Bank Systems & Technology is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Data & Analytics

10:42 AM
Tischelle George, InformationWeek
Tischelle George, InformationWeek
News
Connect Directly
RSS
E-Mail
50%
50%

Online Banking Blooming, Finally

Online banking has been so slow in growing that it missed the dot-com boom. But it has reached a third of U.S. consumers.

Almost twice the percentage of U.S. consumers are paying bills and transferring funds online, compared with two years ago, according to a new study.

The nonprofit Pew Internet and American Life Project says 32% of consumers--37 million people--are banking online, compared with 17% in March 2000.

Online banking has been so slow in growing that it missed the dot-com boom. Of course, it also missed the bust, too.

Online banking appeals to some because of its convenience and perceived privacy, said Susannah Fox, Pew research director. "Convenience and saving time ranked really high with eight out of 10 E-bankers," Fox said.

And four out of 10 say it's very important to them to be able to bank without having to talk to anyone, she added.

Still, the Internet holds no appeal for 40% of consumers, according to Pew research. These people are primarily older Americans who don't use a computer at work, Fox said.

"If banks tried to do everything on the Internet, they would hit a wall when they come up against this group," she added.

Comment  | 
Print  | 
More Insights
Register for Bank Systems & Technology Newsletters
Slideshows
Video
Bank Systems & Technology Radio
Archived Audio Interviews
Join Bank Systems & Technology Associate Editor Bryan Yurcan, and guests Karen Massey and Jerry Silva from IDC Financial Insights, for a conversation about the firm's 11th annual FinTech rankings.