While using traditional banking services is still mainstream in the Philippines, digital banking is fast becoming a part of many Filipinos’ lives. Bringing conventional banking services—such as opening a bank account and getting a loan—to the digital space has made money management easier to understand and more accessible for everyone. This has expanded people’s financial capabilities, allowing them to make wiser decisions about their money and become more financially resilient in times of difficulty.
Thus, it’s no surprise that a lot of people have opened their own digital bank account and have begun using it for their daily transactions. Here are six reasons why you should, too:
It’s More Convenient
Digital banking offers unparalleled convenience for handling your daily transactions. As an alternative to traditional banking, fintech companies and other financial institutions have developed apps you can download on your smartphone or tablet to access a wide range of banking services right at your fingertips. Gone are the days of wasting time commuting to a physical branch or standing in queues and filling out multiple forms to send money to another account. With digital banking, you can manage your finances from anywhere with a reliable internet connection and just a few taps on your smartphone.
Additionally, digital banking also eliminates the need for paper statements and physical documents. Everything from account statements to transaction histories is available online, saving you the hassle of storing and organizing paperwork. It’s more eco-friendly, too!
It Offers 24/7 Access
One of the standout features of digital banking is its 24/7 accessibility. Unlike traditional banks with limited operating hours, digital banks are always available, whether it's late at night, on weekends, or even on holidays. This round-the-clock accessibility means you no longer have to adjust your schedule to accommodate banking hours or wait until the next business day to address your financial obligations. Whether you need to check your balance, transfer funds, or pay a bill, you can do so at any time, allowing you to manage your finances whenever it's most convenient.
Moreover, digital banking provides access to customer support services outside regular hours. If you encounter an issue or have a question about your account, you can reach out to customer service via phone, email, or live chat, and receive assistance promptly. This level of accessibility ensures that your banking needs are always met, no matter the time or day.
It Often Has Higher Interest Rates on Savings
A compelling reason why you should use a digital bank for your daily transactions is the opportunity to earn higher interest rates on your savings. Because of their lower overhead costs compared to traditional brick-and-mortar banks, digital banks are capable of providing their customers with more competitive rates.
Some digital banks even incentivize their users by boosting their savings account’s interest rate if they complete transactions using their services. For instance, digital bank Maya has several products that allow you to make the most of your savings. Maya Savings is a particularly innovative product that gives you the chance to increase your interest rate through daily banking activities. Once you reach certain goals, you can boost the base rate from 3.5% interest p.a. all the way up to 14%.
Another product Maya offers its depositors is Time Deposit Plus, which is a time-based savings account. Here, you can keep your money for 3, 6, or 12 months and enjoy higher than the average interest rates. By keeping your money in a digital bank’s savings account, you can watch your savings grow faster over time through compound interest.
It Makes Online Shopping Easier
Digital banking simplifies the online shopping experience by providing convenient payment options and enhanced security features. Rather than relying on credit cards, which can have surprisingly high fees, you can use your digital bank account to directly fund your online purchases. This not only smoothens the checkout process but also helps you keep track of your spending more effectively.
It’s Safer
When you rely on cash for your daily transactions, you are vulnerable to various dangers. Carrying large amounts of cash puts you at risk of theft or robbery, especially in crowded areas. On the other hand, digital banking eliminates the need to carry large sums of cash, reducing the risk of any form of loss. Your money is stored securely in your digital bank account, protected by encryption and multifactor authentication measures that make it difficult for unauthorized individuals to access your funds.
In the event of suspicious activity, digital banks offer additional security features such as the ability to freeze your account or disable your debit card remotely to prevent further unauthorized access to your funds. Some digital banks also provide insurance coverage for fraudulent transactions, offering added protection and peace of mind.
It Streamlines Your Finances
Many digital banks offer comprehensive financial management tools and features to help you track your spending, set savings goals, and monitor your overall financial health. These tools include budgeting tools, expense categorization, spending insights, and customizable alerts to keep you informed about your finances. Using these tools can help you gain better visibility and control over your finances, ultimately helping you make more informed financial decisions and achieve your financial goals more efficiently.
Using a digital bank for your daily transactions offers numerous benefits that can enhance your banking experience. It also provides you with a convenient way to more effectively handle your daily transactions and keep your finances secure. With all of these advantages of digital banking, you can gain greater flexibility and control over your money.
