How Digital Banking Systems Enhance Customer Experience

Technology has revolutionised the world, including the way we manage our finances. Using smartphones, laptops, tablets, etc. has become an integral part of our daily lives. And we use the same devices to pay our bills, transfer funds, check our account balance, apply for loans and much more by simply logging into our digital banking portals. 

If you are not familiar with the concept, digital banking is a system that helps banks and financial institutions to digitalise the banking services and make them convenient to use for the customers. Digital banking services usually include money deposits or withdrawals, bank account management, application for financial products, management of loans and much more.

Various digital platforms have established deeper links between people from different remote corners. That is why the preference for digital banking for both customers and bankers is proliferating. Let us go ahead and check how these digital banking systems have made people’s lives easier. 

Digital Banking Benefits for Banking Customers

Here are some major pointers showing how digital banking has made banking customers’ lives easier.

1. Advanced Self-Service Portals

Digital banking services offer advanced self-service portals, such as online banking and mobile banking for account holders. With online and mobile banking services, the account holders can easily access their funds and have all the banking features right at their fingertips. 

Most banks in the UAE offer online banking portals that allow their customers to apply for multiple services while sitting at their homes. With digital banking services, the customers can log in to their online banking facility and open fixed deposits, apply for credit cards, loans, mortgages, etc. in just a few clicks. 

The same is the case with mobile banking services. The account holders need to download their bank’s mobile app and log in using their unique banking credentials. With this app, they can easily access their funds and keep a close track of all their transactions.

2. Instant Payments

With digital banking services, the account holders can make instant bill payments in just a few clicks. Most banks in the UAE provide real-time, effortless and convenient payment solutions to make it easier for their customers to process their payments on time. 

These payment methods allow banking customers to process their payments electronically in seconds instead of two or three business days. For example, you need to send an amount to your family members in a different city. With offline payment methods, you need to visit the bank’s branch and deposit the money in their bank account. It may take a few hours for the balance to reflect in their bank account. 

On the other hand, if using online banking services, you can transfer this amount in seconds. All you need to do is log in to your online banking account, add the receiver as beneficiary and transfer the amount in just a few clicks.

3. Automated Features

Digital banking services offer various automated features for banking customers. With these features, the account holders can stop worrying about their recurring payments by simply setting up standing instructions in their bank account. These automated features ensure that the account holders make their payments on time and do not pay any late payment charges. 

For example, you have taken a personal loan and need to pay a monthly EMI for the same. You can set up the standing instruction in your bank account for these monthly payments. This way, an automated EMI of your personal loan will be deducted from your account on a fixed date and will be paid to the bank on time. By paying your instalments on time, you can also improve your credit Score as it helps you get loans, mortgages or credit cards when required.

4. Real-Time Information

With digital banking technology, account holders can get real-time notifications for the financial activities on their bank accounts or credit cards. These notifications can help them prevent any fraudulent activity while keeping their funds secure.

5. Digital Relationship Manager

Digital banking services enable the banks in the UAE to provide digital relationship managers for all their banking customers. With these services, the customers can contact their bank’s representative anytime to seek assistance with their online banking profile or other banking needs. 

The service is most beneficial for business customers. The customers planning to open a start-up company can contact their banking representative to explore their financial options. On the other hand, the ones with huge and successful businesses can contact their banking relationship manager to discuss their finances and manage them in a more efficient way.

6. Secure Banking Solutions

Digital banking offers secure banking services with a more seamless experience for the customers. The banking customers seek convenience and efficiency, but at the same time, they need security for their digital transactions. Although the digital banking systems are secure, there could be a huge risk of fraud where millions or billions can be siphoned off in the blink of an eye. Most banks in the UAE are planning to collaborate with fintech companies to help them create new solutions with the next level of safety and security.

Digital Banking Benefits for Banking Institutions

Here are some key pointers

showing how digital banking has transformed the lives of bankers and other financial institutions.

1. Monetisation of Data

Banks and other financial solutions providers have started monetising their data with the help of digital banking systems. The banks use their internal data to add more analytics capabilities to their business while running their banking operations. They also use this data to generate banking reports and perform benchmark analytics.

Some banks use their banking data to verify their customer needs, understand their behaviour and then offer them products accordingly. Banks have a vast customer base. If used responsibly, they can provide the same to businesses other than the financial services such as telecom, automotive, retail, etc. to gain insights.

2. Create a Financial Supermarket

With the help of digital banking systems, the banks create a financial supermarket where they offer different banking products such as loans, credit cards, insurance, mortgages, fixed deposits and more to their customers on a single integrated portal. By doing this, they gain more revenue and can expand their segments by making new customers. 

3. Enhanced Security

Digital banking systems offer an advanced security method - Biometric Technology. The banking customers trust the banks with their personal information, and they expect an advanced level of protection in return. Biometric technology enables banking solutions providers to balance speed, security and convenience to deliver an outstanding banking experience to their customers.

Banks in the UAE use biometric identifiers such as voice recognition, fingerprints, etc. to verify their customers. Unlike passwords and PINs, biometric identifiers are difficult to hack and impossible to forget. They offer smooth and secure authentication processes for various digital banking platforms including online and mobile banking services. In fact, with some banks, the account holders can merely use their fingerprints to make easy cash withdrawals from ATMs.

4. Process Automation

Banks can easily automate and improve their processes with the help of digital banking systems. They can use machine learning to automate chats on their official websites. They can also manage repetitive and time-consuming tasks while providing accuracy, reducing costs and enhancing customer service. 

For example, they can automate the processes like opening bank accounts, changing passwords, lending loans or mortgages and much more for their banking customers. With automated processes, it will become easier for banking institutions to detect fraudulent activities. 

5. Live Chat Services

Digital banking systems help banks provide their customers with 24/7 available live chat services. The banks can implement bots on their websites to interact with their customers and resolve their issues in no time. With these digital banking services, the banking customers can easily find their account details such as their account balance, registered address and more by providing their name and bank account number.

With these live chat services, the customers can also find answers to their banking queries, find links to knowledge bases and FAQs in just a few minutes. The best part about this service is that the customers from any location can speak to their banking representative anytime and get quality service with a personalised banking experience.

6. Advanced Analytics

Digital banking systems enable banks to perform advanced analytics for better business. For example, they can figure out how many customers are accessing their online banking account simultaneously. This helps them have an idea of the bandwidth they require to run their operations smoothly. Another function that they can perform is calculating the total amount transferred in and out by the customers daily, monthly or yearly. They can also take their business to the next level by finding out customers running short of funds and providing them with personal loans and other financial support.


Digital banking systems are one of the effective transformations in the banking industry. As people continue to use different devices to access these financial services to make their life convenient, the expectations of being on the move for the financial institutions would remarkably increase. 

You can visit our website to find out what all banks are providing the best digital banking services. This will help you make an informed banking decision if you are looking to open a bank account, apply for a credit card or get any other banking product.

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