In today’s world, everything is digitized, which means we can access or get every service in digital format through mobile phones, computers, tablets, etc. The invention of computers and smartphones has created a huge impact on financial services. Today using computers and mobile phones, a person can access his/her bank account, verify account details, transfer funds, deposit cash, renew deposit, pay bills, book tickets, etc.
Also, the invention of ATMs reduced the time taken to withdraw money from banks. Digital services help to save time by providing services in a single touch. The introduction of digital wallets has also made a big positive impact on financial services.
Digital Financial Services (DFS) include a broad range of financial services accessed and delivered through digital channels, including payments, credit, savings, remittances and insurance. – Digital channels refers to the internet, mobile phones, ATMs, POS terminals etc.
The solution can be summed up in two words: digital finance, the idea that individuals and companies can have access to payments, savings, and credit products without ever stepping into a bank branch. Digital dramatically lowers the cost of providing financial services.
The application of Digital Financial Services are to regulate the lender and the borrower of microfinance and bring stability to the microfinance system through regulation and inclusive participation. Extend finance and credit support to Microfinance Institutions (MFI) and agencies that lend money to small businesses, retailers, self-help groups and individuals.
Emergencies may come at any time and we should always have a backup to handle such situations, which is why we need DFS. Some examples of emergencies from our day to day life are −
- Personal and family health issues.
- Loss due to sudden natural calamities like flood, earthquake or cyclone, etc.
- Loss due to theft or any other unanticipated events.
- Sudden financial help for friends or relatives.
- Unplanned trips or any other plans.
Amala Core Banking offers an instant solution to Microfinance operations in Tanzania by automating their day to day operations with the most reliable, accurate, effective and affordable features such as Loan Management, Saving Management, Share Management, Client Management, SMS Campaign, Loan Calculator and so many more solutions for the Microfinance Service Provider of any Scale. More over Amala Core Banking is Simple to use with a training advantage that our team offers for 24 hours every day,
Get today Amala Core Banking and automate your financial activities digitally.