Banking has come a long way in recent years, thanks in large part to innovative partnerships between traditional banks and tech-savvy companies. These collaborations are changing the game for everyday people trying to manage their money and plan for the future.
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GOBankingRates spoke with financial experts to find out exactly how people can take advantage of these new — or new to you! — opportunities.
Here are 5 ways a bank partnership can improve your financial health.
Accessing Sophisticated Financial Tools
Bank partnerships have democratized access to advanced financial planning resources. Thomas Brock, a financial expert at RetireGuide, said, “The most competitive banks offer educational resources, personalized financial advice and retirement planning tools, all of which help people optimize money management decisions, investment strategies and long-term wealth accumulation potential.”
This means everyday consumers can now tap into the kind of expertise and tools once reserved for high-net-worth clients.
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Simplifying Money Management
You no longer have to visit a bank branch to do most of your basic banking.
Andrew Latham, a certified financial planner with SuperMoney, pointed out that partnerships like “Chase and Zelle [have] made sending money to friends as easy as texting.”
These inventive integrations streamline day-to-day financial tasks, making banking easier for everyone and leaving more time for the things that matter.
Expanding Financial Product Options
When bank partnerships enter the picture, so do a much wider array of financial products tailored to customers and their needs.
Brock explained, “The best banks offer a wide variety of savings vehicles, installment-style loans and revolving lines of credit.”
Because of the availability of all these new products, people are able to more easily grow their savings, finance purchases and build credit.
Securing More Attractive Rates
Building a relationship with a bank that has strong partnerships can pay off in tangible ways. According to Brock, “Generally, the deeper the bank/client relationship, the more attractive the interest rates achievable via these products.”
He added, “The relationship depth is positively related to the length of time spent banking with an institution and the amount of money deposited and/or borrowed.”
In simple terms: Loyal customers get better rates on both savings and loans, which can help improve their finance situation in time.
Embracing Innovative Banking Solutions
Bank partnerships are driving the creation of all-in-one financial platforms that simplify money management. Latham pointed out one such partnership: “Square’s Cash App, which works with Sutton Bank to offer direct deposits and a debit card, [makes] it super simple to manage your money.”
Other new all-in-one banking apps bring together checking, savings and investing in one place. This makes it much easier for people to see and manage all their money at once.
The impact of these partnerships is about more than just convenience. “These partnerships often mean lower fees, better rates and smarter tools that help you stay on top of your finances with less hassle,” Latham said.
So if you’re looking for a new bank, it’s worth finding out what their partnerships are. If there are products you can use to improve your financial health, it can make a world of difference.
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This article originally appeared on GOBankingRates.com: I’m a Financial Expert: 5 Ways a Bank Partnership Can Improve Your Financial Health
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