While banks and fintech companies continually innovate to attract users, innovation alone doesn’t guarantee success. Financial apps have the potential to either simplify people’s financial lives or add to their stress. For digital financial and banking products, where users manage sensitive and complex financial tasks, design is particularly important.
A well-designed user experience can transform complex financial processes into effortless activities, enhancing user satisfaction and trust. Conversely, poor design frustrates users and drives them away. And, in the highly competitive world of fintech, intuitive and efficient UX design is essential for creating products that not only meet but exceed customer expectations.
What Is Fintech?
Fintech, a blend of “financial” and “technology,” refers to any application, software or technology that enables individuals or businesses to access, manage or gain insights into their finances digitally, as well as conduct financial transactions.
With the growing reliance on digital tools, fintech emerged to tackle financial challenges and aid in reaching financial objectives. The primary goal of fintech is to simplify financial processes and make them more accessible to a broader audience. Today, consumers use fintech for various functions, from banking and budgeting to investing and lending, enjoying its practical benefits in everyday life.
Why Is UX Design Crucial in Fintech?
In fintech and banking, UX design plays a pivotal role in making the services accessible, understandable and friendly to the user. Effective UX design demystifies complex financial concepts, reducing intimidation for new users and helping with their overall confidence. A well-designed application enables users to navigate platforms effortlessly, complete transactions efficiently and trust in the security of their data. This is particularly important in the financial sector, where users often deal with sensitive information and manage transactions.
Appsynth’s Head of Product Design at Appsynth, explains, “People are generally highly concerned and sensitive about anything involving their money. Therefore, in fintech and banking, it’s crucial to manage customer expectations and ensure they feel secure and confident using the product.”
Differences in UX Design for Fintech vs. Traditional Banking
Although both fintech and traditional banking apps belong to the financial industry, their design considerations differ significantly. “People are accustomed to financial services provided by traditional banks, whether it’s through websites or mobile apps; however, they may not be as familiar with financial services provided by non-bank third-parties, which are also capable of handling their financial transactions.”
Traditional Banking:
- Established Processes: Traditional banks maintain trust through long-established processes.
- Conservative Design: Their design is often more formal and less experimental, appealing to a broader, less tech-savvy audience.
- Regulatory Focus: Compliance and regulatory requirements heavily influence design decisions.
Fintech:
- Innovative Features: Fintech apps introduce new features like peer-to-peer payments, trading, and real-time analytics.
- User-Centric Design: They focus on providing an intuitive, seamless experience for more tech-savvy users.
- Rapid Iteration: Fintech operations are fast-paced, requiring frequent updates and feature rollouts.
UX Design for Fintech & Banking
Trust and confidence are non-negotiable when it comes to financial products. It’s essential to help users feel comfortable with the technology. With the right messaging and user experience, users gain an understanding and feel safe with that technology. For fintech, particularly, you need to build trust because they may not yet have the kind of credibility that established banking institutions have.
Appsynth’s Head of Product Design shares key UX design principles crucial for providing a positive user experience that builds a sense of security and trust:
Approachable and Accessible Language: Use simple, jargon-free language to make financial information understandable. Avoid complex terms that could confuse users.
Process and Transaction Transparency: Keeping users informed about the status of their transactions builds trust. Provide real-time updates and clear progress indicators.
Consistent Delivery: Ensure that the user experience is reliable and consistent across all touchpoints. The design and functionality should be seamless, whether on a mobile app or desktop site.
Regulatory Compliance: Design an intuitive user interface that adheres to financial regulations and ensures robust security measures.
An example of “Wise”, a fintech company offering borderless financial services, such as money transfers, remittances and payment solutions. The app allows users to link to various banking and enterprise partners with a single account. Users are provided with simple and clear language throughout the application, making it accessible. When sending money, users get notifications on the estimated time the money will be received and a detailed transaction timeline. They even provide foreign exchange rate comparisons so users can decide on the best rates. This is an example of how Wise creates trust through user experience design.”
What to Look for in a UX Design Agency for Banking & Fintech
Financial services and banking are highly regulated industries that present unique challenges and requirements. Developing a successful financial application or platform will require careful planning and execution. The sensitive nature of financial data, strict compliance standards and the need for robust security measures make this space distinct from other sectors. Due to these complexities, many brands choose to outsource design work to professionals with specific expertise in financial services and banking.
Here are critical factors to consider when looking for a UX design company:
Experience in Fintech: Choose a UX design agency with a proven track record in banking and fintech. The agency should understand financial regulations, security protocols, and user expectations specific to financial services. Their expertise ensures the fintech app’s UI/UX design aligns with industry standards and user needs.
Portfolio of Projects: Review the company’s portfolio to assess the quality and impact of their previous work. Look for case studies highlighting the agency’s experience in creating fintech solutions and demonstrating their capability to deliver high-quality, user-centric products.
Collaborative Approach: An agency that works closely with your team, incorporates feedback, and makes adjustments will ensure the final product aligns with your vision. Collaboration fosters a better understanding of your business goals and user needs.
Integrated Research: A good UX design agency integrates comprehensive user research into its process. This involves conducting user interviews, surveys, and usability testing to gather insights. Understanding user behavior, pain points, and preferences helps create designs that resonate with the target audience.
Iterative Process: An iterative design process is crucial for refining the product based on continuous feedback. The agency should employ an Agile methodology, allowing for regular iterations and improvements, resulting in an effective and enhanced product.
Focus on Security and Compliance: Given the sensitive nature of financial data, the agency should prioritise security and compliance. They should be knowledgeable about industry regulations and best practices for securing user data.
Appsynth’s Design Approach
Good UX design is vital in financial digital products to ensure user satisfaction, trust, and engagement. Appsynth excels in UX design for fintech and banking, combining deep industry knowledge with a user-centric approach. Our proven track record includes successful projects for leading financial institutions like HSBC and Kasikorn. “Part of our advantage lies in our approach to development. We conduct workshops with clients, stakeholders and creative teams to align on goals and priorities and brainstorm solutions,” shares our Head of Product Design.
Another key tool in Appsynth’s arsenal is our rapid research methodology, ensuring quick and effective user feedback integration in the development process. “During our rapid research, we uncover insights from users as we test for usability issues. It enables us to understand clients better and move fast. The development process—from workshop to design to testing to handoff—happens quickly, allowing us to achieve speed to impact,” he adds.
Searching for the right UX designer for intuitive and reliable financial products? Leverage Appsynth’s expertise in UX design, collaborative approach, and innovative solutions. Contact us for a consultation.
