The closure of bank branches may be alarming for many consumers. But, a survey from Provident Bank shows that there’s a reason for their decline: many customers are in the habit of using digital banking, and the survey shows they have a strong preference for it.
The rise of mobile banking and mobile payments had led to hundreds of branches being closed in the UK alone. And additionally, according to Which? the number of ATM’s closing was just under 500 a month last year – many of these were free services.
This latest survey, however, shows that consumers seem to prefer digital banking. In fact, of the respondents, only 20% said they would choose the visit a bank rather than using a digital channel. Because of this, it’s important for banks to strike a balance between these two options.
On the whole, consumers said they were satisfied with their bank’s current digital services. When asked if the services met their needs, 66% said they need. In addition to this, 95% of consumers said they were confident their bank was able to protect their data properly.
Younger consumers were the most likely to use digital services, such as Apple Pay or Vemo on a regular basis. Around 30% of all consumers surveyed said they use mobile payments, for example; only 12% of those over 54 said the same.
One of the main attractions of digital banking was, according to customers, the proactive approach banks take in their security and in keeping them informed about their investments or services. Many will reach out to customers to help keep their account secure.
“The internet has become one of the most popular tools used to commit fraud and criminals are becoming more and more sophisticated with their hacking techniques,” said Deborah Goodenough, the bank’s security officer. “As a result, customers must take the necessary precautions online, especially when using sensitive personal data such as bank account information.”