Publication

Abstract : Banks, as we know, have been around for hundreds of years and controlled the market of financial services. But now the functioning of banks have been affected by the rapid advancement in technology. There has been a drastic change in not only making finance more secure but also making it better for its customers. Financial technology or FinTech has developed as a new financial services industry in India. This industry consists of companies that use technology to provide financial services. These companies operate in various sectors like wealth management, insurance, payments sector etc. The different technological interventions that have been introduced to personal and commercial finance by these FinTech companies was facilitated in part due to the expansion in the mobile internet market. The ways the banks used to serve their customers have been affected by these non-banking service providers as the traditional banking methods are not seen as enough to meet the ever increasing expectations of the customers along with earning profits. Nowadays banks are ever-changing beneath the influence of latest technologies and innovative finance market players like these Fin Tech firms. Some of these banks are joining hands with Fintech start-ups to boost their services. Some invest in young firms or produce their own start-up accelerators to support and use these new technologies and derive benefits from this. This study is undertaken to understand the growth of FinTech firms and the challenges faced by traditional banks due to emergence of FinTech firms by analyzing forty two peer reviewed journal articles available in EBSCO and Science Direct.