Do you manage a financial institution like a bank, mortgage company, credit union, brokerage, or the like and want to improve customer relations? Using a SMS text messaging to communicate with and interact with customers is a powerful tool.
With a 209% higher response rate than email, phone, or Facebook, text messages are the favored method of engaging customers. This article will discuss how accountants and financial analysts may utilize short message service (SMS) text messaging to provide vital business information and foster long-term partnerships.
Ways Financial Institutions Can Benefit From SMS Text Messaging
Financial advisors, insurance agents, and bank personnel often use short message service (SMS) to maintain customer relationships. Here are nine examples of how text messaging may be used to improve the banking experience for both customers and staff.
Make a point to welcome your new customers and thank them for their business. You may follow up with customers who have signed up for your SMS financing services by sending them a text message saying “Thank you for signing up!” and include your contact information so you can stay in touch.
Enhancing the Quality of Service Provided to Customers
The ability to receive customer service requests through text messages might save the day for both your business and its consumers. Automated responses for frequently asked questions like the current balance, office hours, account balances, and more may cut down on customer wait times.
Updated Policy Announcements
Have there been any updates to your policies or terms of service? Give customers a link to the updated policy papers rather than printing and mailing them new copies.
Confirmation of Transactions
Customers feel more secure making purchases online when an SMS confirmation is sent to their phone.
Confirmation of Request and Receipt of Documents
Send a text message to have documents signed or to verify the delivery of signed documents.
The SMS technology has made it unnecessary to have in-person conversations with representatives about scheduling changes. To provide the greatest level of comfort, appointments may be confirmed, canceled, or rescheduled through text message.
Reminders for Payments
Do overdue payments affect your bottom line negatively? To keep positive balances in client accounts, it is necessary to send out periodic reminders to delinquent payers (or are overdue).
Surveys and Opinion Polls
Want to maintain control of your marketing initiatives? You may learn more about your customers, adjust your marketing strategies, and fine-tune your operations all year long by sending out periodic SMS surveys.
Want people to visit your booth at an upcoming investor event? Sending out reminders and information about your event through text message is a great way to increase interest, boost registrations, and guarantee attendance.
Using Text Messages to Boost Your Financial Company
Providers of SMS service may find several avenues of financial support from their customers.
Personalization: Since text messages are sent directly to the recipient, they serve to foster closer bonds. You may deepen your connection with your customers and win their loyalty by sending them texts, especially when the message is urgent or important.
Response Rate: The response rate for text messages is 45%, whereas the response rate for emails is merely 8%. Only around 20% of emails sent to non-personal addresses really reach their intended recipients. Since financial transactions often include time-sensitive and personally-sensitive information, this might pose a serious problem for the banking industry.
Critical news is sent more quickly: Most people, even those who use finance products, would rather get urgent updates by text message than an email. Text messages are read, unlike emails, which might get lost in the shuffle (or the spam folder). Because of the high open and response rates offered by text messaging, financial professionals may schedule meetings and confirm the signing of documents in record time.
Makes your brand stand out: Ensures that your company is easily distinguishable from its competitors. Traditional practices are still widely used by many financial institutions. In order to stand out, you need to provide a means of communication that is easier than texting.
Reduces human error: Using automated responses helps to reduce both major and little mistakes made by humans.
Lead generation: Distributing marketing materials like flyers and business cards with your company’s mobile number on them generates leads and promotes your financial messaging services.
Boosts email campaigns: Benefits email marketing by alerting recipients to check their inboxes if the quantity of characters in the message prevents them from reading the whole message.
Does the TCPA apply to SMS Finance Texts?
Just to sum up, yes. The Financial Industry Regulatory Authority (FINRA), the Federal Trade Commission (FTC), and the Federal Communications Commission (FCC) all have strict regulations regarding text messaging for financial services firms. For each offense, these bodies may impose hefty penalties between $500 and $1500.
Verify that your company is following the rules set out by the TCPA (Telephone Consumer Protection Act):
- Obtain written authorization in advance.
- Send a message requesting permission to access your data, and be as open as possible.
- Clearly stating the terms and conditions is essential.
- All communication must take place within normal business hours.
- Always sign off using your business’s name.
- Customers should be given the option to not receive communications.
- Honor your country’s Pay attention to the National Do Not Call Registry and honor opt-outs.
Institutional Banking TCPA Exceptions
Now that we’ve shown that banks have TCPA responsibilities, there are a few caveats. Despite the fact that TCPA does not apply to emergency or time-sensitive updates, it does apply to marketing that promotes products or services, and such marketing must meet TCPA standards.
The communications listed below do not need opt-out instructions or previous explicit written agreement.
Banks and other financial entities may :
- Security alerts and account updates are sent through text messaging
- Clients should be notified if there has been a security breach that might compromise their personal information.
- Warning signs of fraud or identity theft should be communicated to customers immediately.
- Help customers learn what they can do to protect themselves against identity theft in the wake of a data breach.
- To facilitate the receipt of pending money transfers, please advise customers of the essential procedures to take.
DOs and DON’Ts in Finance
Keep the following guidelines in mind for effective business texting:
- DO NOT send a text message requesting sensitive information (such as a full bank account number, password, or PIN).
- DO let customers know that they may stop receiving texts from you by replying “STOP.”
- Never send a text message to a customer’s mobile phone unless you have their explicit consent to do so.
- DO make accessible without charge any and all literature on financial topics. Your SMS may not count against your customers’ data limits.
- In order to recover debts, DO NOT text customers. Formal authorization is required before any debt collection calls or messages are made.
- Don’t forget to sign off and provide a way for people to get in touch with you or your business.
Remember that this is not professional legal advice but rather only for educational purposes. You assume full responsibility for any legal issues, and this is not intended to serve as a substitute for legal assistance from an experienced professional.
Get Started with Sending Financial SMS Messages using Guni
By using Guni’s bulk SMS service, companies may maximize the efficacy of their SMS advertising campaigns. The ability to send a personalized message to your clientele at a low price is a distinct advantage. You may track your marketing campaign’s progress with the use of reporting and analytics so that you can adjust your strategy as needed (if required).
Guni is a frontrunner in the field of SMS and MMS advertising, and many Australian companies depend on it. If you’re considering utilizing SMS or MMS for marketing purposes or even simply for sending out large numbers of text messages at once, we can provide you with a simple and cost-effective option.
Do not be hesitant to contact us if you are thinking about switching to a different messaging provider and would want to speak with a real person. We’re looking forward to talking to you.