• Mobile banking tops the way most consumers bank today (71%), compared to just 15% in 2014
• 2021 marked the highest number of over 60s using mobile and Internet banking (83% combined)
• 85% of over 60s still carry cash with them, compared to just 25% of under 21s – the biggest difference between age groups
The release of a new UK banking and payments industry report has revealed how consumer habits have changed since 2014.
The research was carried out by Compass Plus, an international provider of retail banking and electronic payments software to processors and financial institutions, which uncovered how the generational age gap in banking habits has gradually closed in recent years.
Rewind to 2014 and the preferred banking method for the majority of over 60s (46%) was to visit a branch. In 2021, this has now seismically shifted, with the analysis revealing that 50% of over 60s prefer to use Internet banking as their primary banking method, compared to just 9% in 2014. 33% of over 60s now also turn to their mobile devices for everyday banking, whereas in previous years, it was only the younger age groups who led the way in using such technology for banking.
Although the over 60s are now more comfortable using mobile and Internet banking than in previous years, today, there is still an overwhelming number (85%) of over 60s who carry cash with them, compared to just 25% of under 21s. Over 60s were also less likely to use mobile payments to pay for goods and services compared to those under 60.
Ash Dhindsa, Head of Marketing & PR at Compass Plus, said: “Our state of banking and payments 2021 report shines a light on how the UK industry has changed during recent years. The research shows there has been a gradual change in consumer behaviour as the majority of people move away from cash and look for convenience in everyday banking. In terms of the future, of course, we expect the strong growth in mobile banking and payments to continue but no one truly knows what is around the corner as the pace of innovation in the sector has ramped up significantly in recent years. Traditional retail banks now find themselves trying to keep up with changing consumer habits and the nimbler fintechs with the conversation changing from what might happen in the future to what is happening now.”
For more information, please contact either Declan Kinsella or Ash Dhindsa [email protected] / +44 115 753 0120.
About Compass Plus:
Compass Plus is passionate about payments technology and architecting it properly for the needs of today and tomorrow. From start-ups and industry disruptors to recognised innovators and market leaders, our exceptional technology puts our customers in the driving seat and ultimately in control of their payment ecosystems. Together, we deliver ground-breaking and industry-leading products and services with uncontested ease and proven time-to-market.