Alan Safahi, a successful start-up owner, entrepreneur, and advisor has a keen observation of the financial services sector. Alan Safahi Orinda has analyzed emerging technologies and solutions for the financial industry. In today’s article, we will share Safahi’s insights with you and discuss the five best digital payment solutions for financial services. Read on!
1. Digital Invoicing
E-invoicing, also known as digital invoicing, is one of the best payment solutions for the financial sector, especially for B2B and B2C transactions. Digital invoicing uses automation systems and smart accounting apps with high-security protocols, enabling financial services to digitize accounts, bills, receivables, and transaction management. Bear in mind that digital invoicing leads to lower costs, time-saving, and minimal paperwork.
2. MPOS Systems
MPOS stands for mobile point-of-sale, a system that streamlines financial services by shifting from brick-and-mortar environments to more flexible mobile-based experiences. MPOS systems are suitable for small-medium enterprises in the financial sector. However,
Safahi says that large financial companies in the U.S can also take advantage of MPOS systems. An MPOS system is an excellent payment solution, allowing for more location-agnostic payments and eliminating the need for central checkouts. According to Safahi, the financial sector should focus on cloud-based POS systems to ensure multi-platform access to transactions and sales.
3. Digital Wallets
Although digital wallets are based on the traditional wallet philosophy, they focus more on online or eCommerce transactions. Digital wallets are an effective payment solution for financial companies in 2021, and this trend will grow in the future.
For instance, the financial sector focuses on developing mobile apps to maintain a company’s debt, credit, bank accounts, and loyalty cards. Because digital wallets allow for contactless or cashless payments, you can benefit from them and streamline processes like booking tickets, paying bills, and transferring money via the internet.
4. Contactless Payments
The San Francisco-based start-up founder Alan Safahi says that traditional card payments require using a chip, inserting cards in POS terminals, and swiping readers. All these processes pose various challenges for companies.
On the other hand, contactless payments are trending in 2021 due to the Covid-19 pandemic. Safahi says cashless or contactless payments will dominate the industry in the future. The technology enables consumers to tap a card or wave the mobile to run financial operations, such as payment executions. All this leads to reduced processing time and better transaction and security.
5. Voice Payments
Financial companies and eCommerce businesses focus more on providing their customers with customized solutions. Many Fintech companies have developed voice-based payment solutions for their clients. Consumers today demand tech-based payment solutions or services similar to Siri, Google Home, and Alexa.
Financial start-ups have combined machine learning algorithms, data processing tools, AI-based language processing, and voice recognition software to develop voice-mediated payment solutions. Bear in mind that voice-based payments add an extra security layer, allowing companies to secure B2B or B2C transactions.
Although there are various digital payment solutions for financial services, Safahi recommends Fintech companies create compressive and actionable platforms to make transactions more secure, safer, reliable, and efficient. The digital payment solutions mentioned above dominate the financial sector in 2021, continuing in the future.