Consumers want more digital communication from banks: survey

Canadians want their banks to embrace the digital age. That was the message from a survey on lender communications by Silicon Valley analytics firm FICO. In fact, 43% of respondents would prefer to be reminded of late payments by email, followed by text message at 21%. But often, banks are sending letters (26%) or contacting customers by phone (14%).

Read: 81% of financial institutions to partner with fintech: survey

“While Canadian banks are improving when it comes to using email, they could go even further,” says Kevin Deveau, vice-president and managing director of FICO Canada, in a release. “And when it comes to using text messages, lenders are lagging behind the preferences of their customers.”

In fact, Canadian banks have been slower to adopt SMS communications than their counterparts in the U.S. and U.K. Twenty-eight per cent of U.K. respondents and 15% of U.S. respondents say they typically receive late payment reminders by text message, compared to only 11% in Canada.

Read: How to take part in the digital revolution

Here are some more findings.

Canadians prefer to make late payments online; 30% like to use a website or online portal to make payments with a direct transfer from their bank account.
While many respondents use some form of social media, the majority don’t want to see late payment reminders in the apps. More than two-thirds would not be comfortable seeing a reminder via social media, and only 5% said they’d be extremely comfortable.

About the survey: FICO surveyed 3,600 consumers, 18+ years of age, in nine countries around the globe between June 2017 and August 2017.

Also read:

Are robos regulated like humans?

Businesses use tech, new markets to drive growth

Monetary policy to be data dependent: BoC