In recent years, digital banking has become an essential part of managing one’s personal finances for Filipinos. Digital banking refers to financial services provided through online platforms and mobile apps, allowing users to save, make payments, transfer money, and even apply for loans without stepping into a physical bank branch.
Unlike traditional banks, which require in-person visits for most transactions, digital banks operate entirely online, providing a seamless and convenient experience. The rise of digital banks and the widespread adoption of mobile banking apps have made managing money more efficient, accessible, and secure. However, despite these advantages, many people remain unaware of how to maximize the benefits of online digital banking services.
In this article, we’ll explore how you can use digital banking to manage your personal finances more effectively.
1. Leverage High-Interest Rates for Long-Term Savings
One of the most attractive features of digital banking is the high interest rates offered on savings accounts. Compared to traditional banks, digital banks often offer much higher interest rates, allowing you to grow your savings faster. For example, the number 1 digital bank in the Philippines, Maya, offers Maya Savings, a savings account with a base interest rate of 3.5% p.a., which is already significantly higher than those offered by many traditional banks.
2. Move Your Salary to Digital Banks for Better Savings Growth
To make the most of your finances, consider moving your monthly salary from a traditional bank to a digital bank account. This simple shift can make a significant difference over time, as the money you earn will grow faster in a bank account with a higher interest rate. And with Maya Savings having no account maintenance fees, more of your hard-earned money will be working for you.
3. Take Advantage of Promos for Boosted Savings
In addition to already impressive base interest rates, some of the best digital banks in the Philippines run special promotions offering boosted interest rates. These promos often encourage consistent savings when you meet specific conditions.
For instance, Maya lets you boost your interest to up to 15% interest p.a. simply by using Maya when completing transactions like buying prepaid load, paying bills, paying via QR Ph, or paying with your Maya Card or Maya Wallet when shopping online. These incentives provide an excellent opportunity to grow your savings even more.
4. Set Up Savings Goals to Stay on Track
If you have specific savings goals in mind, whether you’re saving money for a vacation, a home improvement project, or a new gadget, digital banking can help you stay focused and make saving feel more achievable.
With a tool like Maya Personal Goals, for example, you can create and customize up to five savings buckets for various purposes. Each bucket lets you save for up to six months and earn 4% interest p.a. on deposits of up to PHP 1 million. Once a goal matures, the funds automatically move to your Maya Savings account for safekeeping. This system encourages disciplined saving and helps you reach your financial goals faster.
5. Easily Build an Emergency Fund
An emergency fund is a crucial part of any financial plan, but many Filipinos struggle to build one due to the limitations of traditional banking, such as low interest rates, high maintenance fees, and inconvenient account access.
Digital banks solve these issues by offering high-yield savings accounts and time deposits specifically suited for emergencies. Maya, in particular, allows you to open a Maya Time Deposit Plus account for this very purpose. Each account can earn up to 6% p.a. depending on the chosen tenor (3, 6, or 12 months) for deposits up to PHP 1 million per account. With no minimum balance requirement and a low starting amount of PHP 5,000, building an emergency fund becomes more achievable.
6. Enjoy Security and Accessibility with BSP-Accredited Services
Digital banking services are designed with security and accessibility at their core, offering Filipinos a safe and convenient way to manage their finances. For instance, Maya is accredited by the Bangko Sentral ng Pilipinas (BSP). This accreditation ensures that Maya complies with strict financial regulations, providing a secure and trustworthy platform for users.
With features like two-factor authentication, biometric logins, and encrypted data, digital banks like Maya prioritize the protection of your personal information and funds. These security measures give you peace of mind, knowing that your money is safe from potential threats.
Digital banks are also highly accessible, enabling users to manage their accounts anytime and anywhere. Whether you're checking your balance, transferring money, or paying bills, digital banking makes these tasks simple and efficient through user-friendly mobile apps. This combination of security and 24/7 accessibility ensures that you can take control of your finances without worrying about potential risks or inconveniences.
Digital banking services are a powerful tool for streamlining personal finance management in the Philippines. From high-interest savings accounts to goal-setting features, digital banks, like Maya, provide a wide range of services designed to help you manage your finances more efficiently. By embracing the benefits of digital banking, you can save smarter and achieve your financial goals with ease. Start exploring digital banking options today and discover how they can transform the way you manage your money.
