Almost Two-Thirds of Consumers Comfortable Opening Loan Account in App

Almost two out of every three consumers are comfortable opening new accounts digitally, compared to less than half saying they prefer to manage their existing loan accounts that way, according to PYMNTS’ February 2022 edition of “Account Opening And Loan Servicing In The Digital Environment”.

That comfort level gap is even larger among Generation Z consumers, who have fewer loan accounts to manage than those in their more senior generations.

PYMNTS research also shows that consumers feel slightly more comfortable opening accounts using a mobile app than on a web browser: about 64% of consumers said they were “very” or “extremely” comfortable opening an account via mobile app, compared to 63% who were comfortable opening an account via web browser.

Consumers earning more than $100,000 represent the greatest share who said they were “very” or “extremely” comfortable opening an account using a web browser (72%) and mobile app (74%). Almost four out of five Generation Z consumers (78%) say they are “very” or “extremely” comfortable opening an account via mobile app, leading the way among our respondents.

The study, a PYMNTS collaboration with Finicity, a Mastercard company, examined consumers’ comfort levels in opening new financial accounts and managing their loan accounts digitally, such as via web browser or mobile app based on a survey of 2,303 U.S. consumers conducted from Dec. 6 to Dec. 12.

PYMNTS generally found no significant differences between web browser and mobile app users when it comes to managing loans, other than among baby boomers and seniors: 40% were “very” or “extremely” comfortable managing a loan account via web browser, compared to 25% who were “very” or “extremely” comfortable managing a loan account via mobile app.

As with most things these days, convenience is a key driver behind consumers’ growing interest in opening financial accounts online. The study showed that half of consumers would be “more” or “much more” likely to open a new account if they could log in to their existing bank and automatically have their financial data provided to the new account rather than being required to provide their credentials at account opening.

The study also showed that 55% of consumers would be “more” or “much more” likely to open a new account if funds were directly transferred from an existing bank or loan account.

Want to learn more about what consumers want out of their digital banking experience? Download “Account Opening And Loan Servicing In The Digital Environment” for the latest information.