays in digital bank the rich don't look at the poor they give loans on interest so that they can earn crores of rupees.  There are also many industrialists who keep money in the bank so that they can double that money, digital bank used to double that money by delivering it to people to double the money.  This is how digital banks are being established or they are evolving

There are a few non-banking lenders from where I live, but have not heard of the digital banks yet.

Most of them might turn out to be bad eggs. Why invest in them when traditional banks already exist? A high interest rate is always a red flag when a traditional bank is already struggling to pay back its depositors with low interest rate.

It might not be true in the first place, you should check on your local users to see whether they have info or if they are using that bank. Remember that whenever you have some quick and free money, you will be losing more than you invest.

Digital bank is now over in all countries and the efficiency of digital bank is currently high because in digital bank your money is not in hand but your money depends on numbers only.  The higher the number of rupees, the higher the value of rupees.  Moreover, the effectiveness of your digital bank in all countries has increased because everyone's needs and facilities have increased because it has become very easy to send money from one country to another.  Nowadays, sending money is very easy because if you send money from one place to another through digital currency, the money is paid very easily and within seconds.  So there are digital bank risks and all but little if any as far as I know.  But everything is right and wrong but with your profit.  There is a possibility of loss because if your bank account gets hacked then it is not possible to lose your money or your capital.

Digital banking has many advantages, the biggest advantage being its ease of access.  Physical banks like Hassel have to suffer.  Digital banks do not have to suffer such hassles.  Interest in digital banking is high and it is easy to use.  Although it has many advantages, it also has some disadvantages.  Many countries have hard to find ATMs or transaction centers.  That is not available everywhere.  There is also a possibility of bankruptcy.  There are pros and cons to using it, but I think the pros outweigh the cons.

I have experience with digital banks I use them alot.

in my country there are alot of network issues with traditional banks, they tend to offer low customer service compared to digital banks, this digital banks response to transaction faster and easier than traditions banks, right now most people are using this digital banks often because of how fast it can deliver your transaction.

But the big truth about them is its never safe, if you lost your money, in some situations it could be gotten back through some know process but there are prone to bankruptcy. They can be scams etc but the only way to manage with them is by having only smaller amounts with them for fast transaction but when it comes huge money that needs to go for a traditional banks it more safer there.

        -   I haven't tried digital banks, but according to my research, their fees are lower compared to traditional banks, but some are also higher. Then another good thing is to use the digital bank in places where there are not many traditional banks but there is a data connection, so you have internet.

It's just that when it comes to services, it's not good because they don't offer any services; unlike traditional banks, you have someone to talk to and complain to, while digital banks don't.

Yes it's quite popular nowadays and it's good compared to traditional banking and usually they are owned by any of the traditional banks themselves or few may be independent, it's easily adoptable by people who knows how to use internet. Basically where you don't have paperworks and manually stuffs done through the banks branch are no longer required as everything happens through the app and it gives you better insights of where you spends and they have some nice investment plans and suggestions it looks more like wealth management application. They have better offers and more rewards compared to the traditional banks.

I have mentioned link of one such successful digital bank for your reference:
https://jupiter.money/

Digital bank which are the mobile money service companies (mms). They are really plenty in my country but people uses the ones that are more popular and some of them grown to become micro finance banks and no longer mms, they also have the mission to become a standard chartered bank in the future. The advantage of those digital bank is that customers will get their transactions processed so fast while standard bank can have some issues at times. The digital banks too are fast in attendending to dispute transactions but if you visit a traditional or standard bank, you might have to waste your time sitting and waiting for your turn to reach. The disadvantage of those MMS company is that some of them doesn't have a complete license to function as financial system and therefore if they collapse, it will be difficult for custers to get back their money.

If you are saving your money in the digital bank, you are not different from those that is saving for Traditional bank because all those digital bank owners do the same charges with the Traditional bank. If you have money you don't want to use in five years time, I will advice you to invest the money in Bitcoin and you will make a good income when the price of Bitcoin increase higher in the future.  I discovered that potential investors don't save huge amount of money in the bank to last more than one year, because they know that there is no much profits that will follow the capital at the end than to invest the capital in Bitcoin and be sure for huge income.

I can't think of any pros when it comes to using a digital bank instead of a traditional bank. In both cases you just give your money to the bank and expect the bank to pay you interest after a certain time frame. What happens when the bank goes bankrupt? Some bank deposits are guaranteed by the government in case of the bank going bankrupt. Are the deposits in a digital bank guaranteed by the government? What if the digital bank doesn't have a full banking license? What if the digital bank lacks good customer support? What if the digital bank finds  ways to block your account and keep your money? Does this make it worth it to deposit money in a digital bank just because it offer higher interest rates?
Both digital and traditional banks kinda suck in my country. The interest rates are so low that it's not worth it to save money in a bank account.

Yes, there is a digital bank in my country, but I am not their customer.

Digital or not, a bank is still a bank, that is, a commercial organization making money from your money. The conditions that digital banks provide are still not the most favorable for users, but in some cases, this may not be the worst solution.

This may be due to cost savings on renting offices and premises.

The advantage is that you save time, because you don’t need to go to the service office, stand in line, and all issues related to the bank are resolved at home on the couch.

At first glance, digital banks look like the next step in the evolution of banks, but whether this is actually the case must be assessed by how these banks will fulfill their obligations under unfavorable conditions, such as financial difficulties and bankruptcy. 

Online banking usually comes with low fees charge for transactions,Digital banks offer major advantages in terms of service availability and feasibility,and they provide 24/7 access to ones businesses and online activity by offering full online services for their clients and customers.Digital banks as the name implies,they're quicker to adapt to newer technological system that corresponds to the digital age in the society.In one way or the other,digital banks have similar benefits as bitcoin to fait and its so fantastic to notice the positive impact they offer.

I don't really know about any negative feature of using an online bank.One of the things that make them offer higher interest rate to thier customers is because of the exhibition power and impact that they intend to introduce.Consider bitcoin as an example,bitcoin saw the challenge people face with fait banking system and it eventually came to rejuvenate and transform the living standards of people.Online banks are offering useers what traditional banks are unable to fix,thereby, online banks are using their counterparts lapses to outsmart traditional banks in customers engagement and popularity.

 While digital banks offer several advantages, traditional banks still have a significant role to play,normally,there is supposed to be an existing one that operates to other people's choice of decision and convenience.But digital banks are recently taking over in my country.
Majorly,the inventors of this online banks have initially suffered and endured the failures from traditional banks,so that's where the change emerged from.

If there is a risk in a traditional bank, in a digital bank, the risk is doubled or more. I have some acquaintances who put a large amount in the digital bank, and there came a time when there was a problem that someone made a transaction that he did not make, and there was still 11k that was taken out of his digital bank.

Then the worst part is that he has nowhere to run because he can't get close to the digital bank that he trusts. He also said that he doesn't remember that he had a link that was clicked because he said that he only uses it for online transactions most of the time, such as online shopping, grocery shopping, and money transfers.

The risks of saving money in a digital bank are like that, because every saver must really protect his device from unknown links so that his device can remain safe from any attacks. Even though I have never saved money in a digital bank, when I think about risks like this it can at least give me a little insight that saving money in a digital bank also has heavier risks even though it is also accompanied by better security. However, traditional banks also have quite a few risks because the bank's escape and the burning of the building they own can also be a very significant obstacle for customers.

In my country, there are a couple of banks that are the most used and well-known, and one of them is actually a digital bank. Like you're saying, there are no physical bank departments, and everything is done online. If you want to order a physical debit card, it will be shipped to you, and everything else is just something you do in a smartphone app. I like it because it's very convenient, more user-friendly than online-banking of traditional banks, and there are fewer questions asked or issues with making payments via this bank. As long as a digital bank is highly reputable within a country, I think it's fine to use it.

Digital bank,? I've heard about this.

If they don't have a building will people believe them? Then this looks more anonymous especially giving high interest rates, maybe this will be exactly the same as conventional banks except that now digital banks are widespread and of course offer high interest rates.

Surely digital banks will be supervised by the government so this is no different from conventional banks but they are in terms of high interest that may be their advantage and easier access from mobile.

Online and digital banking allow users to access their accounts and manage their finances anytime and anywhere with an internet connection. They can perform various transactions, such as transferring funds, paying bills, and depositing checks, without visiting a physical branch. With online banking, users can complete banking tasks quickly and efficiently. They can avoid long queues and waiting times at physical branches, as most transactions can be done with just a few clicks or taps. It also services are available round the clock, providing users with the flexibility to manage their finances at any time, including weekends and holidays. This accessibility is particularly beneficial for individuals with busy schedules or those living in remote areas. Digital banking platforms often provide users with comprehensive tools and features to track their spending, analyze their financial habits, and set financial goals. This can help individuals gain a better understanding of their finances and make informed decisions.
 They are also some disadvantages of using the digital bank, I guess that’s why everything in the world is in equilibrium, whatever has an advantage must also have a disadvantage. Using online and digital banking requires basic technological literacy and access to stable internet connectivity. Individuals who are not comfortable with technology or do not have reliable internet access may face difficulties in fully utilizing online banking services. While online banking systems strive to ensure security, there is always a risk of data breaches, hacking, or unauthorized access to user information. Cybercriminals may attempt phishing attacks or employ other methods to gain access to sensitive data.

Traditional banks have mobile bank apps that allow you to make all the transactions you mentioned. In my country, most of the banks have accounts on social media platforms where you can reach customer service and resolve issues without having to go into a bank. So what exactly is the benefit of using a digital bank here?

And traditional banks don’t?

Currently digital banks are developing a mission to be able to compete with conventional banks, which is a big problem for them is the trust of customers in them because some of the digital banks do not have buildings, but there are also advantages because they are easily accessed by users via mobile phones and higher interest rates so that it will be easy to attract customers, and now everything is facilitated through mobile networks so that digital banks will quickly develop in all over the world.

Too risky.
I guess everyone is well aware of all these digital banks popping out of nowhere and offering huge interest rate and huge credit limits. But most of the huge credit limit offers are just click baits. I saw a lot of ads in social media platforms and even Google play are showing stuff like these.
Well, the reason to this is that because they are still new compared to the established physical banks, they will need something that would attract investors, savers, and other people who needs banking services. Though this is a great and convenient banking innovation, but still it's too risky entrusting your money over a company that has no physical establishment. Instead of using these online banks, I'd rather use the online banking apps from my local bank. They have the same online functions though, both are convenient to use, but my local bank is far more reliable.

l think banks in digital nowadays are competing at the forefront, right
compared to traditional banks
by prioritizing faster transactions in your hand more easily, by providing high interest

but security issues in digital banks are a consideration

What's more, our balance is quite large, and transactions are difficult in areas where the internet doesn't reach.

one of the major factors most users of digital banking consider that makes them prefer it to the traditional banking system is basically due the the convenience they provide and the stress free nature it has. Most traditional banking institutions have been known to be prone to series of network issues and poor customer services whenever you visit them for some minor issues and what's happening is that mobile banking apps are just improving on the weaknesses of tgw traditional banks to there own advantage.

You know, as the world continues to evolve by the day, decentralized systems has come to gain dominance over the traditional and outdated system of making financial transactions and whatever appears as a source of liberation from the over regulatory policies of most traditional bank is going to gain public acceptance regardless of whatever additional cost it might involve.

Perhaps, you are overemphasizing this, and those companies I believe you called Digital banks are Fintechs also providing banking services. I don't know a bank these days that has not gone digital, but the fact that those Fintechs providing the banking services often conduct and conclude almost all their transaction online makes them unique, but some call it odd since they are used to the bricks-and-mortar style.

Mind you, they are not 100% online, they have physical offices but it is not like those commercial banks that will have their bricks-and-mortar virtually everywhere possible. Theirs is limited, and also optional, however, they must have their headquarters somewhere, as it is mandatory by the law.

Warning: You should never deal with them if they are not in your country or any country without a traceable regulation by the central bank and also insured to avoid the loss of funds. I have been dealing with two of them in my country for about 4 years now with no serious issues to date. They solve my banking issues as fast as possible and are polite, needless to say, I hardly have a single issue with them in a long period. I also noticed that their technology is better than the regular/commercial banks. I believe that since they know they are mostly online, they invested so much into it.

Lastly, contrary to your view, the fact that they are not operating the bricks-and-mortar type of service does not mean they are not employing staff and spending huge money for setups and maintenance. They also have a huge team of customer support staff and I've seen one before, they are in their hundreds in a single building. Though I am not in the system, tech-savvy guys and companies are not taking it lightly with them when it comes to billing.

What do you expect from the bank? High interest rate and safety? If banks can pay high interest rates, all people will deposit money in banks to earn interest and not need to work, and how will the national economy develop ? Banks are just places for us to store savings or provide financial services such as loans and mortgages when we need money to work . Don't expect passive income from it and don't criticize banks when they offer low interest rates because they are doing business, not charity.

The bank is a place to store money, not a place to make a profit, if we really have a lot of savings, we apply for a deposit to the bank so that our money in the next few years will benefit from the results of turning over money at the bank, but there are terms and conditions too, for those of us who have low incomes , we just need to save money, as small savings, but banks also have monthly interest deductions for account book balances and ATM card fees, usually MSME entrepreneurs apply for credit with the lowest interest, because banks now have credit services for entrepreneurs MSMEs and lower middle class, the aim is to help small entrepreneurs to increase the business capital they have, with interest that is quite small compared to normal credit, the interest can be many times higher, but be careful if you start playing with the bank, just don't let us get ripped off. poor by them, because they only look for customers, not relatives, don't let us fall into the world of playing interest until we become bankrupt and lose money.

Digital banks are like traditional banks but without the fancy buildings which saves them a ton of money. That's why they can offer better interest rates. Convenience, lower fees, and those sweet interest rates. But you might miss out on in-person help and there could be security risks. It's a trade-off between convenience and personal service. If you're cool with doing everything online and want to earn more on your savings, digital banks are worth checking out. Im very skeptic when it was first advertised in our country but by the time I use it, it was very convenioent. Ofcourse i did mu research first. Just make sure you're okay with the potential downsides before making the switch

People keep money in digital banks not because they expect to earn from it, because centralization is simply for saving money when you need it and getting it back, as opposed to a physical bank or physical investment, where you will benefit from saving your money. That is why many individuals prefer to utilize their money in a real bank, where no one will charge or remove fees for the bank's maintenance.

But to be honest, online banking has benefited many people nowadays since whatever you want to accomplish, online banking is much easier and faster than physical banking because you can do it from home and operate your bank without visiting any actual bank. Before consumers had to to find a physical bank branch to complete their transactions, but with online banking, that is no longer necessary, technology has made life easier in every way.

Through the traditional bank, you had been standing in line for a long time and used to deal with money .... After a while you got the chance and the waiting end. And now you are going to the booth and doing the transaction without any trouble. In this case you have to pay some annual fees. Even with your cellphone you can make money transactions. And the first ideology of the digital currency is probably from Cryptocurrancy (Bitcoin).

The worst thing with digital banks is that they will often have an abundance of customers and lack of good service. They aren't forced to provide services with a quality assurance as high as bricks and mortars banks. Usually these banks are domiciled in a different jurisdiction than you, and in case they do something wrong, you oftentimes can't even report them.

For safekeeping money I like to utilize a local bank. Yeah sometimes digital banks will offer savings accounts with higher interest too. Make sure with these services though that you're covered by the deposit guarantee scheme. Because oftentimes they'll try to mask an investment type service as a bank account, which isn't nearly as protected. Also don't base your everyday transactions too much on these banks otherwise a cut off from their services might affect you severely.

Digital banks are now developed even in my country they have offices as written in it and we know if there is a complaint to it.

But many people still don't believe in saving a lot of money in digital banks while in conventional banks more, as customers they will choose in the same two paths like using digital banks just to transact easier and more cashback that's what customers are hunting for.

Each has their own set of risks like you are likely to get robbed or involved in a robbery incident inside a bank brank you are visiting but in the online banking, the only risk you may get is you may get scammed or hacked. I feel sorry for what happened to your acquaintances but each online banks must have a physical branch that they can run into once they got into trouble and explaining it using their customer service online seems hard.

I think what happened to them is they got phished. This is popular nowadays. It's not necessarily that you will click a random link but maybe they just search up the site on their search engines and they visit the fake one. It is also possible to reach them when we made a typo in inputting the URLs. We must always pay attention to each detail, no matter how small they are, so that we can stay safe.

Digital bank is easy to use and opening account with them is just a few click away, you don't encounter much network issues in the middle of any transactions unlike the traditional banking apps that there apps sucks, I have been making use of tradition banking for a long time but I must confess the digital banking experience is worth embracing, I was able to move my money from the traditional banking apps to the digital banking apps and I have never regretted it.
Talking about their interest rate, though it differs with countries but in my own country, the interest rate is very low, that's is even the reason why more people prefer the digital banking system, when your recharge airtime with them, you get a percentage that will accumulate until you decide to either use it to find you bet account or recharge too but the traditional banking is not like that instead they will charge you unknowing to you, so for me traditional banking sucks.

its actually all the same with features and all but I guess sometime digital banks brings bold offer like free transactions and all sometime even the deposit rate is high I guess thats why some people prefer digital bank, also even though the features aren't different but the quality of life with the app accompanying these digital banks usually better but when we are talking about the safety of the fund i'm sure that its always traditional bank that have banked so much money are definitely on the advantages here.
as many have mentioned many people used digital bank only for convenience like paying bills, digital transaction and so on but the traditional bank are mostly used for saving money i see this as a win win solution since we can divide the role of the bank like diversification of wealth so that if one got some technical problem we can use the other while also getting best of both worlds.

so I guess thats why there's even comparison about this

I don't agree that digital banks don't have bank buildings, maybe they don't carry out banking services or activities directly, but they definitely have offices for activities such as filing or online services. And in fact, many traditional banks also have digital services or collaborate with digital banking companies, and there are many in my country.

For interest rates, I think all countries have regulations regarding giving interest rates, even though they are higher, they definitely comply with the rules of the central bank. And why it is higher is probably because there is an online service fee in my opinion.

For pros:

• Can be used at any time 24 hours a day because it operates online
• More efficient and easier to access
• Can be accessed anytime and anywhere
• Easy account opening process
• Equipped with various features that are increasingly developing
• Easier to monitor financial activities

For cons:

• Very dependent on the internet network
• Risk of fraud with various modes
• Uncontrolled spending due to ease of transactions

Every bank offers digital banking as their primary way of reaching and offering services to their customers so it's hard to differentiate banks with offices and not but usually we shouldn't trust a random new bank with any amount, just go with the most reputed banks whether it's government or private entity as long as it's doing its job and a little more in the interest won't make any difference.

All banks certainly want to be able to provide their existing customers or filter out new ones with better facilities and innovation, including digitalization, which ultimately provides convenience for their customers. If you are in doubt about a bank, it to need be registered with the government or have obtained an operating permit. Of course, it can easily be detected if you want to look for information first before you want to become a customer.
Don't be tempted by the promise of prizes and high interest rates and other advantages, but they are not registered with the government.

   Just because the traditional banking system in your country are trying to match up with the present banking model doesn’t mean that it the same with other countries, in some countries to be able to fix your bank compliant, you ought to start going to the bank stand in long queue before you get attended to. Sometimes you might not even be attended to well by the people in the counter. You made mention that traditional bank are having the online features as the Digital bank, Do you also know that the response rate is not as swift as the digital bank ?  making complaint on your app you may not have that quick response as going in person to the bank to lay your complain. I have a personal experience where I had some issue in my tradition bank, I took to the complain to the app and I also wrote them through email to complain. I never got a reply from them for 2 weeks or more I then  had to go to the bank to tell them what my problem is myself. This might be different in your country but in most part of the world, their services are not as glorious as yours.
  Digital bank is the best for me, I have never had a problem while using the bank and thier response rate is on point. Digital banking is definitely more convenient and hassle free when compared to branch-based banking. As a matter of fact, banks too are moving away from branch-based banking to channel-based banking. Which essentially means that we will see less of bank branches in the future and more usage of these channels. Overall, digital banking represents a transformative evolution in the banking sector, offering unparalleled convenience, cost-effectiveness, efficiency, and security for both financial institutions and customers.

Every banks operated in a country comes under the central bank regulations, and they are responsible to monitor every finance related service provider and certainly have to follow the frameworks of central bank. So possibility of fake Bank operated is very minimal but it doesn't mean the bank is completely risk free, bank can set their own TOS where all the risk factors will be buried in a way no customer can look into and when there is crisis situation comes for bank they will just hide under their terms that we agreed to.

Digital banks managements are more cheaper to run than the traditional banks, they have far lesser staff and they don't have physical branches like traditional banks that is very expensive to mentain, they probably only uses one head office. Digital or online banks have better networks that makes their transactions to be more faster than traditional banks, also they don't have unconfirmed transactions like traditional banks. But despite all these attributes to the online banks, I think that traditional banks are more reputable than them, because they've gained the trust of their customers over time, therefore I can use digital banks for short term transactions, but for my main capital, I'll still leave them in traditional banks.

I think that also what these digital banks are really trying to do just to be a tool for people to make digital payment, they make good money out of it anyway and the fact that they excel in this field mean they have achieved success, I think the traditional banks are also mostly putting a huge chunk of investment or funding at least to these digital bank so they kinda benefitted from it.
but yes, many people still prefer using traditional bank when saving money and i'm talking about big money here not money that gonna get spent anyway, maybe due to horror story of funds being stolen from phone so if someone went full digital they might expose their life saving to such risks.
personally i also do the same, never save money in digital bank, only keep money that im gonna spend for a whole month, usually they have good promos and discounts that I can use.
therefore I think both have their own category that they want to cover, so there's absolutely no problem in both of them coexisting.

Here in our country, we have digital banks that operate here that are approved by our government. And two of these are often used for several years and months anyway. And so far,
it helps me transfer crypto profit through the P2P transaction I'm doing.

But of the others that we have here, I'm not satisfied with the two wallet apps called Gcash and Maya, which are very useful in our community, even for business establishments.

Digital banks are very easy to access and do your transactions as they are just in your mobile phone you don't need to stress your self by paying transport to go to where your physical bank is located and be on the long que waiting to be attended by the costumer care unit of the bank
Here every thing you are doing is online so you just need a network connection to start any transactions and mobile bank are very fast in their response to costumer Incase there's a complain
And by my understanding all banks operating are registered in the central bank and license are issued to them and their are certain requirements needed by the central bank for any one planning to open a bank, Incase the bank close the monies of the costumers can be refunded back to them by the central bank so I would rather choose a mobile bank over there physical counterpart

There are many digital banks available. Unlike traditional banks, they do not have branches which helps them to keep the operating cost low. Also, they do not require a huge amount of manpower to control the operations which again helps them to keep the expenses lower than traditional banks. That's why they are able to offer more interest rates than their peers.

One thing you always need to check if they have banking license from the central bank of your country or not. If yes, you can go ahead and open an account. Every legal bank is insured by government. So if they land into trouble, the central bank will step in. So the safety of your money is pretty same as the traditional banks in your country.

The high rate of transaction charges could be on the course of the banking advancements of offering flexible banking services. The digital banking system is actually more of an expensive program comparing to the physical banking. The mode of their networking so is actually more of technologies with the operational efforts of expertises employed also considering the expenses of accessory technologies implied to Carry on the operations.

The prose is that you are tendered self service enhancements  which you can as well operate anonymously without the public awareness of your transactions and worths of accounts.

The digital banks are actually registered with licences to operate legitly which the governments are eligible to be accessible to the banks so as to maintain and assure securities as much as the banks are operating on a decentralized non-custodial currencies but on a Contrary, the governments enforcement can be manoeuvred whereas this digital banking companies can disappear and making away with the public funds. This is actually where the Cons could be .

I disagree with you because digitalize things will help banks, governments control things more easily and with less cost.

It will reduce governance cost for them, and don't make things more expensive like your thinking.

Bank transfer is more convenient than physical fiat currency exchange and CBDCs will be a next step to make it easier for banks and governments. It explains strength of blockchain technology and it's not coincidence that we see Tokenization progress.

I don't know about your country, but in my country, a bank must have a branch. Most digital banks just have a headquarters in a particular city but with time they open other branches in other strategic cities in the country.
The major difference between them and traditional banks is in the speed of their transactions and free transaction costs. In my country, traditional banking is stressful. You have a lot of failed transactions and transactions that won't reflect on one end. Digital banking eliminates that.

You also have to be careful about the kind of bank you use. Make sure you use only banks that are approved by all the regulatory bodies in your country. That won't make your funds 100% safe because it's a centralized institution and they do different investments with your money since they are humans, there's a chance the bank can go under, especially considering that they're not as big as the traditional banks, but using an approved and recognized digital bank is way safer than the alternatives.

Hmm, I am not so sure about that but if someone opening the company that company must have unique qualities that other companies are not offering may be this can be the reason for that and as the company is in the initial stages and wants to generate their customers they have to make offers like that other are not offering. This is the market Strategy the new coming brands always offer/have some unique thing that you may not find in other companies or brands.

On the same side you are the resident of your country so you may know better than that of me what do you think about that? why they are offering like this? what can be the real reason behind this? any idea? all ideas i have I already shared it with you but I also would like to know it from your point of view.

To be honest, digital banks are a solution for users of traditional banks that have failures and are slow to transact, digital banks eliminate that, it is quite good and indeed if you want to use it you must have an operating license from the government to confirm that they are safe and registered as a financial service provider in your country, but if you talk about the interest from deposits is greater as said for me it is not interested even if it reaches 15% per year, it would be a good value but the possible risk of inflation and bankruptcy is not worth it, and when compared to bitcoin I am more interested in investing in bitcoin than making deposits in any type of bank and offering any interest rate because they will not be more than giving 20% interest to each customer, if there is a caution it could be a scam.

If not physically cash to buy something, digital banks are more active then traditional Banks. I see the traditional Banks as analog banking system while the digital Banking which also known as online banking as a digital Banking system. And there is no way we can compare the two because Digital banking system is always faster than traditional Banking system. But for the interest rate, my country online or digital banks have a lowered interest rate than the traditional Banks. And the digital Banking system is very fast in transaction.

Maintaining physical banks is expensive. You need to pay personnel, building rent, electricity, water, other maintenance expenses, and so on. If a bank can do away with all this, so much money is saved. These savings could, in turn, be used to offer higher interests in the digital savings of clients.

But, other than this, digital banks are becoming more attractive because it provides convenience. And, probably more importantly, they're offering very useful functions. So, not only will you avoid travels going to the banks and long lines, you have also a wallet that you can use for everything. If it's drained, unlike banks, you can easily go to the nearest store and refill it.

Both have their pros and cons. If banks eliminated all their physical branches, there would be thousands and millions of unemployed people. And with digital banks, when there is a problem, the processing process will take longer than with physical banks. With physical banks, you will have to spend time getting the order code and standing in line, but you will meet the bank staff in person and everything will be resolved better than with online support. When it comes to money, most people want it to be settled and processed quickly, so the existence of physical banks also has its reasons and advantages.

Based on my experience of using digital banking services for 2 years, I feel that digital banking has advantages in terms of ease of opening an account compared to traditional banking. You only need to verify your identity and in a few minutes your account can be opened. They also offer various features which are more complete compared to traditional banking such as competitive interest, savings locking, savings allocation, etc.
The downside is that you can't go to their physical office, so all your complaints and questions will be handled online. I once replaced my card and their customer service processed it within 1 week of business hours. And I think that's it, because overall it's pretty much the same as traditional banking.


I think that why they can offer competitive interest to their customers is because they don't spend a lot of money on their operations, they also manage customers' money in many lending institutions, and various other management. And because of this they are able to offer competitive interest rates to their customers (usually equivalent to state interest rates).

I use a digital bank for online transactions because they usually collaborate with many marketplaces where I'm usually shop online, and indeed they offer higher interest than conventional banks but it is not something that is worth choosing so that we can get benefits because usually we will It's more tempting to continue shopping online when there are funds in our digital bank account unless we don't connect it, but I still think the interest is not worth it for us to use to profit from the interest earned because the investment is much better.
Why do they pay higher interest? it is possible to attract many users and the more people who use their services, the more benefits they will provide so that they can provide high interest rates.

          -    What you say is true mate, the digital bank is becoming more attractive because people who don't like physical banks are getting an opportunity with online banks. Although there are also risks and advantages at other times as well,.

I also use a digital bank, and so far, so good. As long as you know what you are doing, your balance will not be jeopardized for sure, although there are others who are hacked because they do not notice that they have fallen into the trap of hackers.

Indeed, now digital banks are appearing on the surface and many customers are starting to offer a practical level of convenience without having a physical branch by being able to send directly to the destination and there are no debit card and monthly deductions in digital banks. There is also a weakness that there is no physical office if there is an error. Our error is that it is difficult to contact them, unlike traditional banks, it is easier
because there is an office so you can come directly to the place.

I only seen as fore more flexibility in the use case. Well, for use I think it only needs to adjust to current conditions and needs. If we are ordinary people, if we want to make transactions, you can also do it manually without having to use the application, but if necessary, it is necessary to quickly, but before using it, it is better for users to learn first, both the functions and data security and privacy.

Why does it seem higher? I think it's relevant besides that whatever is called service improvement is always followed by additional costs related to naming their physical infrastructure and for the point of additional costs will be charged where, I think the service provider will confirm to the user by itself if it has submitted for approval and agreement.

Some of the digital bank you seen around your country is be owned by some traditional bank because they came to discovered that, many customers prefer to spend short time to carry out their transactions than the traditional bank that use to take a long time in transaction, and their charges is not too high like traditional bank.

There are many customers who don't like to operate the digital bank because if you have any issues with them, it will take some weeks or month before they can resolve it for you but if such thing happen in traditional bank, it will not take two days before you can see solution.

If your traditional bank is very safe for your fiat money, don't let the high rate charges to discourage you to start saving your money in digital bank you don't trust.

Banks have their internet banking platform which is what we call digital banking if I am not wrong, so charges are similar whether you go to a bank physically to apply for anything and do that via online and about the scams it increased with the digital bank but it's not relevant to that discussion in my opinion though. High rates from an unknown bank that doesn't have any branch but only available online then its no for me no matter how much interest rate thy offers.

Digital banks are slick, cheaper, and attracting attention.  Cheaper and easier aren't always better. What if something goes wrong and your money is in limbo? Who do you call? A slow-helping chatbot? That'll cause serious issues. Traditional banks may take longer, but you'll get a real person and reliable service

We're talking about your cash, man. It goes beyond fee savings. Knowing your finances are safe and someone is there if things go wrong. A vault-like traditional bank. Sure, protecting your treasures costs, but who wouldn't desire piece of mind? Saving money by diving into digital unknowns could backfire big time

I don't really understand what you mean by digital bank if you are emphasizing on cryptocurrency or digital currency kind of banking system so I will like to air my points, because I know very well that when you are banking with a cryptocurrency or saving your money on crypto related it is called a digital bank why you have access to make any transaction you want to do with your digital banking and sometimes your digital banking with the Bitcoin can appreciate based on the increment of the market why in traditional banking system your money cannot be increased or you cannot make a profit through a traditional banking system more than traditional banking system

High interest rates from a digital bank aren't a trick or whatnot. They want to gather the trust of many new clients and it's more of a promo. Some cut cost is mainly part of it but eventually when they garner a lot of clients already that will deposit on them, they'd offer greater promos with their loans. With that, they are operating digitally and it's actually cost-effective not just for them but also for clients and mostly to the borrowers because with just few steps away, you get your loan if you're eligible.

they are offering higher interest rates returns compare to their traditional bank counterpart is part of digital bank here in Indonesia digital bank gives you juicy apy from traditional bank first I believe this strategy because to grab more people to join their bank and second they didn't have office and have less people to operate so they can give a high yield for it customer.

I love digital bank to be honest apart from the yield, User Interface, Free Digital Debit cards, Free Transactions fees every month and etc made me move my money into digital bank.

I was very much resistant of using a digital bank for a very long time until I was persuaded severally to open an account with them. Finally this year I did open an account with one of the digital banks in my country and it has been a very nice experience. They do not extort their customers unnecessarily as the traditional banks deal without remorse. They also do not charge for SMS alert as they do not send any text message to your phone, the offer limited free transaction fee. With their apps you can pay all kinds of utility bill which you might not even see in the traditional banks. Recently, their activities have not been going well in my country, it seems that the government are beginning to over tax them and give them some conditions which they cannot meet.

Since after the advent of covid-19, everyone understood that the world is tilting towards online. So, we should embrace this kind of gestures.

how many persons are into a digital banking because they have not been important of digital banking because in that aspect it is more safer when you invest your money or when you keep your money in the digital banking system than keeping your money in the bank. And still bank will be deducting in the name's of bank charges.

Digital banking has now become quite popular. To get money from the bank, you don’t need to go anywhere, just log into the application using your phone, go through verification and open a virtual account. Digital banks operate on the Blockchain, which greatly simplifies the transaction system and makes the network reliable and secure. Interest rates on deposits in such banks are high, but before you take money from such a bank, read the agreement carefully! In case of any problems, do not hesitate to clarify your questions in the online support of this bank.

To be honest, I like it. I've just realized when I've read something about carbon footprint and it's said that we're helping our environment when do small actions like this and does transactions through digital banks or apps.

You can go everywhere, whenever you want and pay merchants on an instant scanning.

Not necessarily that all of them are classified to be using blockchain technology. Most of the digital banks are still the traditional banks that have made their own banking apps.

It's totally different from what we used to do with our own wallet making us our own banks.

That feeling of skepticism, pessimism and reluctance is always there while confronting or embracing new technologies. I also felt the same way you did before I finally embraced a few of them last year. Since then it has been very smooth transaction experiences for me. In fact, I always make it a point of duty to move funds to them whenever I need to make online transfers in any environment where I suspect network might be an issue for the big-for-nothing traditional banks. Again, one can easily keep money in any of their save to earn and make daily interest and that's not even adding the free daily transfer transactions one makes on them which traditional banks charge for. As for security, the ones in my country are insured by the central bank and that gives them legitimacy.

I don't know for sure, but what I know is that the fundamental difference between digital banks and traditional banks is customer service. Digital banks receive reports or complaints from customers via digital means such as chat, while traditional banks receive customer reports by telephone or face to face. As far as I know, digital banks also have offices but with fewer employees, perhaps because the system is digital or online based.

I honestly always thought digital banks were just traditional banks made easy with phones and other devices. So, either one of us is getting this all wrong. Why exactly would I trust a bank that was made, founded, and runs just on the internet? They won't have customers at all trust me, and it'll be difficult too to have employees, so the difference between traditional banks and digital banks isn't that the first has a building and the other lacks it, it's that their services aren't location bound, it's limitless being on a software program. Digital banks most definitely have buildings where daily operations take place and that's how the mobile services are run.

Unless you're trying to make out an example of a literal bank and another kind of bank that's like the Bitcoin network. Mind you, nobody even knows who made Bitcoin. I bet if the Bitcoin network was part of an organization, it would have been influenced in so many ways by now. But that is not the point. The point is that, if the Bitcoin network were a digital bank, it'd still have a headquarters house to run it's operations. So, that's what I think the difference between digital and traditional banks is all about.

traditional banks actually have customer support in various of their apps, sometime the customer service that they are having even more massive than the digital banks are having, moreover from my experience the overall experience of customer support coming from traditional bank which actually isn't really traditional since every feature offered by digital banks right now can be found on the app that these traditional banks are having are more better than the digital ones.
the fact that digital bank only accept complaints through chat or somet kind of media like that means they trying to be as efficient as possible at the cost of customer service experience being subpar.
but the fact that digital banks usually always the first to introduce sleek UI and better user experience in their app overall is probably the reason people use these digital banks.

the use of digital banks should be further increased by the public, because to be honest it is much easier to use digital banks compared to traditional banks, because all our needs are covered online and we don't need to be tired of coming to their branch offices just to ask for a checking account. energy use in the banking sector is also lower for digital banks, because they don't need many branches, they only need representation in big cities and usually their offices are also small. so i can say that digital banking is a form of innovation in the banking sector that must continue to be developed.

In my country, many banks are offering digital access with traditional banking accounts through which I can send and receive money as needed from the comfort of my home. I have the convenience of doing this using my computer or mobile. Again, if you need cash, you can withdraw money from the designated booth of the bank. Basically the pros outweigh the cons You don't have to stand in long queues during banking transactions which is a plus. To pay you fixed amount of fee at the end of the year.

yes, that's right, one of the financial institutions that provides banking services via a digital platform without a physical presence is a digital bank, and offers higher interest which is very attractive, why is that, because of what I said earlier where digital banks do not have a physical branch network. In broad terms, in terms of that alone they save costs on rent, maintenance and salaries of branch staff, then can reduce operational costs. This allows digital banks to offer more competitive interest rates to their customers. Of course there are many advantages and disadvantages of digital banks in the world of banking. benefits, but also has several negative impacts that need to be considered, including cyber security risks, lack of personal interaction, service limitations and so on.

Yes, bro, with the presence of digital banks, it will make it easier for us to carry out transactions anywhere and at any time, either via cellphone or laptop, so we have free access anywhere, and when we make transactions we no longer need to go to the nearest bank, that's progress in technology that makes it easier for us, without having to bother queuing to withdraw cash, and we can also make large transactions, just by accessing it via cellphone we can communicate with the digital bank and that really makes things easier for us when we can't come to the branch office that way we are saved by time and circumstances.

     Most digital banks do not have a physical office like traditional banks, so the risk is a bit too high. But there are still people who believe in this and put money in it. I have heard of many people in our country who have been robbed of money because of the digital bank.

     And it's also true that most digital banks charge high interest rates when, for example, you're approved for their loan program; that's all I know, but if it's convenient to use, there's no doubt that my answer is yes.

I think digital bank can't provide safety like in physics banking. We can check every type of problem at any time and we can give complain to the bank if your money is cut off without any reason and we can communicate easily our problems. But digital banking is not helpful in my opinion because our accounts can be hack at any time and when our account is hacked,we can't do anything. We can not find the location of hackers. There are brilliant hackers which are billionaire due to experty in hacking.  Safety should be first priority and I know that is very difficult for people to follow the line and then enter in the bank . But there is safety of you and your family.

With all the convenience of transactions, of course this will really help us in resolving transaction problems wherever we need it, but of all these conveniences, of course we have to be able to control ourselves not to use things we don't really need, which of course will This is very detrimental to us and the savings we have can easily be used up on things we don't really need.

For any institution to establish the most create awareness for people to notice them and how do they do that by making a lot of offer for their costumer to draw their attention, on like our own, digital bank are actually doing fine because people find it easy to setup and also very easy to operate, one thing that people noticed was registering with them even when you are in your room, all you need is to have access to Internet services, and again their fees are not much unlike traditional banks. But still despite the flexibility i prefer traditional bank because of the physical structure i see everyday.