Fintech stands for financial technology. It includes anything from online banking to virtual currencies. Overall it stands for any technology that is used in finance.

Benefits of Fintech to individuals

• Fintech can make financial services cheaper for individuals for example, they might provide free debt advice and so on.
• Fintech can be more efficient. For example, creating a joint bank account can be done in a few minutes with certain online banks whereas this would take far longer at a branch or if you had to make a phone call.
• Fintech can help with financial planning, for example many online banks send a notification every time you make a purchase, or round up your amount payable to the nearest pound and save or invest this for you.
• Fintech is more accessible as anyone with an internet connection is able to use it, so its not limited to a geographic location.
• Fintech creates more options so people can choose from a wider variety of providers and a wider variety of financial services.
• Fintech is more convenient as you don’t even have to leave your house to be able to take advantage of the benefits it provides.

Criticisms of Fintech

• Security concerns. Many are concerned about the safety of their bank accounts and income, or from being hacked by fraudsters, or many may simply not trust eg. app only banks due to the lack of physical relations with these banks.
• Some fintech providers such as online or app only banks may not adhere to the same regulations as traditional banks, this is mostly because they’re still quite young but are in the process.
• App only banks and so on might also not be able to provide the best interest rates on borrowing and saving.
• Some are left behind, or are excluded. From example, older individuals whom are less tech savvy might find it difficult to use technology and would find it difficult to eg. transfer money online etc.
• It could also contribute to inequality. This is because individuals in less developed countries might not have access to the internet, or they might not have the skills and knowledge required to use fintech and thus they would be at a disadvantage when compared to individuals in developed countries.

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