This week we look at the latest mobile banking numbers from the Federal Reserve, the latest trends from millennials and debt, and changes on Wall Street.
Jim Marous of The Financial Brand summarizes data from the Federal Reserve about mobile banking. Overall, mobile banking usage has continued to rise, but not by the leaps that it has in other industries. Many consumers say that all their banking needs are being met by other means (such as ATMs, online, or branches) and many consumers express concerns about security. That said, the trends show that millennials clearly want mobile solutions. And since millennials demand mobile solutions, banks would be crazy not to get ahead of the curve on this front — despite the concerns that many consumers express on this matter.
The New York Times writes about millennial banking habits, specifically around debt.
- Consumers under 35 hold less credit card debt than they have since 1989.
- New laws have made it harder for credit card companies to sign up young people en masse on college campuses. These companies must now make sure that prospective consumers have an income before getting a card.
- Consumers under 35 have way more student debt on average than they did on average 20 years ago — $17,200 more, to be exact.
- Adoption of blockchain technology (this was the most common answer)
- Automation in every single aspect of financial technology
- Massive boom in data and machine learning
- Fintech + banking partnerships
- Better access to credit
The whole article is worth checking out for the breadth and depth of the answers.