Alternative payment methods took 2015 by storm and we can expect the trajectory of cashless payments to sky rocket here in the UK in 2016, mainly due to the convenience they bring consumers. One study has stated that cash volumes are expected to fall by 30 per cent over the next 10 years – influenced by the uptake of contactless devices such as cards, smart phones and even wearable technology.
Phil Codd – Regional Managing Director UKI, SQS adds, “The same can also be said for online banking, as challenger banks are set to cause disruption in 2016 for the retail banking sector. With players from Fintech and the growing pressures of the technological revolution, which is rapidly gaining pace, independent financial regulation will be increasingly important and a key influencer in the development of the industry.”
The main consideration for organisations when it comes to online banking and the adoption of alternative payments is how much damage in terms of reputation and fines would a potential software flaw cause and who will be held responsible? Stringent measures and quality testing need to be put in place. This will mean businesses must self-regulate in order to minimise the risks, as more often than not the appropriate standards are not finalised.