Jul 12, 2018

Money in the cloud

As our technology continues to evolve at an ever-quickening pace, so too does the technology associated with banking and our money. Let's look at cloud computing in banking.

As our technology continues to evolve at an ever-quickening pace, so too does the technology associated with banking and our money. And while all the changes may seem a bit alarming, it’s important to keep an open mind! Remember 25+ years ago, when we weren’t sure if it was safe to send electronic transactions over the internet?

Today, we seem to do most if not all of our banking online! Some banks — like yours truly — are even online only! As banking continues to evolve, running banking operations from in the cloud instead of through physical servers can seem risky, much like internet transactions did back then. But we must keep an open mind as our technology works to help make our lives and systems easier.

But what could cloud computing in banking look like, you may ask? Well, it’s looking pretty cool!

Running banking operations in the cloud instead of through servers and data centres is a huge infrastructure burden removed from the banks, and one that increases the security of your data. Data is one of the most valuable assets for any bank, and they are always innovating and improving data security to ensure that it is safe. One thing that a cloud computing system can do is to take the maintenance and upkeep of these server systems off of the bank’s plate and into the hands of a dedicated tech company to monitor and update; think companies like Google and Amazon. Their businesses are built on data and high-functioning servers, so they are well-equipped to manage the cloud computing needs of other business entities like banks and large companies like Apple, Xerox and dozens of others.

Cloud computing can sound less secure when you first think of it, but by trusting these technology giants to manage data security and server upkeep banks can be assured that their physical servers are always properly maintained and prepared for malware or viruses. This should provide additional peace of mind for banking clients as well!

This also helps banks turn what used to be a heavy up-front cost investments into equipment and software into smaller, ongoing operational costs. This means that banks can manage these smaller operational costs more closely instead of trying to estimate the cost of a much more time and labour intensive project when a new server or piece of software is needed.

All of these behind the scenes benefits and cost-saving can then be passed along to the client as well! By having a flexible and adaptable method to store data, this allows increased collaboration with partners and clients, leading to more services offered by banks to their clients. Think of Apple Wallet, Google Wallet, PayPal, and all the other ways in which you can digitally manage your money.

Bottom line, your banking should never be scary! If you ever have questions about your banking security or how to best manage your digital accounts, our Motive account managers are always ready and willing to help.