The Crucial Data Missing from Online Banking... and Customers Would Love to Know

The Crucial Data Missing from Online Banking... and Customers Would Love to Know

Xavier Marcillac

VP Sales APAC at Strands

Views 495

The Crucial Data Missing from Online Banking... and Customers Would Love to Know

02.03.2016 11:15 am

When I log into my online banking, I always find two account balances: the one I see on the screen (duh) and the one I need to figure out in my head (ouf!). The worst part is, neither of them are accurate or satisfactory...

“How much money do I have? I mean, really?” I'm asking when I log in. Keyword: really!

As a user, what I want is to have my financial commitments already factored into the figure I see, instead of just my account balance. I’d like to know how much I can realistically dispose of. Similarly, I’d also like to know how much I can actually save every month. In an ideal online banking world, I would have a holistic view of my entire financial situation, which means aggregating all my accounts (but that's a story for another post...)

Basically, what I want to see as soon as I log in to online banking is what I'll call my “OK-to-Spend” amount. How much can I spend (or save) guilt-free?


The basic calculation is relatively easy:

[ OK-to-Spend ] = [ Income ] – [ financial commitments ] (i.e. pending transactions, upcoming scheduled payments and direct debits)

Adding a bit of intelligence provides additional guidance that is highly valued by the customer:

[ OK-to-Spend ] = [ Income ] – [ financial commitments ] – [ contributions to Savings Goals (if any) ] – [ identified spending patterns ]

“The contribution to Savings Goals” refers to virtual piggy banks where the customer can provision money for specific future expenses or investments. As these are serious “contributions”, the amounts should be subtracted from the disposable amount. By the way, these virtual buckets can actually become real savings accounts that are instantly created and provisioned by the bank.

We all have spending patterns we are more or less aware of. I have a rough idea in my head (or in the Excel spreadsheet I built a few months ago and haven't updated since!). I would love my bank to shed more light on my spending patterns and use them to help me manage my money better, wouldn’t you?



Naturally, my OK-to-Spend is the very first figure I’d like to see in my digital banking home screen. Next I’d like to take action on it, for example saving that spendable amount with just one click.

What if I could even see what's OK-to-Spend without logging into my bank's mobile app at all? If I can access LinkedIn, Facebook and Twitter (containing all my valuable social relationships) directly on my smartphone, why shouldn't I be able to quickly check my valuable OK-to-Spend? Or receive a notification at just the right moment - in the middle of a shopping trip, for example?

Actually, on my mobile, OK-to-Spend becomes a financial advisor on the go. A quick check lets me know if I can afford the GoPro I’ve been looking at or if it is the right day to book a long weekend in Thailand.

With OK-to-Spend, interaction with my bank becomes more frequent, contextually helpful and aligned with my everyday life needs. But, it's only one part of a holistic PFM solution - learn what else is needed for a complete digital banking experience in our white paper, The Essence of Digital Banking

Latest blogs

n/a n/a

How COVID-19 Is Ushering In a New Era of Cashless Technology

  Image source:   Cashless technology isn't a completely fresh concept. People have been using credit cards for decades, and the market for fintech services has been Read more »

Jean Shin tyntec

Using WhatsApp for 2FA is the Future of Banking

From user authentication and password resets to transaction verification, two-factor authentication (2FA) offers basic but useful protection for consumers. The 2FA process typically sends an SMS sent to the customer with a one-time password (OTP). Read more »

Amir Ghodrati App Annie

The Role of Fintech Apps in Navigating This Period of Financial Insecurity

Economic instability has been ricocheting throughout the stock market in the wake of the global coronavirus pandemic. Its effects have been felt across all industries, with winners and losers’ across different sectors. So, how has fintech Read more »

n/a n/a

How to Choose a VPN for Digital Privacy & Security

In a world where almost everything is connected, and where hackers and other malicious people are roaming the internet, it is always advisable that you take every precaution that you can to enhance your data security and privacy protections. Using a Read more »

Ben Slater Instaclustr

The Case for Adopting Open Source – Own Rather Than Rent the Foundations of Your Business

For some time open source was seen as something that only the biggest companies could use and play with. But with the modern, increasingly fast business environment, the use cases for open source are in everything and the technology is increasingly Read more »

Free Newsletter Sign-up
+44 (0) 208 819 32 53 +44 (0) 173 261 71 47
Download Our Mobile App
Financial It Youtube channel