Some of the more interesting and practical innovations that have happened in the last chunk of modern history include changes that have occurred in finance technology. Finance technology includes categories like electronic transactions, applications that absorb data about the flow of money, and many other aspects of modern life.
Because the transfer of money is such a typical daily event, you may not think about how innovated some finance technologies even are, just because they’re so familiar. However, five topics worth considering in order to think about how important these innovations are include debit cards, credit cards, fraud prevention, bitcoin distribution, and 3rd party budgeting apps.
Pre-paid Debit Cards
The idea of pre-paid credit cards has helped countless people since it came about. Folks who had a hard time dealing with credit cards that they had to pay every month, simply because they weren’t all that great at budgeting, finally had a way to work toward better credit ratings and have money digitally, but without worrying that they would overdraw from their accounts. Many parents use pre-paid debit cards to test out if their kids are responsible with electronic transfers of cash on the go as well these days.
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Chips In Credit Cards
One of the newest innovating in finance technology is the addition of chips to credit cards for security reasons. The electronic strips on the backs of many cards were getting hacked, copied, and then used to such a prevalent degree that banks and other financial institutions had to figure out some way to prevent that type of theft, and the chips were the solution that they came up with.
Fraud Prevention Technology
Other extremely helpful innovations in finance technology have come in the form of fraud prevention services that banks provide. If any type of spending seems unusual, or if the point of origin comes from somewhere strange, they can potentially put a hold on the transaction and call you to see if it’s legitimate. This technology has saved innumerable people from terrible financial burdens.
The Use of Bitcoins
Bitcoins are fascinating bits of modern finance technology as well. It’s well beyond the scope of this article to explain what they are and how they work, but the important thing to note is that they do operate as legitimate financial currency among the circles that are willing to accept and trade in them.
3rd Party Budgeting Apps
A final way that finance technology has moved through an innovation is through the use of 3rd party budgeting apps. There isn’t any money that actually runs through these applications, just data in fact, but the idea that you can see all of your financial transactions in one place in real time is a huge benefit for people willing to embrace it.