A recent study from FIS has revealed an increase in the use of mobile devices and digital banking channels in India due to demonetisation.
The report, Performance Against Customer Expectations (PACE), surveyed 1000 banking consumers in India and found that more than 60% of the respondents have used mobile devices in 2017 to check their account balances, view recent transactions, pay bills or transfer funds. The finding is up from 39% of survey respondents in 2016 and 34% in 2015.
Other key findings of the survey include:
• Nearly 18% of the respondents use their primary bank’s credit cards exclusively;
• The importance of the primary bank providing digital payment is on the rise;
• 30% say they use mobile apps to carry out their payments, compared to cash, cheque or cards;
• Gen Y consumers want to better connect with their banks at their convenience, at any time and from anywhere;
• The biggest pain point for banked Gen Y is getting time to physically visit a branch;
• Gen Y are less satisfied than older generations with their current banking providers.
The research also uncovers the fact that Indian banks continue to underperform their peers in other countries in terms of meeting their customers’ expectations. Indian financial institutions scored 75% in the 2017 PACE study, 1% higher than in 2016, but 7% below the global average PACE score.
A new research published by Signicat has shown that European eID schemes provide 69% of ID information needed to digitally apply for financial services.
According to “The Rise of Digital Identities” report, financial institutions are missing a vital link in the digital chain: onboarding. 40% of consumers have abandoned a bank sign up process because of the time and effort needed. This combined with the upcoming eIDAS regulation means that financial institutions need to be able to onboard customers 100% digitally.
In Belgium, for example, the eID covers all the necessary attributes but the scheme is only relevant in a consumer-to-government context. In The Netherlands, the bank-operated scheme offers the right coverage but, on its own, will not satisfy Know Your Customer (KYC) requirements.
To fully verify a customer’s identity, financial institutions must supplement eID information from a variety of sources including national ID schemes, various digital assets and traditional ID documents such as passports. To succeed, institutions must plug the gaps and ensure they have access to the right information in the right geographies.
The paper was developed with research from Innopay, the payments, digital identity and e-business consultant. Innopay surveyed the onboarding landscape across Austria, Belgium, Germany, Luxembourg, The Netherlands, Switzerland and the UK to look at KYC/AML requirements and how available eID schemes map to these requirements.