How Consumers Can (and Do) Use Mobile Banking

In an era of instant gratification, it makes perfect sense that consumers expect that level of immediacy to permeate throughout all facets of their daily lives; this includes banking. Customers are looking for instant transactions, and for that, mobile banking is the most convenient option. To meet this demand, almost every bank — including NVE — offers an array of mobile banking options.

According to a survey of 3,000 U.S. banking customers conducted by Harris Poll for Fiserv, the way consumers are using mobile banking is evolving; more complex tasks are being done with mobile banking today than in the past. Where previous surveys found most consumers used mobile banking to view balances, statements and ATM locations, today’s actions include:

  • Paying for products and services (47%)
  • Transferring money between accounts (45%)
  • Depositing checks (37%)

And it’s not just millennials. While 87 percent of those 18-35 do use mobile banking, according to the Federal Reserve’s 2016 Consumers and Mobile Financial Services report mobile phones are increasingly becoming tools for managing personal finances and controlling spending. Sixty-two percent of all mobile banking users with smartphones used them to check account balances or available credit before making a large purchase in the 12 months leading up to the survey.

So, how does mobile banking help customers? Convenience has always been a major factor. But consider this, too: of that 62% we just mentioned, 50% of them — that’s HALF — decided not to purchase an item as a result of their account balance or credit limit. How’s that for personal finance management and spending control? Additionally, the Federal Reserve suggests that the prompts served up via mobile phones can help consumers make “different, informed, and perhaps smarter, financial decisions.” The data supports this theory. According to the report, of the 52% of mobile banking users who receive alerts from their bank, one type most people in this group receive is a low-balance alert. A majority of those who received this notification reported taking one of the following actions in response:

  • Transferring money into the account with the low balance (43%)
  • Depositing additional money into the account (36%)
  • Reducing their spending (32%)

bank-alerts

Those who do not use mobile banking, or who do so with hesitation, cite several concerns. Among them is the belief that their banking needs are being met without the use of mobile banking, but more paramount are concerns with security when it comes to accessing financial information and protecting personal information. It is natural and prudent to have these concerns! It is crucial to take measures to protect your identity, including personal and financial information, and there are ways to do this. In honor of National Cybersecurity Awareness Month, we compiled some of the latest information and suggestions for safe mobile and online banking.

While taking proper precautions is a vital part of protecting yourself online at all times, NVE Bank customers can rest assured that they are protected when banking with us online. Security is one of our top priorities when it comes to our customers’ financial and personal information. Our online security measures include the latest industry-accepted standards and practices. You can read more by reading our online security commitment.

To learn about NVE Bank’s mobile banking capabilities, as well as other services and products to help you achieve your financial goals, visit our website. You can also stop by your convenient neighborhood branch, or call us at 1-866-NVE BANK (683-2265).

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Sources:

http://www.federalreserve.gov/communitydev/mobile_finance.htm

http://www.federalreserve.gov/econresdata/mobile-devices/2016-use-of-mobile-phones-in-financial-decisionmaking.htm

http://www.federalreserve.gov/econresdata/consumers-and-mobile-financial-services-report-201603.pdf 

http://www.mediapost.com/publications/article/284152/87-of-millennials-use-mobile-banking-security-st.html

 

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About NVE Bank

The NVE Blog should not be used for banking purposes relating to NVE Bank. Please do not disclose any personal or business banking information on this site. NVE is an Equal Opportunity Lender, Equal Housing and Member FDIC. NVE Bank, established in 1887, offers an extensive range of personal and business products and services. The Bank maintains 12 offices conveniently located throughout Bergen County. For more information, please call our toll-free number 1-866-NVE-Bank (683-2265) or visit our website.
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