How Technology Is Revolutionising Our Money Relationships

As little as twenty years ago you could argue that a salary from your job was a more tangible thing than it is today.

What we spend money on has changed to some extent since the beginning of the internet age, but the way we spend money is now virtually unrecognisable. Innovations in technology and the uptake of smartphone ownership has allowed us to interact with our bank where we want, when we want, how we want. Here are some of the most significant changes that we have seen over the last few years:

The Rise of Contactless Payments

Credit and debit cards saw the biggest overhaul since their creation in the late 1950s. No longer were users tied down by the use of a signature or PIN. A simple tap or swipe of a card terminal and small payments can be made efficiently and smoothly. This innovation has only been available to the mass market for the last couple of years, and many retailers are still to make the jump to contactless technology. It has proved very popular in the service industry, so expect to see more of it very soon.

Mobile Banking Takes Off

Many banks have quickly jumped on the mobile technology wave and launched apps that allow the customer to access their accounts remotely via smartphone. The move makes sense from a business point of view. In the 1980s, Automatic Telling Machines were introduced as a means of reducing the overheads required to have physical branches for customers to visit to withdraw money. The mobile banking app can be seen as an extension of this - less money on staff and premises. You can now transfer money and make payments from the comfort of your own bed.

The Money Revolution

The app revolution wasn’t just limited to the established financial institution. A whole raft of small money planning apps have sprung up in the wake of the money revolution. Money saving apps that exist purely online, and without a physical branch are changing the ways we plan our spending and how we choose significant purchases. 

A Better Service for Everyone

In many ways, you could argue that the technical revolution and the rise of the digital age has allowed us to strip our money relationships back to a more fundamental level. When you think about how we use banks and how we manage our money, it boils down to a number of fairly basic actions; transferring money between accounts, lifting cash, making payments, and viewing savings. A few years ago, many of us were complaining about the barriers that call centres put between ourselves and our money.

Now, thanks to innovations in the worlds of technology and finance, we have a real-time malleable relationship with our money. We can plan more carefully, spend more sensibly and ultimately have a clearer picture of how we can achieve our financial goals.