Mobile banking apps are indispensable for today’s financial institutions, as the sudden move to digital banking has now become the new norm in the financial industry. Users who launch such applications value bank over names, security, and flexibility as succeeding businesses in the first digital era. Statista published that there will be more than 7.5 billion active mobile phone users in the world by 2026, which proves the need for mobile banking services. In this guide, we’ll outline the key things you need to know about how to build a banking app that’s the best it can be.
Why Banking Apps Matter
Mobile applications in banking refer to the use of applications in the banking sector that carry out transactions that would normally be done in the banking hall from a mobile device including checking balance, making payments, and managing transactions. McKinsey reported that its survey of global consumers showed that at least one in every four consumers no longer wants to visit branches to do their financial business. Creating a banking application lets companies fulfill customers’ desire for quick, safe, and individualized financial services.
Steps to Create a Banking App
As a result, constructing a successful banking application mainly encompasses several stages including planning, designing, development, implementation, and maintenance phases. Please find below the step-by-step procedure.
1. Determine Your App’s Functionality and Function
The first step is to understand who your audience will be and what main service your application will provide. Banking: it will be limited to simple operations, including payments and transfers, or it will also include additional functionalities, such as investment tracking or budget control, or it will include AI-based financial advice, for example. It also makes the development process easier when you are clearly defining what your app is meant to accomplish.
2. Conduct Market Research
Market research should enable one to see from the customers’ perspective what new things they would like that they have not seen before. Evaluation of competitor apps to know their advantage and disadvantages. Propose from this information the opportunities that can help one to develop a solution that addresses market deficiencies to meet user needs and wants.
3. Select Your Technology Platform
Choosing the right technology environment means your banking app provides the needed level of security, can be easily expanded, and is easy to use for the client. Common technologies include:
- Backend Development: The technologies that need to be used for processing transactions securely are Node.js, Python, or Ruby on Rails.
- Frontend Development: Using Swift (iOS) and Kotlin (Android) for developing pure-native apps or React Native for developing and same code execution of cross-platform compatible applications.
- Database Management: PostgreSQL or MongoDB for secure storing of data.
- Cloud Solutions: AWS or Microsoft Azure for scope and reliability of the cloud service.
4. Ensure Regulatory Compliance
Financial apps, most importantly applications involved in mobile banking, need to meet rigorous standards to enhance the safety of the users’ data and curb fraudulent activities. Depending on the region, your app may need to meet:
- PCI DSS: For secure payment handling.
- GDPR: In the EU for data protection.
- PSD2: For open banking compliance.
This is because getting the services of legal advisors prevents your app from having lapses, which may lead to users’ distrust and legal suits.
5. Focus on Security
Security is a critical component of any banking app. Implement the following measures to safeguard user data:
- Data Encryption: All information that can be compromised to the organization or its clients should be protected during storage and transfer.
- Multi-Factor Authentication (MFA): One more idea is to enhance the level of security of users’ logins.
- Fraud Detection: Apply AI for suspect transaction detection to minimize fraud risks.
- Secure APIs: Safe interaction of the app with the outside systems must be maintained.
6. Plan an Interface for Users
The manner in which the power is structured is very important for retaining users due to the ease of operation through the simple and friendly user interface. A website’s goals should include being simple, accessible, and responsive. Adding simple usability features such as click and transfer, the option of real-time notifications, and a clean-faced chart system increases user satisfaction.
7. Development and Integration
During the development phase, the app actually starts to take form and shape. Developers build the backend and frontend while integrating essential services like:
E-commerce solutions for safe, secure, and efficient transactions.
Concerning the various forms of payments, explain how digital wallets improve payment functionality.
From this proposition, one can derive AI-based analytics for personal financial advice.
8. Test the App Thoroughly
Testing makes certain that your application does exactly what you wanted it to do and that it is shielded against hacks.
9. Launch and Provide Ongoing Support
Finally, launch the app so it can be sold on app stores and publicize it to the audiences of concern. Therefore post-launch support is very important for success. Updating, releasing and modifying comes with the opportunity of fixing all the bugs while making new features to meet the new competition and customer needs.
Read also The Role of Leaky Feeder Cable in Mine Safety Systems
How Agilie Can Help
Agilie focuses on developing safe, accessible, and easily expandable banking applications that will address the requirements of banks. It implements compliance & security standards for each app depending on the client’s requirements and introduces advanced technologies that Agilie possesses. To learn more, go to our guide on developing a mobile banking application.
Conclusion
Creating an application for banking requires deep thinking, special protection, and focus on users. By so doing, financial institutions can be able to design and develop apps that solve customers’ needs and create revenue for an organization. To those people, their banking application can be a powerful weapon in the today’s world of banking competition!
