Jitin Bhasin is the Founder & CEO of SaveIN, a fast-growing neo-banking platform in India that aims to revolutionize the way Indians transact, bank and save money. An engineering graduate and MBA from the prestigious Indian Institute of Foreign Trade, Jitin has rich experience in Banking, Insurance, Consulting and Fintech. He has grown rapidly in his career through consistent and excellent performances across domains. In the year 2014, he was adjudged as The Economic Times Young Leader across India. Before setting up SaveIN, Jitin was the MD and CEO of Rupeeredee – a new-age digital lending platform and Fincfriends Private Limited, one of India’s first digital Non-Banking Financial Company. Under his leadership, these companies scaled up rapidly, serving millions of Indians across the country, while delivering profitable business results.
Neo banks are virtual or digital banking platforms that operate in partnership with licensed banking institutions while providing unique products and experiences in a customer friendly interface. Sometimes, it can seem unreal- no hassle of physical branches, lean cost structure, end to end digital processes and easy access through your smartphone, but all this is the exact reason for neo-banks to exist!
While globally neo-banks have been around for almost a decade, it is a relatively recent, albeit, fast growing industry in India, riding on high penetration of the internet, changing preferences when it comes to banking and consumption patterns of Indian customers.
As a relatively new industry, it is not unreasonable to assume that some people would be sceptical about the relevance and reliability of such platforms. Some of those misconceptions and apprehensions are covered below.
Myth 1: Neo banks are unsafe and not secure
Neo banking being an online platform that offers financial services, data protection is one of the main questions on everyone’s minds and concerns regarding its security are not entirely misfounded. It is pertinent to note that in India, neo-banks provide products and services in deep partnership with licensed banks and other financial institutions through the use of Application Programming Interface (APIs), hence all key actions are governed by the partner bank and in adherence to strict protocols. Data is adequately protected with the help of digital security encryption and used in a customer consent driven architecture. Moreover, two-factor authentication provides additional security for any transactions taking place on this platform. Some neo-banks also undergo voluntary certifications and audits, to enhance their data security measures and access controls, hence it is safe to assume that compliant neo-banks are at par with banks, when it comes to safety.
Myth 2: Neobanks have a poor customer service
Most neo banks have a discerning focus on providing top tier customer service, so as to differentiate themselves from the traditional banking service model. Where traditional banking in most cases is limited to branch visits, routine phone-calls and emails, neobanks are changing the game by expanding to more digital channels.
Customers can reach these online platforms at the click of their fingers via messenger apps such as WhatsApp, in-built chat services, and social media platforms for a faster response, round the clock. This multi-channel approach helps them stay on top of customers’ concerns and increases their response rate.
Myth 3: Neobanking is complicated
For those who are not so tech savvy, a fully online banking service might seem a little daunting. However, digital banks take pride in providing easy-to-use banking products and educating their users on how to manage their finances. Furthermore, highly personalised interactions, analysis and recommendations form an integral part of digital banking— business insights are zeroed down to bite-sized actionable tasks, simplifying decision making.
A completely digital platform allows neobanks to better understand customer behaviour and make necessary changes to its user-interface based on customer feedback. Advances in technology further helps neobanks to adapt to changing customer needs faster than any traditional bank.