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FinTech
8 minutes read

Top 5 Mistakes to Avoid When Developing a New FinTech App

by Robert Kazmi
FinTech
8 minutes read

FinTech apps have transformed the way customers access and oversee their financial information. Depending on the particular purpose of the application, a FinTech app may offer a range of effective finance solutions, including everyday money management tools, stock portfolio consolidation, budget planning resources, and retirement saving guides. Although FinTech apps may target different audiences and customer needs, the vast array of applications that have been released throughout the years share one common goal: facilitating the user’s financial management experience. 

If this is your first time creating a FinTech app, it’s important to acknowledge that you have a specific audience to cater to and that your app will house sensitive data that can be vulnerable to hacks. First-time finance app developers can get carried away in their excitement to build the “perfect” app for users, but may overlook key security and accessibility features in the process. 

Below are five of the most common mistakes that can occur when designing a new FinTech app and how to prevent them. 

1) Problematic UI

Once you’ve decided upon the service you want to promote with your FinTech app, the next and arguably most important step is determining the actual design of your application. Much like a website, an app should be designed with a clear intention and should be intuitive. If your FinTech app’s User Interface (UI) is poorly structured and inconsistent, not only will you fail to attract your target audience, but worse, you might even get a bad review.  

Although there is no cookie-cutter template for UI design, there are certain elements that should never be ignored when developing a new FinTech app. Below are some of the most important factors to consider when designing your application:

Maintain Consistency 

If your app is all over the place with varying color schemes, typography, and graphics, it will send the wrong message to users that perhaps your services are inconsistent as well. Whatever color palette and font styles you decide to incorporate into your app is completely up to you, but always ensure that you repeat the same patterns throughout. Buttons, links, menus, headers, and text should be styled in the same manner. The same goes for the thickness of your line elements (divers, line breaks, etc.). 

Keep it Simple

Finance-related tools aren’t the easiest to comprehend, which is why your FinTech app should provide clear and simple solutions for your users that can be easily accessed. Regardless of the particular financial subject your app will concentrate on, the features and overall design of your application should be straightforward and uncomplicated.

If your app is filled with flashy elements or complex fonts, there’s a good chance you’ll experience issues with rendering. It’s natural that you want your design to be unique, but when it comes to applications, simplicity is key. Not only does a clean design promote ease of use it also helps prevent the app from crashing and certain elements from failing to display properly. 

Don’t Congest Elements 

Packing too many elements into your app can lead to visual overload. If there is a disproportionate ratio of graphics to text, your message will fail to come across to users. Remember that they will use your app on different screen sizes. There’s only so much that you can include in small screen resolutions. 

Use Rounded Edges for Shapes

Sharp edges and angles are harsh on the eye and make it harder for users to process these elements visually. Sharp corners also appear brighter on screen, which can lead to user fatigue. They also distract the user from what is actually contained inside the shape (such as a call to action), and instead, draw the user’s attention straight to the corners and away from the message you are trying to convey. Rounded corners bring the user’s focus to what’s inside the shape, making it more likely that they will click on a button or icon, and ultimately, increase conversion rates.

2) Poor UX

All financial service providers want their customers to have a positive and seamless experience when using their FinTech apps. However, this is easier said than done. If your app is too complicated, it may discourage novice users. That being said, if your app is too basic, more experienced users may also be turned away.

It’s important to achieve a balance between what can be perceived as “too complicated” or “too basic” when deciding what features to incorporate into your app. Remember that you need to select a target audience and stick to the features they will relate to. You can always create additional applications in the future for different audiences, which can help you gain authority as a leading FinTech app. But for now, stick to one format and concentrate on the UX aspect.  

Remember, the goal of your app is to facilitate User Experience (UX). Your FinTech app should make it easier —not harder— for your users to manage their finances. A good rule of thumb is to stick to one concept for your app, such as retirement planning, for example, and structure your app around that particular topic without straying too far from the initial goal. 

Users can get overwhelmed if too many tools or complex jargon are thrown their way. Keeping your app user-friendly is always best and will ensure your users enjoy a seamless and hassle-free experience.

3) Failing to Take Your Target Audience Into Account

If you are new to FinTech app development, you may be tempted to incorporate all the bells and whistles into your application so it stands out from those of your competitors. While it is understandable that you want your users to have a positive experience using your software, finance-focused apps don’t need to include all possible money management solutions. 

Before you get started, it is crucial to determine your target audience. For example, is your goal to assist consumers who are in debt to learn how to create a budget? Are you aiming to help prospective homeowners determine how to increase their buying potential? These are all factors to take into account when determining the goal of your app. 

Consumers tend to gravitate toward apps that more closely align with their needs. Users don’t necessarily want help with all aspects of their finances. If you exceed the needs of your target market by creating an app with features your intended audience may not relate to or find useful, you may actually discourage consumers from downloading your app altogether. 

For first-time FinTech app development, the audience you are targeting is key. Ensure you have a clear understanding of the vision for your solution and that it resonates with the needs of your prospective users.

4) Not Having Proper Security Systems in Place

While any application needs to provide a secure platform for users to exchange personal information, the software you are integrating into your new FinTech App needs to have the highest security protocols in place because of the sensitive nature of the data that is being transferred. 

Your users are allowing access to their bank, stock, loan, mortgage, and retirement accounts through both web and mobile platforms, so you need to take the highest precautions to make sure that your application software is up to date and able to fully encrypt their data. Failure to do so can lead to a leak in your customers’ financial information and potentially cause their accounts to be hacked. 

Here are a few tips to help you protect your users’ personal data during the FinTech app development process: 

  • Design security codes that can identify and block hack attempts. 
  • Encrypt user data and employ a 2-step verification process.
  • Create a secured network for data storage and perform regularly scheduled testing.
  • Include real-time notifications to users to help identify unauthorized account login attempts.
  • Integrate systems that can automatically clear cache and create a seamless user experience.

5) Failing to Account for Accessibility

When designing a new FinTech app, it’s crucial to avoid the mistake of not accounting for users who may have a disability. Accessibility settings incorporate special features that vastly improve the user experience by helping them navigate an app quickly and easily.

Incorporating UX/UI enhancement features, such as screen readers, audio descriptions, customizable settings that allow for zoom and alterations to font size, color schemes, and contrast in display all help create a more well-rounded application that will appeal to a broader range of audiences.

Start Designing Your New FinTech App Today    

Your financial application should be simple to use, relevant to your target audience, secure, provide a great user experience, and include accessibility features. However, the actual process of creating a successful FinTech app can get extremely detailed and complex. At Koombea, our experienced app developers help you design the ideal FinTech application that will appeal to your preferred market and provide crucial information for users.

If you have an idea for a first-time FinTech app, we can help you get started. Contact Koombea today for more information on our FinTech app development services and to learn more about how our team can help turn your app goals into reality.