As branch closures increase during global pandemic, community banks and credit unions are met with strong opportunity for digital transformation
Kasasa, an award-winning financial technology and marketing provider, announced that online account openings for community financial institutions across the nation have increased by 14.5% as social distancing measures increase and thousands of branch locations close to prevent the spread of the virus. Additionally, account closures have declined by 28%.
Read More: Kreditech Rebrands to Monedo as It Steps Up Growth in International Lending Markets
“Even in the midst of a global pandemic, the need for financial services will never slow down, making it critical that community financial institutions continue serving their local communities in the way they need”
While digital onboarding has increasingly been a focus of most financial institution’s digital strategy, it is proving more important now than ever. From selecting an account or loan, applying, getting approved, funding and receiving follow-up communications, such as a welcome package or additional product recommendations, a digital experience must be available to consumers.
Read More: Jack Henry & Associates Launches Core-Integrated Accounts Receivable Financing
Kasasa’s latest research also found changes in keyword searches over the last 30 days. Searches related to opening an account increased consistently with “open a bank account” and “open a checking account” searches increasing in volume over the past two weeks. Meanwhile, “open bank account online” and “open checking account online” also saw a sharp increase. According to Google Trends, search volume for “open bank account online” was higher than it has ever been before and is actually driving customers to open up accounts as an end result. Additionally, searches for auto loans and personal loans are trending.
“Even in the midst of a global pandemic, the need for financial services will never slow down, making it critical that community financial institutions continue serving their local communities in the way they need,” said Gabe Krajicek, CEO of Kasasa. “Life will eventually go back to normal, but the current environment underscores the importance of having a strong digital account opening process to allow individuals to bank in not only the way they need to right now, but how they prefer to in the future.”
Read More: Simple Announces Launch of Tax Refund Feature to Automate Savings for Customers
