Fiserv Survey Shows Many Consumers Fret Over Finances, Even as New Tools Gain Traction
Expectations & Experiences: Household Finances highlights rapid shift in payments perceptions, openness to tools for security and convenience
Conducted online by The Harris Poll on behalf of
“Although money management remains a challenge for many households,
there is an openness to new ways of doing things,” said
Satisfaction with Financial Health Lower than Other Areas
Of the 30 percent of consumers who think managing their finances is a burden, 59 percent perceive the task as an obligation and 47 percent say it is a reminder of financial difficulties. More than one in 10 consumers have taken a cash advance or short-term loan in the past year, and 38 percent would have difficulty or be unable to repay a
Security Spurs Shift in Perception, Adoption
Less than three years into wide availability of EMV® cards, inserting a chip card is now the most preferred way to pay (36 percent), topping other forms of payments such as swiping a card (30 percent), cash (17 percent), and check (8 percent). Relative to the previous year’s survey, chip cards made significant strides in preferred method of payment (up 9 percentage points to 36 percent), perception of convenience (+12 to 32 percent) and fastest payment method (+9 to 24 percent).
Transaction alerts are received by nearly two in three consumers (64 percent) with a credit or debit card. A sense of security (67 percent) and previous fraud (43 percent) are the most common reasons for using transaction alerts, while a third of consumers (33 percent) cited it as a convenient way to manage transactions. Millennials (ages 18 – 37) were more likely to receive alerts because it’s a convenient way to manage transactions. Among all consumers who receive alerts, 42 percent say they have detected fraud via alerts.
Consumers Want Options in Step with their Lives
Use of mobile apps to track spending jumped 7 percentage points from 2015 to 26 percent. More than twice as many early millennials (60 percent) use mobile apps to track spending. Conversely, use of checkbook registers declined 5 percentage points to 44 percent over the same period (49 percent in 2015), primarily driven by boomers (66 percent in 2015 as compared to 57 percent in 2017).
Presented with potential tools that would be helpful in managing finances or investments, 34 percent of consumers and 48 percent of millennials said the ability to manage all their financial accounts using a single online location or app was of interest. Although aggregation services are considered the most helpful way to manage finances or investments, few consumers currently use such services to track spending (8 percent).
Consumers Open to New, Innovative Solutions
More than one in three (35 percent) consumers would be interested in the ability to transfer funds from one ATM to another, and 62 percent of millennials report interest in this option. Cardless cash solutions for ATM withdrawals appeal to nearly two in five consumers (37 percent) and over half of millennials. Just 7 percent already use this service, and 22 percent would only use in an emergency (e.g., a forgotten wallet), while 16 percent feel it would keep others from accessing their PIN, and 6 percent would do so to avoid carrying their debit card.
Consumers show interest in solutions that both protect and ease the money management process, and 66 percent of consumers would be interested in a security program to safeguard mobile activity, while 56 percent indicate interest in voice, fingerprint, palm or retina scan to verify identity when banking online or using a mobile device instead of passwords or PINs.
In a world moving faster than ever before,
- Expectations & Experiences: Household Finances results – https://fisv.co/expectations-pr
- Expectations & Experiences: Household Finances images – https://www.flickr.com/gp/fiserv/2eNZ4s
The survey was conducted online within
Ann S. Cave
Director, Public Relations
Sr. Director, Corporate Communications