Impact of Fintech on the Banking Sector

Abstract

Digital transformation development triggers the boom of Fintech (financial technology) initiatives, which are recognized as some of the most important innovations in the financial industry. Fintech refers to the novel processes and products that become available for financial services thanks to digital technological advancements. Fintech is very rapidly growing in financial markets and effective impact on banks and financial institutions. This digital transformation allows the users to access their financial requirements wherever they are rather than physically going to the bank. The functions of banking sectors are reduced from complicated to more simplified manner through the innovative products in fintech. This development empowers the customers to take their financial decisions and allows them to get higher financial literacy than ever before. After covid, the impact is far more visible in the rural areas also. Most of the paper works digitalized and data regarding the customers are secured in a very protective manner.