How Mobile Banking Apps Can Impact Financial Wellbeing
The explosive growth in digitalisation has drastically transformed the modern banking landscape, with new digital capabilities bringing clear benefits to consumers. However, a recent survey conducted by FIS has revealed a concerning trend among UK consumers – 51% of them are obsessed with checking their banking apps and balances, a phenomenon known as “financial doomscrolling.”
This obsession with constantly monitoring financial data has been fueled by the troublesome economic climate in the UK, putting many consumers on high alert as they navigate tough financial conditions. With the convenience of 24/7 access to financial information via mobile devices, the question arises – is this constant connectivity a help or a hindrance when it comes to managing money worries?
The survey also found that 45% of UK consumers think about their money and financial situation every day, with over a third checking their current account balance daily. Financial concerns drive these habits, with 41% of respondents checking their banking apps frequently due to worries about their financial situation.
While the rise of banking apps has led to the trend of financial doomscrolling, these apps also have a positive role to play in improving the financial wellbeing of customers. Financial institutions are well-placed to educate and guide customers towards the right financial solutions for their needs, leveraging technology to provide a seamless and efficient user experience.
Mobile banking has evolved significantly over the years, with smartphone apps offering a wide range of features, better security, and a more efficient user experience. Customers now expect banks to act and interact like any other technology brand, with mobile banking overtaking traditional forms of banking.
The rise of banking apps has changed the landscape for financial institutions, with customer loyalty increasingly tied to mobile banking experiences. Younger generations, in particular, expect intuitive and seamless financial experiences akin to scrolling through social media, presenting an opportunity for financial service providers to enhance customer value through technology.
Financial institutions have an opportunity to build on customer loyalty by delivering solutions that address financial concerns and streamline the customer experience. Embracing continuous innovation and technological advancements, such as AI and machine learning, can help banks cater to evolving customer requirements and shape the future of mobile banking.
Ultimately, the key lies in providing customers with the right information at the right time to empower them to make better financial decisions. Mobile banking apps, when used effectively, can help customers take control of their finances, boost satisfaction, and foster loyalty to the bank.
