The benefits of core banking services

Posted by Lisa Williams on December 14th, 2020

Commercial banks that have adopted core banking as their primary banking system have been able to serve their customers in a more effective way which has proven to be beneficial in both sales and operational fronts. According to several reports published by the banking federations, banks with core banking solutions have registered less operational expenses and more sales compared to the ones that are still operating on traditional banking systems.

It is no wonder that some of these banks have also started highlighting this fact in advertisements and promotional channels. Indeed, core banking is a revolutionary development in the sector of IT-enabled banking and has paved the way for faster and customer-friendly banking. The good thing is that the industry of core banking solutions has become quite confident of its capabilities and has witnessed the rise of several enterprises that provide core banking services.

When a commercial bank decides to upgrade its banking infrastructure with the help of a core banking solution, it must chalk out some points. First of all, it should start preparing its management and employees regarding the upcoming change. The capability of core banking should not be limited due to the under-preparedness of the human resources of a banking enterprise. It results in unnecessary costs. Nowadays, several banking services offer to train key personnel of the organization. Commercial banks that are apprehensive of their preparedness can opt for such services.

Secondly, the commercial banks must generate a report of their scale of business, which would include both the volume and frequency of activities undertaken by the customers. This report will help them identify which of the popular services would be the best for them. There are certain services available in the market which cater to the needs of banks with large volumes of banking transactions. There are also small-scale services available, which take care of banks with small volumes of banking transactions. However, there are a few core banking services, such as Temenos T24, which cater to the needs of all types of banking enterprises.

These services have a unique characteristic of scalability, which can be adjusted as per needs. These banking services, including Temenos 24, are gradually taking over the market due to their superior technology and customer-oriented service. A bank that seeks the services of a core banking solution becomes prepared to handle sudden changes in operations as well.