More bank customers (36 percent) prefer to do their banking online compared to any other method, according to new survey by the American Bankers Association (ABA).
One year ago, 25 percent of customers favored online banking, according to a statement. Consumers who favored online banking were more likely to be under 55, have an income of more than $75,000 and live in the Western part of the country.
"Clearly, online banking has fully penetrated the market," said Nessa Feddis, ABA vice president, senior counsel and retail banking expert. "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."
Consumers over 55 still prefer to visit their local branch (33 percent); however, online banking for this age group was the second favorite way to conduct banking transactions (20 percent).
Among all consumers, the preference for online banking was followed by visiting branches (25 percent), and using ATMs (15 percent), according to the survey. Mobile banking was preferred by only 3 percent of consumers, primarily those 18 to 34 years old.
"Online banking may be the most preferred method of banking but banks remain committed to providing multiple choices to serve all consumers," said Feddis. "Increasing competitive focus means bank customers will continue to have the choice between ATMs, telephone, cell phone or the Internet to conduct their transactions – whichever they find most convenient for them."
