Introduction
Fintech is the major reason why areas of software technology are used today. The thought of developing a Fintech app from scratch is still a nightmare. Because creating an app requires much effort and investment. Financial institutions and banking sectors are actively investing money there, and the market’s future is promising.
(“According to the Global FinTech Market Size, Status and Forecast 2018-2025 report, «global fintech market size is expected to grow to USD 124.3 billion by the end of 2025 at a Compound Annual Growth Rate (CAGR) of 23.84%.”). So, there are numerous investment opportunities to garner for fintech startups and companies alike.
In this article, we’re going to illustrate the phases to create a Fintech application offered by service providers that helps to drive ROI that may become “the next unicorn.”
What is the Process To Build a FinTech Mobile App That Drives ROI?
Step 1: User authentication and data encryption – Use Firebase
You’re required to validate the user identity and manage your user base over time. For this, Google Firebase is one of the most effective and widely used platforms for two-factor authentication, crash reporting, data encryption, and management. This platform allows you to club with a pool of other Google services that offer all your users a rich app experience.
Step 2: Most secure hosting – Use cloud Firestore
Your Fintech app must be encrypted to a cloud-based database solution. For that, you can use Google’s Cloud Firestore, which can seamlessly integrate with other solutions provided by Firebase. By doing this, your users will get an amazing user experience.
Google’s cloud Firestore is highly scalable and effective in simplifying the AI-powered FinTech development process.
Step 3: Credit score checking
You can use various APIs to fetch the consumer credit score data. Experian is a Fintech app that helps business organizations by offering APIs that help gain credit score sharing. American Credit System helps you to generate FICO scores and full credit reports.
The UCS (Universal Credit Services) provides you credit score data from 3 credit bureaus and integrates the credit data gathered from these credit bureaus to provide you with a single unified report.
Data accessible using this API includes the following:
- SSA89
- Criminal Searches
- Motor vehicle records
- Pre-Employment Credit Reports
- Eviction searches
- 4506T IRS Tax Transcripts
- Social Security Number Verifications
- Decision-only Credit Reports
Step 4: Banking account access and payment capabilities – Use plaid
To connect your Fintech apps to users’ bank accounts, this is one of the most important APIs for your software that you must implement. Using plaid in your finance apps facilitates customers’ banking data sharing. It is agile and stores users’ financial data, transactions, and sensitive data to help other financial institutions like you speed up the development.
Step 5: Set Up Payment gateway – Use stripe
Integrating payment apps using stripe is one of the most commonly used development processes by Fintech agencies. It helps you process payments globally and use various payment service providers without integrating all of them independently.
Stripe club with plaid, and it frees you from having to observe with PCI certification.
Step 6: Implement Chat – Chatbot
Off-the-rack chatbot solutions like Chatbot use Machine learning and Natural Language Processing technology to automate the customer service required for your FinTech solutions. You can also consolidate chatbots for customer interaction points of contacts like grievance resolution or authentication management.
Step 7: Do not avoid the compliances
Lastly, avoiding the FinTech companies makes the Android and iOS applications challenging to build. Using Fintech APIs, the data flow becomes smooth, and the application can be prone to hacking/theft.
However, before you start the Fintech software development process, ensure that your software complies with the latest Fitech security protocols and norms.
How Much Does it Cost to Create a Fintech App?
Now, we have already covered all the steps to create a successful Fintech app. You must be wondering how much would it cost to develop a fintech app. If so, then the cost of app development depends on various factors. The hourly rate of your development team, technology stack, how many features and functionalities you want to add, and their complexity, contribute to the total budget.
The hourly rates of development teams differ from country to country. Here are the rates of some main development areas:
- The USA – $120-150
- Western Europe – $50-100
- Eastern Europe – $35-40
- APAC – $25-40
This represents the pricing for each development stage for a basic fintech app. The final cost can differ depending on your particular project, team size, and goals. If the financial software development company you choose has no required resources, they need to fill the skill gap in the development team.
So, make sure to choose the best and top-notch financial fintech app development company with vast industry experience and essential resources to get your mobile app development within your budget.
Final Words
We know that marketing is a challenging task. But marketing in the Fintech space is even harder. The fintech market is growing at a rapid pace. So, here we discussed how to develop a Fintech app that helps drive ROI and make your Fintech brand successful. For that, choose the fintech development company wisely with experienced engineers, business analysts, project managers, knowledge of financial operations, penetration testing, and prior experience in developing perfect fintech solutions.
Lastly, building a Minimum Viable Product before launching a full-fledged app is the best strategy to follow for mobile app development. It will allow you to test your app without investing a lot of time and roll out an amazing out-of-the-box and successful Fintech app.
