2024 is the Year of Financial Data Intelligence

2023 was a year marked by changes, challenges, and opportunities for the financial services industry. And, we expect the trends of 2024 will show us how the challenges and innovations of last year will have a lasting impact. 

Regardless, we see one common thread for the future of financial services — financial data. Vast amounts of transaction and customer data are generated daily. Financial institutions and fintechs that are able to unlock this financial data intelligence will see tremendous growth and success. 

This year will be the year of financial data intelligence as financial institutions and fintechs make strides to better tap into and leverage it for growth and success. 

Here are MX’s predictions for 2024: 

1. Embedded Financial Wellness Takes Center Screen

2024 will be the year that banks, credit unions, and other financial providers rethink and retool personal financial management (PFM) solutions to reach more consumers. Financial institutions and fintechs should focus on integrated, personalized experiences that bring PFM into the everyday habits of consumers, rather than asking them to build a new habit. By making financial wellness an embedded part of life for consumers — whether at work or in their community, we can drive better outcomes across the board.

2. Personalization Finally Gets Personal

Financial institutions and fintechs will take personalization to the next level in 2024. Financial providers sit on a mountain of data about their customers. However, translating that data into personalized experiences or targeted offerings remains difficult for the majority of organizations. 

With enriched data and new tools powered by artificial intelligence and machine learning, financial data intelligence gets a boost that will drive faster and better personalization at scale. But AI isn’t a silver bullet on its own — it starts with clear, structured, and enhanced data.

3. Bank-Fintech Relationships Hit a New Stride 

If 2023 was a year of reckoning for bank-fintech partnerships, 2024 will be a year of building sustainable relationships. Fintech partnerships are not going away — they are critical to help augment staffing and resources to implement and support technology, as well as bring in and fuel new innovation. But, how banks and other financial institutions partner with fintechs will change in 2024. 

4. Regulations Won’t Immediately Fix Open Banking

It’s no surprise to see Open Banking round out our list of 2024 predictions. The U.S. Consumer Financial Protection Bureau (CFPB)’s final rulemaking for Section 1033 is an important milestone this year in making sure consumers have the right to access and control their financial information. We also believe it will lay the groundwork for the United States to move into the next chapter of fintech innovation. But, this won’t happen overnight. We predict 2024 — and beyond... based on CFPB’s 1033 proposed compliance dates — will be a year of open banking growing pains.

Check out the full details of our 2024 predictions.