Digital Banks VS Traditional Banks

It goes without saying that digital banking is slowly making its name as the new way of banking. After all, the digitization of many major consumer services made everything within your reach. But apart from accessibility, digital banks have more to offer than traditional banks. Here are some of the reasons why you should switch to an all-digital experience. 

Making Your Money Work For You

Due to operating costs like rent, manpower, and equipment, traditional banks usually need to charge their customers with fees on some transactions made by their account holders. For example, a simple balance inquiry through an ATM may cost you P1-2 at a time. Meanwhile, withdrawing money from your account may cost P10-15 per transaction.

While these seem insignificant, let’s say you check your balance ten times each month. P20 from your savings already goes to transaction fees. Withdrawing money after each balance inquiry will cost you a total of P150. That’s enough for you to buy yourself a meal at your favorite fast-food joint plus dessert! What more if you have to perform more than ten transactions each month?

On the other hand, digital banks have fewer worries when it comes to operating expenses. This gives them the opportunity to offer their customers their services free-of-charge. There’s no need for you to shell out parts of your funds for transaction fees that slowly deplete your savings. 

Better Rates

Since digital banks consume lesser operating expenses, they can offer their services at better interest rates. Unlike traditional banks that only offer 1-2% for your deposit accounts, digital banks can go over 3%. This gives you more opportunities to passively grow your savings at a faster rate compared to other local banks. 

Banking On Convenience

Apart from the money you can save, banking with a digital bank can also save you time and effort. This experience enables you to manage your account straight from your phone. You don’t need to queue up for long lines as everything can be done within the app. No more rushing through cut-offs as you can schedule bills payment or process deposits at your most convenient time.

With CIMB, even getting an account and applying for loans no longer need to be a hassle. You can start your savings journey using only your phone and a valid ID. You only need ten minutes to do just that!

Using the CIMB Bank app, you can get up to date with your account balance right on your phone. You can even withdraw money through our 8,000+ partner locations nationwide --- ABSOLUTELY FREE! You can also grow your funds by up to 4% PA, around ten times higher than local banks!

Change the way you bank with CIMB! Experience the convenience of an award-winning all-digital bank in the Philippines. Download the app and open an account today!