Easing Into the Era of E-Banking: A Millennial’s Roadmap
There are two things millennials love more than their freedom – convenience and fluidity.
We love to have things on the go, whether it is having coffee, buying our Christmas outfit or paying our taxes. Our parents, the baby boomers, were more handy with physical cash, having segregated coin purses, card holders, and a wallet for cash.
A millennial’s bag can barely hold our phones and keys and has no place for cash. Although the tote has space, there is often a place for Stanley sippers, lip balms, and even a change of clothes, but not a wallet.
Keeping track of every penny is always a challenge, and this is where online banking and mobile banking have come to our assistance.
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Convenience Matters
For millennials, convenience is the key! Bank services often have limitations and are designed in a manner that is not always convenient for users. For the thirty-somethings, a poor user experience and inconvenience can lead them to move on from their banking provider.
This is where banking mobile apps like Apple Pay and PayPal come in. Digital banks offer all the convenience of traditional banking but from a smartphone application.
But a millennial’s demand doesn’t just end with an app. They want an app that is intuitive, secure and easy to use.
Secure Data
Yes, while we prioritise comfort, we also want security! With growing instances of online banking portals being compromised, people today would choose an e-banking partner that prioritises data security.
They look for online banking partners that provide two-factor authentication and additional security features like biometric authentication or face identification. May digital banks allow you to “freeze cards” directly from the app if you misplace your credit or debit card. This is much easier and faster than calling a hotline or visiting a bank branch.
Financial Services At Your Fingertips
Millennials are increasingly using mobile banking apps to access a variety of financial services, according to a recent study by Chase Digital Banking Attitudes. Here is a look at a few typical digital banking services:
Availing Loans
With recession and inflation plaguing the British economy, most millennials are struggling with their personal finances. With high rent and cost of living, student loans, and credit card debts, many do not have savings for a rainy day. However, financial emergencies do not come with prior warning.
At such times, a bad credit payday loan can come to your rescue. These loans are primarily provided digitally and are much easier to apply for than traditional loans. It is available to people with bad credit, which is useful as good credit scores are a requirement for regular loans.
These payday loans are often for smaller amounts (just enough to tide you over the emergency) and usually taken for a shorter period, i.e., until the next payday, or for some lenders, for a few months.
Regular Banking Operations
From viewing your account balance, transferring money between different banks, paying bills, investing money, and using peer-to-peer payment options, everything can be done digitally. This has made it much easier for millennials to conduct their banking transactions without having to step foot into a brick-and-mortar bank. All you need is an internet connection to pay your rent or credit card bill while on the move.
Control Over Personal Finance
E-banking offers much better control over your finances. Today’s digital banks have improved significantly since the first-generation FinTech apps. You can now use your mobile banking app to check your credit score, view the monthly spending forecast, and create and track a budget.
Saving money also becomes easier with an e-banking app. Some apps enable you to set aside money each month towards your goals, almost like a digital piggy bank.
The apps also give you complete transparency over your spending and financial standing. Additionally, mobile banking also comes with perks like cashback, refunds, and bonuses for your loyalty and spending.
Support
Financial literacy and support is one of the most common problems that millennials struggle with. However, E-banking solves this problem by offering support in multiple languages. The UK is a melting pot of people from various nationalities, and with banking apps, anyone can now view their finances in their own language.
Banking apps also offer virtual assistants, educational resources, and better tools and features to control your finances and ask questions whenever you need.
Summary
Using a mobile phone is almost second nature to millennials. With e-banking, you can conduct financial transactions that are time-saving, efficient, and easily accessible even for those with disabilities. You can access the whole world of finances without having to leave the app.
However, it is also important to be cautious because many digital banks do not have the proper FCA regulations and lack authenticity. Thus, it is best to conduct a background check before jumping into a decision that has a direct impact on your financial health.
