Online banking jumps among customer preferences
2010-10-04
A recent survey has found that efforts by financial institutions to boost customer loyalty by offering an increasing number of online banking options are not unwarranted. In fact, online banking is preferred to any other method.

Last year, a survey by the American Bankers Association found that 25 percent of consumers preferred online banking. However, this year that number has jumped significantly. Now, 36 percent of customers favor online banking. And this number is increasing across all demographics.

While customers over 50 years of age prefer to visit a local branch inperson, they identified online banking as their second favorite way over visiting ATMs and mobile banking.

"Online banking is the future of banking as more Generation Y-ers enter the marketplace. This means the industry will need to continue investing in technology that supports online banking because consumers see it as quick, convenient, accurate and safe," said Nessa Feddis, ABA vice president, senior counsel and retail banking expert.

While online banking has provoked some fears of fraud, only 33 percent of Americans expressed concern, compared to 43 percent of Australians.

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