How Much Does It Cost to Develop a FinTech App?

Fintech applications are widely popular these days, and nowadays, their development has emerged as the top method for financial organizations to experience speedy success. The popularity of Fintech applications has compelled individuals to shift to the online medium. People use cashless payment systems and finance apps for everything from stock investing and money lending to rapid money transfers. They find this one of the easiest, most convenient, and enhanced methods made possible by mobile financial apps. However, Fintech mobile application development can be a matter of concern for organizations and companies. They have to take account of the niche area, features and cost. While your application type and features can vary, the cost would depend on the elements of the fintech app you choose. This article will discuss the cost of developing a Fintech app. 

What are FinTech Apps?

Banks and finance organizations can now deliver financial services digitally thanks to Fintech applications' presence. These Fintech applications assist businesses in providing various financial services, including money remittance, tracking of personal finances, trading, internet banking and virtual currencies such as credit services, crypto, and others. 

Types of Fintech Applications

There are different types of fintech applications and some of which are:

• Online Banking Apps: Customers can easily and swiftly manage their bank accounts and access banking services owing to the fintech banking applications. It makes it possible to carry out financial activities, keep track of their spending, pay bills, and transfer money using a personalized online banking app. This includes anything from online payment methods to cashless apps, e-wallets, and digital currencies.
• Lending Apps: Peer-to-peer lending applications help consumers borrow money by connecting users with lenders. Some lending applications use machine learning to gather information on people with little or little credit history and recommend to lenders the maximum amount that can be lent to such people.
• Personal Finance Management Apps: Users of these fintech applications can successfully manage their expenditures. Personal financial apps typically allow users to create budgets, monitor their income, and predict account balances. 
• Insurance Apps: Insurance applications make it easier for users to handle insurance-related issues. These choices include protection for your cars, business, health, loved ones, and recreational activities. These applications aim to streamline claim processing, speed up policy administration processes and provide accessible policy management system automation.
• Investment Apps: These apps are primarily used if you invest in the stock market. An investment app resembles a financial counsellor in certain respects. It provides pertinent financial data and analytics to help people manage their investments well. An investment app typically includes features like credit management, currencies, asset research, savings, and support.  
  
  

Core Features for the FinTech Apps

Here is a list of features that can be included in the FinTech app you develop: 

1. Data Analytics: A fintech app must have data analytics since it enables users to access and track the history of their financial transactions. This provides better financial advice to the clients. Consumers can monitor and track their previous financial transactions using data analytics. 
2. Chatbots: Using Chatbots in banks and other financial institutions could enhance customer service. The customers can use voice, text or the app's menu options to get the required assistance. 
3. Creative UI/UX: To ensure the highest perception when using the fintech application, it is crucial to have an appealing UI/UX. Selecting appropriate font styles, presenting material logically, and using the proper shading codes for all UI elements are essential to make the app engaging and appealing to the customers. 
4. Security: The security component should be included in mobile apps for various reasons. Third parties such as hackers can try to access your applications. You shouldn't hesitate to incorporate this feature into your finance software. Although the price may be a consideration, security should be one of your top objectives in this case.
5. Notifications: The fintech app and its users can communicate directly through custom notifications. These useful messages keep customers informed about bill payments, expenditures, salary notifications, fraud alerts, and many other things while keeping them updated on financial sector news.
6. Secured Authentication: An essential component of every financial software is an authorization. Users can start using an app after registering and creating accounts. When developing a fintech mobile app, it's crucial to make sure the app offers a quick but extremely safe enrolment process.
7. QR codes and scanning: This enables them to skip keying in card numbers. All users need to do is use their camera phone to scan the QR code. Additionally, users can send money by scanning a QR code in the recipient's app and verifying the amount of the successful payment. 
   
   

Cost of Developing FinTech Applications

The cost of fintech app development can be a matter of concern for companies that want to invest in Fintech Application Development Services. However, every company operates within a set spending limit and timeline, so developing strategies is critical before you finalize the cost. 

• Features: Basic finance apps will cost between $25k and $35k and include account creation, account data aggregation, credit utilization, and budget tracker. Another similar app will cost between $50,000 and $65,000 if additional functions and contemporary technology are added. Advanced features like real-time credit score tracking, EMI calculators, and data analytics require a larger budget than the basic ones. You would need to spend at least $80,000 on more advanced applications.
• Platform: The overall development cost of your app will depend on the platform you choose. The cost of developing finance apps for Android is higher than for iOS due to the higher computability.
• Development Team: The development cost is significantly influenced by your chosen development team. The team size affects the price of creating a well-liked banking application. The mobile app development company must hire people to fill skill gaps in the team if it lacks the essential resources. The total application cost will include the resources that mobile app developers use.
• Development Team Size: The size of the development team affects the cost of creating the popular banking app. If the mobile app development company you choose lacks the necessary resources, they will need to fill the team's skill gaps through hiring. The amount of money spent on resources by mobile app developers will project into the entire cost of developing the app. Therefore, you must choose the best financial app development firm with extensive industry knowledge and enough resources.
• Location: Another critical issue that significantly affects the cost of Fintech development is the location of the Fintech Application Development Company or freelancer. Fintech software developers typically charge between $100 and $120 per hour in the US, although this might range from $60 to $80 in India. If you develop an excellent banking app with many features, that will cost between $40,000 and $70,000 to develop. Mobile app development in India is more economical even for start-ups than in the United States and other European countries.
• Experience: The final cost of developing your FinTech app would depend on the team you choose to work with. You could save money by hiring engineers with 1 to 5 years of experience rather than a team with more than 5 years. The cost of hiring developers with more than 5+ years of experience would be higher. 

Combining all the elements above, we can determine that the typical cost of developing a FinTech app will range from $50,000 to $300,000, with a turnaround time of 4 to 5 months. 

Conclusion

Fintech applications are going to take over the financial sector over the years. App development companies and developers are keen to pay attention to customer requests and provide reliable, feature-rich mobile applications. While developing a fintech application, it is essential that you keep your customer interests, security and privacy as the primary concern.