Brits enjoy perks of online banking, but not all are logged on

A new mobile-only offering from Chase will look to compete with the rise of digitally-focused fintech banking providers in the US.

In our current era of ubiquitous technology and digital services, it’s easy to assume that everyone is online.

However, research has shown that, in the UK consumer banking sector at least, that’s not entirely true.

Nationwide conducted a survey of 2,000 British adults which found that one in ten people (ten percent) still don’t use internet banking.

It’s no surprise that older generations have shown the most reluctance to transfer their financial affairs to the web. Around one in six over-55s (17 percent) have not yet adopted internet banking, compared to only one in 20 18 to 24-year-olds (five percent).

The research emphasized that many people still want to deal with a human being when carrying out certain tasks. Four out of ten home movers (40 percent) expressed a preference for personal service when arranging a mortgage, while a similar proportion of parents (37 percent) would want to speak to someone when opening their child’s first current account.

Among those who have adopted internet banking, the benefits are fairly clear to see. More than two-thirds (69 percent) of Brits said banking online had made them more financially aware, while 40 percent said being able to view their account at any time helped them to budget.

James Smith, Nationwide’s director of mobile and digital, said: “People are using the ability to log on anytime, anywhere to try and ensure they are staying well in control of their finances and attempting to avoid any unnecessary debt.”

The survey also looked at some potential future trends in financial services, revealing that nearly six out of ten UK consumers (58 percent) believe that, in two decades’ time, they will be able to pay for items using their thumbprint.

More than half (55 percent) thought phones and watches would be sufficient to facilitate all payments by 2037.

Mr Smith pointed out that innovation in personal finances is “clearly something that intrigues people”.

 

Image: iStock/wutwhanfoto 

Written by Jack Dougal