As consumers embrace digital banking they're turning their eye toward AI-powered features

Fast Company

2 days ago

For Tim Ferriter, managing director and head of digital at Chase, cash birthday gifts have become a relic of the past. 'Where grandparents would have once put cash in a card or written a check, now they're using payment apps,' he says. That's because tools that allow person-to-person (P2P) payments, like Zelle, have become so popular and easy to use.
The latest Digital Banking Attitudes survey by Chase, the fifth the company has conducted since 2020, shows the rise in usage. Polling 2,000 U.S. consumers between the ages of 18 and 65 in February, the survey found that 67% had used P2P payments in the past year—a significant increase from the 40% surveyed in 2020. Meanwhile, 78% reported using banking apps weekly, while 62% said they couldn't live without those apps.
Thanks to the increased use of banking apps, the time people spend managing their finances has gone down. The growing adoption of automated banking tools has led 45% of respondents to say they spend less than one hour per week on this task.
Taken together, these statistics paint a telling picture. The more people use digital tools like P2P payments, automated bill pay, and credit monitoring to help them with their banking, the less time they spend, well, banking. Instead, they're engaging in deeper, more efficient ways of managing their finances—shifting their focus toward proactive, goal-oriented tools like Credit Journey. And as these tools continue to prove their worth in time (and savings), the more widely they're adopted. That lines up with other findings from Chase's survey that show a wide-ranging willingness among consumers to adopt newer emerging tech that could improve their personal banking experiences—from increasingly conversational artificial intelligence assistants to . . . neural implants?
MORE TIME USING MOBILE FEATURES . . .
Since Ferriter joined JPMorganChase in 2008, he's witnessed a tremendous change in how people bank. Back then, he says, 'the idea of banking apps and smartphone technology was barely in existence.' But the pandemic accelerated the rate at which activities went online and, consequently, the number of tools available for consumers to manage their banking grew exponentially.
The use of credit score monitoring tools, for instance, has jumped to 52%, up 11% since the first survey in 2020. The company's Credit Journey tool, which both Chase customers and noncustomers can use to monitor their credit, offers insights that can help users improve their scores and alert them if their personal information gets leaked in a data breach.
Tools such as these save significant time because they're easy to interact with and illuminate previously opaque information about credit scores. Plus, they are available within the Chase Mobile app to make them easier to access.
The simplicity and intuitive design of today's apps has also driven the use of P2P payment methods which, according to Chase's survey, have seen the greatest adoption of all digital banking tools in recent years. The ease of use, Ferriter says, has encouraged both his parents and his college-age daughter to engage—the latter primarily employing P2P methods to manage finances across her friend group, like splitting concert ticket purchases or restaurant bills. 'There's no more chasing friends down for cash,' he says.
P2P payments aren't just for luxury activities. While 37% of survey respondents said they used P2P for entertainment, people are using them frequently to split the cost of household expenses, like groceries (46%) and utility bills (19%).
'With monitoring credit or P2P payments—everyday activities that are becoming more and more routine—you see broader adoption across [age] groups,' Ferriter says. Tools that have seen quicker adoption among younger users tend to be those involving 'more advanced or newer capabilities.' Younger users, like millennials and Gen Z, have already exhibited interest and familiarity with chatbots, for example, and conversing with AI assistants.
. . . LESS TIME SPENT ON PERSONAL BANKING
Older users may be slower to adopt AI to manage finances, although they've indicated they're open to it. While nearly half of millennials (49%) and Gen Z (45%) told Chase that they were interested in having AI assistants help them manage their finances and provide real-time solutions, 39% of respondents overall expressed strong interest in using AI for money management going forward.
Right now, AI assistants primarily help with basic tasks like locking lost cards or requesting new ones. Chase has begun using AI to personalize the digital experience, recommending relevant financial products, surfacing timely reminders that a new card is on its way, or offering credit score insights. As digital capabilities expand, they complement core banking actions, making them easier and faster, helping customers engage in deeper financial planning online or in-branch.
'When a customer has a servicing need, there are multiple dimensions to that need, and the best mode of servicing that is through a conversation,' Ferriter says. Because of that, he adds, AI assistants will evolve, responding better to nuances in customers' requests. Ultimately, AI will enhance the omnichannel banking experience, making the customer service experience more seamless across every touchpoint from the mobile app to in-branch visits.
For some younger consumers, the appeal of innovation and futuristic technology helps them imagine more of their future banking experiences. Sixteen percent of millennials and 18% of Gen Z said they'd be interested in neural implants for instant financial updates within the next five years. While that kind of technology is still speculative, it highlights a mindset shift: These generations are envisioning a future where financial tools are not just digital but deeply integrated into everyday life.
The appetite for such extreme advancements suggests that folks are open to technological innovations that allow them to spend even less time with routine banking tasks. On average, nearly 50% of respondents say they currently spend less than one hour weekly managing their banking—33% expect to cut that time even shorter during the next decade.
To make that happen, Chase innovators are peering outside their industry to see where technological advancements have improved customer experience and engagement. 'We spend a lot of time looking at how non-financial institutions are leveraging digital tools to make things easier for customers and integrate digital and physical experiences,' Ferriter says. 'It's only accelerating.'