Customer Onboarding in Banks: Current Challenges & Future Trends

Posted March 8, 2021 by panamax

The process in client onboarding for banks is an arduous process. let’s look at models that banks can adopt to simplify their processes.

With numerous tools and sources available for communication, the importance of every interaction, an organization has with its clients, is mounting tremendously. Bearing in mind the intense competition in the markets, organizations must assure that they leave an everlasting impression in minds of their clients after every interaction.

In the financial services industry, customers now expect premium digital experiences in critical services. It is especially vital during client onboarding- the entire process through which an individual starts his journey as a customer or a client of a bank/financial institution. It includes various activities like the evaluation of customer’s requirement, followed by due-diligence, fulfilment of legal aspects, opening the account, and making it operational.

Top Challenges in Enrolment Processes of Banks
The process of client onboarding in financial institutions and banks requires proactive communication and involvement of multiple departments within the bank like credit, operations, compliance, legal, front office, risk, and tax. As per the research by Forrester Consulting, it takes two to twelve weeks for institutions to onboard new clients that had implemented partial onboarding solutions with basic workflow capabilities, making it an arduous process. Let us understand the challenges in the current client onboarding processes of banks.

Frequent Changes in Regulations
Banks witness changes in regulations on a monthly or even on a weekly basis. Therefore, banks must continually adapt their systems in accordance with the regulations to assure compliance. It can be challenging for the banks as they have to explain the changes to the client as well as ensure that they are amended in the onboarding process. Such changes in the regulations also require banks to revisit their current processes/operations.
-- END ---
Share Facebook Twitter
Print Friendly and PDF DisclaimerReport Abuse
Contact Email [email protected]
Issued By Panamax Inc
Phone 7187138417
Business Address 100 Quentin Roosevelt Blvd, Suite 503, Garden City, New York - 11530
Country United States
Categories Technology , Telecom , Web Development
Last Updated March 8, 2021