How is Cloud Computing Helpful in the Banking Sector?

448 Views

Based on the O’Reilly survey, the adoption of cloud technology across industries is rising at a steady rate of over 90%.

With the rise in cloud computing, several organizations from the banking industry are incrementally migrating to the cloud. As the amount of data produced & consumed increases exponentially, banks are increasingly leveraging cloud services. It helps them to address the need for speed and capacity while centralizing data storage and supporting real-time analytics.

If you, too, are considering cloud services but aren’t sure how the different deployment & operating models fit into your digitalization strategy, then this blog is for you.

How Cloud Computing is Used in Banks

Currently, most banking and financial institutions maintain their cloud using outside service providers, like us – Cyfuture Cloud. We provide our clients with very effective and safe cloud management services.

The survey conducted by Gartner in 2021 indicated that most banks prefer to own internal cloud activities with their internal technical team instead of migrating their work to external cloud service providers. 

Also, we have solutions for such concerns. As a cloud service provider, we have built a private cloud where computing resources are housed on a network used by just one enterprise and situated inside our data center.

Some uses for our cloud computing services in banks and other financial institutions include:

Customer Relationship Management (CRM)

Banks use cloud-based CRM systems to handle client data and interactions. Banking and financial organizations can keep track of all customer interactions by using our cloud-based CRM service, no matter where they are or what time of day it is.

Thanks to our ideal cloud techniques, banks may more easily offer customers specialized services based on their demands and preferences.

Fraud Detection

Banks use cloud-based services to detect fraud and how prevent them. By analyzing vast volumes of data from numerous sources, we at Cyfuture Cloud give our banking clients total fraud detection and prevention. This aids in the early detection of questionable activities before any harm is done.

Data Analysis

Banks are using the cloud more frequently for advanced analytics to identify patterns and trends in customer behavior. By examining how customers interact with financial goods, banks may create brand-new solutions that meet customers’ needs more effectively than ever.

Benefits of Using Cloud Technologies in the Banking Sector

Cloud technology in banking has emerged as a catalyst for digital transformation, making banks future-ready. The following are some crucial advantages that we offer by using public clouds for banking and financial services:

• Improved customer experience: Banks can provide a better customer experience by offering anytime, anywhere access to banking services.
• Reduced costs: Banks can save money by moving their applications and data to the cloud. The pay-as-you-go pricing model of public clouds makes it more affordable for financial institutions to use these services.
• Faster processing speeds: Cloud platforms are designed for fast performance and can handle large amounts of data quickly and easily. This allows banks to improve their transaction processing speeds and reduce latency problems. 
• Greater scalability: Cloud platforms can scale up or down as needed, which gives financial institutions the flexibility they need to serve their customers best.
• Enhanced security: The public cloud is a more secure environment than most on-premises systems, and it offers multiple layers of protection against data breaches and other attacks. 
• Compliance with regulations: Banks can meet regulatory compliance requirements by using cloud platforms that are compliant with financial industry regulations.
• Centralized Data Repository: Cloud platforms enable seamless integration of disparate business data and operational systems with secure & easy data sharing. It creates centralized and connected data to drive integrated decisions and solve customer problems more quickly.
• Disaster Recovery: The most significant benefit of transitioning to the cloud is its robust disaster recovery with integrated redundancies. With the financial world moving at a much faster pace, the cloud allows banks to streamline opportunities, meet customer expectations and operate at the speed of business by regaining access to actionable insights in case of disruptive events or natural disasters.
• Access to Powerful Data Management Capabilities & API Ecosystem: Advanced analytics and cloud API ecosystem allow banks to meet the changing demands of customers with open banking. Banks and financial services can also optimize their reconciling efficiency and cash and liquidity management.
• Increased Efficiency: Financial services firms can streamline operations and increase efficiency by using cloud technologies. By linking customers and sellers on a single platform, payment processes can be made even simpler. This makes data tracking and transaction speed improvements.
• Business Continuity: Cloud computing can assist banks and financial services firms with increased data protection, fault tolerance, and disaster recovery for financial firms. It provides a high level of redundancy and backup at a comparatively lower price than traditional managed solutions.
• Agility and Transformation: Financial organizations can experience shorter development cycles for new products through flexible cloud-based operating models. The related technology supports a faster and more efficient response to the needs of modern banking customers. It enables businesses to shift non-critical services, including maintenance, software patches and other computing issues. This helps financial firms focus more on business growth.

Partner with Cyfuture Cloud for Your Cloud Journey

In the past, the financial sector has been slow to adopt new technologies, but things are different; financial institutions are now starting to embrace cloud computing to become more efficient and effective at serving their customers’ needs. 

The use of cloud computing allows banks and other financial firms to deploy applications swiftly without worrying about hardware maintenance or software upgrades.

At Cyfuture Cloud, we provide our cloud computing services to the banking and financial industry. We analyze the client’s pain points and business objectives; then, we work with them to co-create a custom-fit solution for your business. 

Are you ready to achieve digital transformation for your banking or financial institution? Call us to talk with a professional!