August 19, 2015
So you think banks are obsolete, venture capitalists are creating the next generation of non-banks, millennials are part of the ‘unbanked’ revolution and financial institutions are becoming irrelevant?
Here’s what I’m saying: that simply isn’t true. Banks are here to stay. In a recently published article from PaymentsSource, Kristin Broughton describes how banks are finding new sources of revenue by digitizing traditional cash receipts, evidence of how banks remain critical to both businesses and consumers.
It’s great to see the super-regional banks innovating important product offerings for their clients that generate fee income. Banks have been, are currently and will continue to be vital to the payments industry. Whether processing cash, checks, electronic, card, digital or mobile funds, financial institutions play the starring role in moving money and information for their clients.
Regardless of the vast sums being invested to disintermediate them out of the payments space, banks are still THE most trusted provider for businesses of all sizes. This smarter cash processing described by PNC, Fifth Third, Hancock and Key Bank is a prime example. After more than 30 years in payments, my bet is banks that add technological advancements will offer more value than ever.