The Future of Personal Finance

Sunday, July 29, 2012

The Future of Personal Finance

Personal finance, like any necessary industry or trait around the world, is facing a future of technological advancement and automation. Perhaps more than just about any other industry the world of personal finance is moving online to an easier, quicker and more automatic format. The days of paper balance sheets, carrying cash and budgeting by hand with a calculator are over. Now there are free web applications, money-tracking websites and online payment options that make those traditional finance areas a thing of the past.

The migration of the personal finance sector to online tools has been swift and widespread. The largest banks were the first to really take notice of the push to web development and mobile applications. For years now, bank customers have been able to manage their entire account online whether it's as simple as a free checking account or as complex as a brokerage account and retirement savings. 

The future involves the ability for any user to login to their account and in one place see all transactions and amount in real-time. This will be a reality for even the smallest banks and firms. Statements are available as well as options to transfer money between accounts, deposit or withdraw cash and make bill payments to other financial institutions. Personal finance is moving quickly towards a paperless system where eventually and ideally the only physical items that will be left are plastic cards, traditional cash and checks.

Mobile applications are also the big wave of the future in personal finance. Now that most Americans have Smartphones, more financial outlets are realizing the allure of mobile apps to make financial dealings easier on the go. Most banks have some form of free apps for major Smartphones that give account holders the same features as they would have logging in at home. 

However, few institutions are looking ahead even further and implementing features that allow for mobile check deposits. This way users can take a photo of the check on their Smartphone, hit a button in the bank's app and upload the photo to the bank, which processes the check as a deposit. It eliminates the need to even drive to the ATM.

This integration of automated features into personal finance will also start taking root on a much larger scale. Web applications and software are being developed, and in some cases have been already successful that put a person's entire financial life in one place. Users enter separate account information from credit cards to savings accounts and the data is imported. 

This gives a full snapshot of someone's entire financial portfolio in one place including assets, money owed, money spent and future expectations. It will allow people to see what they are spending, on what things and when, and make adjustments as necessary. This creates a whole new way to effectively budget and keep an eye on finances. It is a one-stop place for personal financial maintenance and is truly the future of the industry.

About the Author:

Bo Manry is a marketing consultant for  He is an avid writer about personal finance and enjoys blogging on how to save money in these tough economic times.

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