Best Practices for Digital Onboarding in Banking

Banks and financial institutions realize the power digital technologies have in boosting their profits, securing compliance procedures, and offering exceptional customer experience. The latter has come into the limelight as of late due to the COVID-19 crisis.

A positive that is seen amidst the doom and gloom brought on by the pandemic, is that it has challenged the status quo of traditional banking services. Financial services have now been faced with the option of taking a refreshed approach to their operations by digitizing systems to meet the demands of the tech-savvy consumer.

A survey revealed that in this year alone many banks were still in desperate need of revamping the processes that lacked a depth of communication, multichannel integration, and personalized service features.

Today, a great onboarding experience can help increase your retention rates by allowing you to not just make a great first impression, but also create a lasting one.


Here are some best practices to help improve your digital onboarding process.

Focus on clarity and user-friendly systems

As Leonardo da Vinci rightfully quoted, “Simplicity is the ultimate sophistication.” He hit the nail right on the head when it comes to your onboarding process.

The pandemic further exposed the inefficiencies of current financial services alongside the outdated systems that support them.

Now, more than ever, customers are seeking solutions that require minimum effort on their end. The biggest possible source of friction in a financial onboarding system is not just customers looking to submit their documents, but also the need for multiple visits to submit more documentation.

Customers that are kept waiting, drift easily towards competitors who offer to deliver their needs in half the time. For this reason, banks need to monitor their process and see how they can streamline their operations more effectively.

There is little use in offering extensive functionality with no well-designed user interface to back it up.

This is why keeping processes concise and easily comprehensible to customers is a best practice to guarantee an effortless and smooth journey.

Ensure consistency 

A key component that customers look for when sharing their personal and financial information is how safe and confident they feel about the processes.

Cohesive domain experiences increase your customers’ faith in what you offer and reassure them that their information is in the best hands.

By eliminating the need to manually fill in paperwork and wait in long lines, customers see the vantage point of convenience you offer—and are more likely to continue doing business with you.

Integrating software and the latest technology to help quicken response rates to customers’ requests also allows you to pick on possible pain points customers may face, and guide them through it.

By making sure your customers have a consistent experience at every touchpoint they go through, you can take steps to keep them engaged and even nurture them into signing up for your products and services.

Implement strong verification and identity check-ins

For any financial institution, this step is an absolute necessity.

With COVID-19 placing restrictions on how individuals get their needs met, many made the switch to digital platforms. This change is forcing banks to invest in models that will help keep their customers’ information safe.

Banks and financial institutions must integrate strong and reliable identification software—that can match the current expertise of verifying customers in the physical world—into their digital processes.

Along with offering a more user-friendly platform and improving customer experiences through digitization, banks need to look into achieving higher levels of security and catching possible traces of fraud that manual processes would so often miss.

The best way to onboard your customers, without losing them along the way, is to prove that your authentication and compliance procedures are updated and current.

Perfect your digital onboarding 

When creating a great onboarding experience, it pays to look into common client onboarding workflow issues that could potentially disrupt your process.

As banks accept cutting-edge technology into their workflow, they open the door to continuous improvements in their efficiency over time. This allows them to have their cake and eat it too as they can satisfy compliance regulations and offer a seamless onboarding experience.

Be a part of the future of digital onboarding for better customer relationships and more success!

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