The financial technology market will reach $1.5 trillion in revenue by 2030, growing over five times compared to 2023. Embedded finance, connected commerce, open banking, and GenAI will only add to FinTech growth through the decade's end. There’s still time to capitalize on these trends and develop a profitable app. However, you first need to estimate the development budget to calculate potential ROI. 

 

Many factors influence the FinTech app development cost, so finding one definitive approach is difficult. Thanks to years of working on FinTech solutions, we know all the ins and outs of the process. We can provide rough estimates for every development stage depending on different factors, including app type, feature set, etc. Read this article to explore our insights on this topic.

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Contents

Key Trends and Technologies in Fintech Mobile App Development

Most Common Approaches to Fintech Development App Estimate

Even though there are many variants of the cost of developing a fintech mobile app, the approaches of fintech development app estimate are mostly the same. The estimation process consists of a couple of stages. Each of these stages helps you make a rough estimate.

  1. Breakdown. At this stage, every part of the app is being considered and sorted by priority. There are some must-have features, items that are beneficial for the app, and ones of low priority.
  2. Developer estimation. Now it’s time for developers to assess how long will it take to program every function of the app. The time required for programming also influences the fintech development app price.
  3. Project manager estimation. The main task of a manager is to find a balance between quality and price. Development team estimates should be reconsidered by the PM along with the hours required for internal and external communications, bug fixing, design, and so on.
  4. Final estimation. When all the necessary corrections are made, the final product is shown to you. This is the last stage of the fintech development app estimate.

 

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    Factors Influencing the Cost of Developing a FinTech App

    How much does it cost to develop fintech app? Many factors and conditions may impact your budget.

    Product requirements

    App requirements encompass two core aspects significantly affecting the overall costs:

    1. Project scope. It refers to the project objectives, deliverables, features, functionalities, constraints, and requirements. As the scope expands, the project size increases. It leads to a proportional rise in the required hours and resources.
    2. Product complexity. It depends on how sophisticated the concept and logic of your software product are. Complex apps often require more skilled developers, thorough testing, and more iterations to ensure they function correctly and securely.

    In addition to these functional requirements, non-functional ones are also essential. You should ensure high scalability, security, usability, dependability, and performance. It demands extra resources, expertise, and time, increasing development costs.

    Interactive UI/UX

    An intuitive and easy-to-use interface enhances the overall user experience. It involves several design considerations, such as selecting appropriate fonts, using simple and concise language, and utilizing white spaces effectively.

    Also, make sure users can easily navigate the app, understand its functionalities, and access the necessary information. It’s critical for user satisfaction and guarantees the app’s success.

    The cost of hiring talented designers and the time required for design iterations impact the overall development budget.

    UI/UX design stages

    Required time, hours

    Approximate cost

    User flow diagrams

    16 to 40

    $500 to $2,000

    Wireframing

    40 to 80

    $1,000 to $3,500

    Prototyping

    50 to 120

    $1,500 to $4,500

    Final visualization

    80 to 160

    $2,500 to $7,000

    Cost defined by types of teams

    The in-house development team gives you the possibility to have total control over the work of your developer. You also can engage in the process in case of an emergency. A local app development agency is also a good option if you want to take part in the development process. Freelance developers allow you to have deep insight into the process, so you can easily monitor everything that’s happening. Outsourcing development agency doesn’t require taking a lot of risks, and that’s why it is preferred by many people.

    Type of team

    Cost of development

    In-house

    $90 000

    Local agency

    $120 000

    Freelancers

    $30 000

    Outsource agency

    $40 000

    Location of the development partner

    The hourly rates of development teams vary significantly from country to country. For instance, developers in the US typically charge higher hourly rates than teams from India, Ukraine, or Poland. The hourly rate reflects the cost of living and market demand.

    We’ve compiled a table of app developer salaries based on regional data obtained from Glassdoor:

    Region

    Outsourcing country

    Hourly rate (USD)

    Eastern Europe

    Ukraine

    $14

     

    Poland

    $22

     

    Hungary

    $15

     

    Czech Republic

    $23

    Western Europe

    France

    $28

     

    Germany

    $38

     

    United Kingdom

    $36

     

    Sweden

    $29

    North America

    USA

    $55

     

    Canada

    $31

     

    Mexico

    $10

    South America

    Argentina

    $7

     

    Brazil

    $11

     

    Chile

    $15

     

    Colombia

    $12

    Australia

    Australia

    $39

    Asia

    Philippines

    $4

     

    India

    $5

     

    Japan

    $28

     

    China

    $25

    Required time

    A shorter delivery time frame demands more extensive and efficient teamwork to meet the project deadlines. It often results in higher development costs, as experts might need to work overtime. Besides, they sometimes need additional resources to meet the accelerated schedule.

    At the same time, a longer development timeline reduces the immediate resource demands. However, it may lead to higher costs due to extended project management, overhead, and potential opportunity costs.

    App maintenance

    Regular maintenance ensures the app functions smoothly, remains secure, and complies with evolving industry standards. It includes fixing bugs, updating software components, and addressing security vulnerabilities. The ongoing maintenance cost accumulates over time. So, consider it in the overall app cost.

    Providing technical support to users is integral to maintaining a fintech app’s reputation and ensuring customer satisfaction. The cost of technical support staff, resources, and tools is also an essential part of the maintenance budget.

    Maintenance activities

    Resources

    Monthly cost

    Security updates

    DevOps Engineers, Security Specialists, QA Engineers; automated vulnerability scanners, intrusion detection systems

    $500 – $2,000

    Bug fixes and optimization

    Developers, QA Engineers, (occasionally) UX/UI Designers; automated testing tools, performance monitoring tools 

    $1,000 – $5,000

    Operating system updates

    Developers, DevOps Engineers; CI/CD pipelines, containerization platforms

    $500 – $2,000

    Third-party integrations

    Developers, Integration Specialists, QA Engineers; API management tools, webhook services

    $1,000 – $5,000

    User support and feedback

    Customer Support Specialists, QA Engineers, Developers; chatbots, customer feedback tools

    $500 – $2,000

    Server and hosting costs

    DevOps Engineers, System Administrators; cloud management tools, backup and recovery tools 

    $1,000 – $5,000

    Advanced technologies used

    What else affects the development cost? Progressive technologies are among the most critical factors. Let’s look at the most popular ones:

    • Digital analytics help users track financial activity and visualize changes and current status to make informed decisions. Common tools include predictive modeling, real-time data processing, data visualization, and customizable reports.
    • Blockchain peer-to-peer payments are secure, cost-effective, and mostly free of government oversight. Fintech integrations can use crypto wallet functionality, like buying and selling coins or crypto exchange and investment.
    • Artificial intelligence (AI) solutions help enhance user experience via chatbots or personalized UX and derive additional value through financial analysis and planning tools.

    Advanced technology

    Estimated development time increase

    Estimated cost increase

    Advanced analytics module

    20% to 50%

    30% to 80%

    Blockchain functionality

    50% to 100%

    50% to 150%

    AI integration

    50% to 100%

    50% to 150%

    Tools and languages used

    To estimate the project’s expenses accurately, carefully choose the technology stack for your fintech application. There are three distinct types of such solutions:

    Native applications

    These apps support a single platform, either iOS or Android.

    • Native iOS applications use technologies like Apple Xcode, SWIFT, Objective C, and the iOS Software Development Kit (SDK).
    • Native Android apps, on the other hand, are based on Android Studio, Java, Kotlin, and the Android SDK.

    The choice between native iOS and Android app development depends on your target audience, budget, specific features, and performance requirements.

    Cross-platform applications

    Cross-platform apps work seamlessly on multiple mobile platforms, including iOS and Android, with a single codebase. They streamline the development process and reduce the need for maintaining separate codebases.

    Developers use the following technologies to build cross-platform apps:

    • NativeScript adopts JavaScript, TypeScript, or Angular.
    • Xamarin enables developers to use C# and .NET.
    • Flutter allows for the Dart programming language.

     

    Hybrid applications

    Hybrid applications combine elements of native mobile apps and web applications. They suit multiple platforms, including Android, iOS, and web browsers.

    You need technologies like PhoneGap (Apache Cordova), HTML5, CSS, and JavaScript to build a Hybrid app.

    Hybrid apps are a practical choice for businesses looking to reach a broader audience without the cost and time associated with fully native development.

    Technological stack

    Development time

    Development cost

    Native Android app

    6 to 12 months

    $50,000 to $125,000

    Native iOS app

    6 to 12 months

    $50,000 to $125,000

    Cross-platform app

    6 to 12 months

    $40,000 to $100,000

    Hybrid app

    4 to 8 months

    $30,000 to $75,000

    Features integrated

    The number and complexity of features integrated into an app are critical in shaping the development costs. Here are the most important functions:

    • Tracking and management dashboards and basic analytics help users understand their financial activities and current status, set and achieve goals, and address financial issues.
    • Multi-factor authentication (MFA) is among the critical cybersecurity measures designed to protect the user’s personal and financial details.
    • Know your customer (KYC) functionality helps FinTech solutions fulfill local and international regulations, fighting against money laundering and other financial crimes.
    • Card management features let users access card balances, block and order new cards, check transactions, and see payment receipts.

    Here are our estimates of how much time and money is necessary to develop these and other common FinTech features:

    Features

    Approximate development time, hours

    Development cost (at $50/hour)

    Tracking and management dashboard

    150

    $7,500

    Multi-factor authentication (MFA)

    80

    $4,000

    Know your customer (KYC)

    90

    $4,500

    User profile

    80

    $4,000

    Settings

    40

    $2,000

    Account management

    70

    $3,500

    Payments

    100

    $5,000

    Card management

    80

    $4,000

    Admin panel

    300

    $15,000

    Notifications

    40

    $2,000

    Support

    130

    $6,500

    Basic analytics

    70

    $3,500

    Fintech App Development Cost Based on the Type 

    The FinTech app type affects the development cost and timeframe. For example, the banking app includes a client-side app and admin panel, so its cost is the highest out of all the types of applications. The investment app allows users to make careful decisions with the help of analytics data. Consumer finance manages the user’s expenses and helps with various financial operations. Insurance applications answer all your questions about the insurance company. The lending app allows you to borrow money without a government-regulated creditor, which is very convenient.

    Here’s what the approximate calculation looks like, considering the $50 hourly rate:

    Type of app

    Required time, hours

    Cost

    Banking app

    1,250

    $62,500

    Lending app

    1,230

    $61,500

    Insurance app

    1,310

    $65,500

    Investment app

    1,260

    $63,000

    Consumer finance app

    1,180

    $59,000

    Now, let’s consider each financial application type in more detail.

    Banking app

    Banking apps are solutions financial institutions provide to let users manage their accounts, conduct financial transactions, and access other services directly from their smartphones.

    Here are some of the most well-known banking apps:

    • Monobank is a Ukrainian digital bank known for its user-friendly interface and various features, including budgeting tools.
    • Revolut is a UK-based app with multi-currency accounts, international money transfers, and cryptocurrency trading.
    • Chime is a US-based neobank offering a mobile app with early direct deposit, no-fee accounts, and a roundup savings program.

    Now, how much does it cost to build a FinTech app? It depends on the development time of the required features:

    Features

    Development time, hours

    Authorization

    80

    KYC

    90

    User profile

    80

    Account activity

    60

    Transfers

    140

    Bill payments

    100

    Cards management

    80

    Security

    50

    ATM & bank locator

    90

    Settings

    60

    Support

    120

    Admin panel

    300

    Total

    1,250

    Lending app

    Lending apps provide access to quick and convenient short-term loans, personal loans, or other financial products through users’ smartphones or web interfaces. They are suitable for streamlined loan application processes and rapid approval.

    Consider the following examples of lending apps with decent functionalities:

    • ZestFinance provides advanced underwriting and risk assessment tools. It helps lenders make more informed decisions about clients with little or no credit history.
    • Dave is a US-based personal finance app that provides small-dollar cash advances, budgeting tools, and predictive alerts. With its help, users avoid overdraft fees.
    • Brigit offers cash advances and financial tools. Users can manage their finances and avoid overdraft fees.

    This table will help you determine what features to include and how many hours it will take to develop them.

    Features

    Development time, hours

    Authorization

    80

    KYC

    90

    User profile

    80

    Load management

    60

    Payment & billing

    100

    Transactions & EMIs

    80

    Withdrawals

    120

    Transfers

    40

    P2P lending

    60

    Settings

    20

    Support

    170

    Admin panel

    330

    Total

    1,230

    Insurance app

    With insurance apps, policyholders and potential customers manage their insurance policies, submit claims, access policy information, obtain quotes, and more.

    Let’s overview some popular types of insurance apps:

    • Specific insurance apps for car, health, home, pet, life, and travel. With these apps, users manage their insurance policies, file claims, request quotes, and access features.
    • Policyholder communication apps. These solutions serve as a communication channel between policyholders and insurance companies.
    • Insurance marketplace apps. Such applications allow clients to explore and purchase coverage.
    • Insurance broker apps. Thanks to these apps, insurance brokers, agents, and intermediaries streamline the insurance sales and advisory processes.

    Here’s how long it takes to develop insurance application functions:

    Features

    Development time, hours

    Authorization

    80

    KYC

    90

    Profile

    80

    Policy

    40

    Quotes

    90

    Claims management

    110

    Files upload

    40

    Payments

    120

    Settings

    20

    Support

    90

    Insurer module

    150

    Car insurance specifics

    40

    Health insurance specifics

    40

    Admin panel

    320

    Total

    1,310

    Investment app

    Investment apps facilitate and simplify investing in financial markets, including stocks, bonds, mutual funds, exchange-traded funds (ETFs), etc. They include access to investment accounts, trading tools, and financial information. Also, such apps provide various investment options for making informed financial decisions.

    Here are some examples of famous investment apps:

    • Acorns focuses on micro-investing. It also handles rounding up everyday purchases to the nearest dollar and investing the spare change in a diversified portfolio.
    • Robinhood is a commission-free trading app. Users can buy and sell stocks, options, cryptocurrencies, and ETFs.
    • CNBC provides access to market news, analysis, and financial content. With its help, investors stay informed and make data-driven decisions.

    Pay attention to the following investment app features and the approximate time to develop them:

    Features

    Development time, hours

    Authorization

    80

    KYC

    90

    Onboarding survey

    70

    Investment portfolios

    170

    Personal profile

    80

    Withdrawals & deposits

    130

    Dashboard

    160

    Support

    160

    Admin panel

    320

    Total

    1,260

    Consumer finance app

    Consumer finance apps cover managing personal finances and budgets, tracking expenses, saving money, and making informed decisions. They typically connect to users’ bank accounts, credit cards, and other financial accounts. Such apps provide a comprehensive view of financial statuses.

    Here are some popular consumer finance apps:

    • Mint links users’ accounts and tracks spending. Also, it assists with setting budget goals, receiving bill reminders, and accessing credit scores.
    • MoneyLion combines financial products, investment options, and credit-building tools.
    • Finch is for saving and managing money more effectively. It offers automated savings, budgeting, and expense tracking.

    Here’s how long it takes to develop features for a customer finance solution.

    Features

    Development time, hours

    Authorization

    80

    KYC

    90

    User profile

    80

    Account activity/Dashboard

    150

    Account management

    70

    Spending and income tracking

    40

    Gamification

    60

    Reminders

    40

    Advice

    60

    Settings

    30

    Support

    170

    Admin panel

    310

    Total

    1,180

    Our Tips to Help You Decrease Fintech App Development Cost

    Based on years of experience working on FinTech solutions, we came up with several recommendations that have significantly reduced the development cost for our clients:

    • Build an MVP first. A minimum viable product is a powerful tool for startups to minimize risks and attract investors. A successful MVP can start generating revenue while you work out improved functionality after securing funding.
      • Balance user value and development effort. For best results, prioritize features that bring the most value to potential users and require minimum effort. Putting user needs first should bring new adopters and keep regular users happy while you work on smaller things.
      • Use an agile development approach. Break down the development process into short, manageable sprints to reduce risks and improve flexibility. This approach will help you effectively correct the course if necessary.
    • Consider cloud-based solutions. Cloud data storage and processing reduces upfront infrastructure investment and enables instant scaling for high-load conditions. However, cloud solutions come with monthly charges, which you must account for in your maintenance budget. 
    • Integrate third-party APIs. Such integrations will enable ready-made functionality, including payments, data analytics, visualization, and more, with minimal development effort and time. 
    • Use the microservices architecture. Breaking the app down into smaller chunks lets you stay on budget and add to it after it’s up and running without disrupting its ongoing operation.

    Develop Your Fintech App with Inoxoft 

    We provide top-notch FinTech development services for clients all around the world, covering banking, lending, and investment solutions. Addressing the market demand and our clients’ business goals, we pay special attention to creating intuitive and convenient UX designs. Also, we focus on keeping users’ personal and financial data safe, ensuring regulatory compliance. Our portfolio includes successful FinTech solutions as evidence of our niche expertise.

    Case Study: How We Developed a Trading Automatization Platform for the UK-based Client 

    We helped a UK-based team develop an automatic currency pair trading solution for effective trading at the London, New York, and Tokyo stock exchanges. Initially, the client collected currency pair data, performed complex calculations, and placed broker orders manually. But our team helped automate all these processes via a web app.

    The trading automatization platform architecture comprises three microservices:

    • The Windows-based data aggregation server compiles current information about 25 currency pairs into a database.
    • The Linux-based data processing server analyzes the currency exchange rates according to the profitable trading strategy and generates the order.
    • The third server transfers the order to the broker via an API.

    Our development team helped address several complex challenges, including:

    • Fast and smooth data aggregation and order transfer across three different time zones.
    • Complex parallel calculations to reduce the order generation time from 90 to 30 seconds.
    • Smooth communication between the three microservices of the app’s architecture.
    • Stable connections between the trading platform and licensed brokers for fast decision-making.

    It took our web development team seven months to deliver the finished product using Django, Celery, Pandas, RabbitMQ, Socket, and other technologies. The team included a project manager, three developers, and a QA engineer. 

    Final Thoughts

    Fueled by technical advancements, FinTech continues to grow, generating more and more revenue. There are various approaches (including buying white-label solutions) startups and small businesses can try to enter this niche. 

    Before you create your product, it is essential to estimate your costs. There should be a couple of estimation stages, such as breakdown, developer estimation, project manager estimation, and final estimation. Many things influence the cost of app development: FinTech application types, essential features, choosing a programming language, and so on. 

    Our team has 10+ years of web and mobile development experience, a team of over 120 experts, and 200+ satisfied customers. Our portfolio covers 230 projects, including FinTech solutions, such as a trading automatization platform, integrated online payment services, and end-to-end deal execution management software. Leveraging this experience, we can make sure your plans come true. Reach out to us to start your project.

    Frequently Asked Questions

    What is the average development time for a FinTech app?

    The average development time for a FinTech app depends on its type, feature set, and technology stack. For instance, developing basic banking, lending, and investment apps usually takes around 1,200 to 1,300 hours. For a team of several developers, UI/UX designers, QA managers, and DevOps engineers, that translates into 4 to 6 months. Third-party integrations can extend the duration of development by 50% or more. And so can the addition of advanced technologies, such as blockchain or artificial intelligence. These estimates do not cover the discovery stage of market research, building user profiles, and developing use cases.

    Can I develop a FinTech app on a tight budget?

    You can develop a FinTech app on a budget as small as $20,000 to $30,000, but it will likely be an MVP. Fully-fledged FinTech apps usually cost $60,000 to $300,000 to develop. Still, you can keep the budget under control by managing the factors that affect the cost most. 

    For example, a freelance development team or an outsourcing vendor will offer lower hourly rates than local software development teams or in-house engineers. Asian, Latin American, or Eastern European vendors will also offer lower rates than those based in the US, Australia, or the EU. However, you should look for the best value for money, as low rates do not always translate into the best quality.

    How can I ensure the scalability of my FinTech app?

    You can ensure the FinTech app's scalability by prioritizing it early in development. Developing a scalable app will require developers to choose the right technology stack and architecture. 

    For example, a microservices architecture will allow you to add new modules to the app without disrupting existing features. Scalable cloud storage and processing are also critical for FinTech app scalability, as they will let you address high load conditions without crashing the app. 

    Moreover, a scalable FinTech app must also use reliable cybersecurity, including multi-factor authentication, role-based access, data encryption, and tokenization.

    What is the best business model for a FinTech app?

    The best business model for a FinTech app is the one that addresses market needs and ensures a profit. You can identify the best business model based on the target audience and its needs. However, you must also account for the local (or international) regulatory landscape and account for technological infrastructure. You should also research potential partnerships and estimate the funding you can raise. From there, you can choose among the popular business models, including interchange fees, transaction fees, subscription fees, API connection fees, interest, investing, late fees, and others.

    How can I attract investors for my FinTech app?

    First, identify the most likely investors. For example, if you don’t think you’ll have success with angel investors or venture funds, consider crowdfunding, small grants, or app contests. Next, prepare your pitch and a minimum viable product. Your pitch should focus on the market needs your app meets and what sets it apart from similar projects. Your MVP should be user-friendly (to convince investors) and functional enough (to resolve at least one of the target audience’s issues). Remember to describe your business model and provide market size estimates and potential return on investment (ROI).