8 Steps For Fintech App Development and Compliances Related To It

It was an old trend, of what 1990’s I guess, where a large office in a posh neighborhood used to signify a prestigious bank (ah, the sweet 1990s!). As time changed, the criteria for sound banking have also changed as of this moment. A bank can no longer compete without an official website and a mobile banking app that lets customers access their accounts immediately and without hindrance. Hence, the need for Fintech App Development starts to rise.

In the past few years, there has been a major shift in the financial sector. As international banking and investing regulations begin to relax and consumers continue their massive shift towards online channels, the emergence of a wide variety of fintech solutions has been accelerating the transition of finance into the digital age. Hence The demand for Fintech app development boosted the financial sector.

Infiniticube has been helping Fintech start-ups, banks, financial institutions, and financial data vendors implement and execute software solutions that enhance customer experience, boost profits, and offer general agility in digital transformation.

The development of better mobile banking apps has significantly altered the banking landscape. Technologies are regularly updated to keep up with changing market trends, challenges, and customer expectations.

Simple Steps To Begin Fintech App Development Process

Start By Doing Some Research

Fintech software developers need to conduct extensive research before they can begin to develop an app. You must create a strategy map in order to decide on the interface's final look and the features it will offer. The scope and all of the features of the MVP (minimum viable product) must also be made clear.

Make The Team Next

A team of experts is required to start the Fintech Mobile App Development process, as I have already mentioned. Building an internal team or using outsourcing resources are your two options. Just make sure that everyone on the team is properly informed about the app's purpose, the development process, and the rudimentary workings of the Fintech app development company. You'll need experts in the following areas:

• UI Designing
• Web developing (Node.js skills)
• Android Developing (Kotlin Skills)
• iOS Developing (Swift Language)
• Software Testing
• DevOps Engineering

Define The MVP Scope In Step Three

Budgeting and bill tracking are two features that your fintech app must have. You can use its fundamental features if your business already offers these services. For a start-up, you have to make them from scratch.

In addition to that, the scope of your MVP (Minimum Viable Product) and the overall app must be specified. Follow these steps to accomplish this:

• Perform market research, particularly in the area where your product falls.
• Clarify with your development team during meetings which features are essential for your app.
• To draw attention to the chosen features, make use of tools like the Prioritization Matrix.
• There should be a clear description of each feature. Make sure to confirm the viability of your initial concept and determine whether the materials needed to give it shape are readily available.

In Step Four, Select Your Technology Stack

What is the technology stack? New word or phrase for non-tech guys, no worries, I'll explain. Different languages can be used for Fintech App Development and design. You can select the basic technologies (Java and Kotlin for Android, Objective C, or Swift for iOS). 

However, as I already mentioned, it will cost you more money if you decide to have two different apps created. There is yet another tactic to employ. As the name implies, it is referred to as a Progressive Web App (PWA). Even though you can't use some of your phone's built-in features, like biometry, it's still a good choice.

Disappointed by the above explanation? Don’t worry! Let's get to it. There is also a third choice. You can create your app using cross-platform app development (using React Native or Flutter). In this manner, you will only need to create one codebase for both Android and iOS—how cool is that? Wait, there is more to it, You can also reduce your overall cost by up to 50% to 60% by using this method to design your app. In my view? You should go for it!

Create The UI/UX In Step Five

Now is the time to unleash your creative side, so do it! Choose vibrant colors for your app. Add features that are user-friendly. Avoid overstuffing your interface with extra features. But bear in mind that all necessary features ought to be reachable from the dashboard, saving the user from having to perform a tiresome search. Read a thorough guide if you want to learn the basics of UI/UX design.

APIs For Fundamental Features In Step Six

Building APIs is necessary to guarantee smooth and continuous access throughout the website. My recommendation: It is important to create REST (Representational State Transfer) APIs. These would include

• Use Postman for testing and development, and Swagger to record your API.
• When creating APIs, use trustworthy database platforms like MongoDB, PostgreSQL, and others.
• All policies and guidelines must be followed when using the API.
• Enable data encryption and authentication for secure APIs.

Step Seven Is To Start Of The Trial

Prior to releasing the full version of your app, a beta version must be made available. Only your neighborhood clients or employees may have access to it. The feedback will allow you to fix a lot of irregularities.

When your app is free of bugs, it is ready for public release. Encouragement to Celebrate

The final Step Is To Update Your Application

In the world of IT, new developments happen every day. With so many advancements, the app needs to be updated frequently.

Have you completed the detailed instructions? Let's now learn more about Fintech app development and Indian Fintech Startup Requirements.

Indian Fintech Startup Requirements

For a fintech startup in India, compliances are necessary. Since the majority of startups offer a variety of services, it would be challenging to classify them in any one category. We will talk about the regulations for fintech startups in India in this section.

Due to the rise in digital transactions, payment aggregators and gateways are crucial to the payments industry. All communications between Payment Gateway and the Reserve Bank of India take place through banks. 

Payment gateways are required to maintain a number of requirements in order to safeguard and protect digital payments; however, insurance services are still relatively new. Subsequently, digital payments with the Internet of Things (IoT) applications, provide services to the customers satisfying their specific needs and allowing them to track and monitor their activities as well.

Brokers are required to abide by the IRDAI's regulations and guidelines. Customers can also access a platform at Insurance Web Aggregators to learn more about various insurance products. They resemble a digital shopping interface for customers. They are subject to the 2017 IRDA Insurance Web Aggregators Regulations. 

Web aggregators are unable to advertise a specific company; the payment market is the main participant in the Fintech industry. This industry has seen rapid growth and has attracted a sizable amount of investment. 

Startups that account for close to 50% of the payment sector include mobile or digital wallets, Point of Sale systems, and Payment Gateways. It should be noted that using e-wallets or mobile wallets requires KYC compliance.

India's Fintech industry has seen success with online lending platforms. The Indian lending industry, which was previously dominated by banks, has been completely transformed by peer-to-peer lending and SME lending startups. Lending platforms offer quick loans with minimal paperwork. Due to the ease of loan access, MSME entities have benefited greatly from this. Modern technologies like artificial intelligence and machine learning have been applied to these platforms.

Compliance with the Information Technology Act, 2000

Internet technology powers fintech businesses. As a result, they must adhere to the rules outlined in the Information Technology (IT) Act, 2000. These businesses rely on customers' personal information, so in order to protect themselves from legal repercussions, they must adhere to certain data security requirements.

Corporate entities should obtain permission from the information provider before disclosing any sensitive information. They should also uphold security control frameworks and adhere to information security formalities. Included are certifications like ISO, IS, and IEC 27001.

Agreements and Contracts 

Specific legal documents must be obtained in order to launch a Fintech Startup in India. An advocate can assist you in creating customized legal documents based on the needs of your business. Here are some examples of contracts and agreements:

Agreement on Intellectual Property Licensing 

• Privacy Policy 
• Co-Founders Agreement
• Vendor Agreement
• Website User Policy 
• Employment Agreement
• Terms of Service for Mobile Users 

Intellectual Property Registration

Intellectual Properties such as a patent, trademark, copyright, and design should be obtained. It will help to protect your website, applications, brand, and so on. You will have the right to seek redress in the event of an IP violation if you register your intellectual property.

GST Registration 

An online finance company or a Fintech startup in India should apply for GST Registration and obtain a GSTN.

Registration of Domain Names 

A technology-based entity would want an internet presence; thus, a domain name and a fully developed website are required. Consider developing a mobile application if you are a small startup.

License

The Indian Fintech Startup's license will be determined by the services it provides. Retail service providers are advised by the Reserve Bank of India to obtain licenses in order to carry out lending and depositing services for MSMEs (Micro, Small, and Medium Enterprises), register with the RBI in order to provide payment services, and register as Non-Banking Financial Companies (NBFCs) in order to carry out investment and financial management.

That is all I have to say to you about the topic. Hopefully, you now have a clear understanding of the steps involved in fintech development and the related legal processes.

Lastly, I wanted to say as a fintech app development company, Infiniticube put a strong emphasis on security and user-friendly design while offering our clients in the finance industry top-notch money management tools and services. 

The Fintech app developers at Infiniticube take advantage of the most recent developments in the industry and create products that are not only user-friendly but also highly engaging while also delivering safety and efficiency.