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March 2, 2022 | 20min read
The Clock is Ticking for a Better Digital Banking Experience
Thirty percent of financial organizations do not allow consumers to open checking accounts online according to new data conducted by GLG. In today’s digital age, this is shockingly high. For other types of accounts, the numbers are even worse — only 66% of organizations say you can open savings accounts online. And, it’s 60% for credit cards, less than half for loans (46%) and lines of credit (45%), and less than a third for mortgages (33%), auto loans (28%), and insurance (15%).
What do those numbers represent in missed opportunities and revenue? With Gen Z being the first fully digital native generation, there will continue to be a demand for digital experiences.
Financial institutions and fintechs need to set their sights on horizons where an individual can have a seamless and secure online banking experience, and one where they can have access to every type of financial account.
An essential step that many financial institutions are taking towards a better digital banking experience is implementing instant account verification (IAV). The same research shows 76% of financial institutions and fintechs are planning on, or currently in process of, implementing Instant Account Verification. At the same time, 88% of financial institutions and fintechs see IAV as strategically important to their organization
Think about it — 30% of financial institutions don’t offer online account opening and nearly one-quarter of financial institutions aren’t currently offering a form of IAV. How many consumers are going to look elsewhere for a financial institution that can deliver instant, embedded digital experiences?
Financial institutions and fintechs incorporating seamless IAV will be far more appealing to consumers when choosing where to turn for credit cards, loans, mortgages, or other lines of credit — in turn, creating greater revenue options.
The clock is ticking for both financial institutions and fintechs to get on board with enabling their users to open and organize all their financial accounts into a smooth experience.