Digital Bank

[BABY SHOES]

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.

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.

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.

[tbterryboy]

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.

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.

[Promocodeudo]

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?

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.

[shinratensei_]

 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.

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?

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.
 

And traditional banks don’t?

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

[atookz]

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

[jrrsparkles]

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.

[yohananaomi]

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.

[Youngkhngdiddy]

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?

   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.

[jrrsparkles]

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.

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.

[Kelward]

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.

[poodle63]

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.

[gunhell16]

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?

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.

[TEBTC]

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

[avikz]

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?

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.

[EluguHcman]

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 .

[SilverCryptoBullet]

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.

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.

[Alpha Marine]

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.

[Hamza2424]

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?

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.

[bangjoe]

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.

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.

[DiMarxist]

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?

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.