UK cardholders will switch bank accounts to gain faster payments

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British cardholders expect faster and more accessible payments from their bank and are prepared to switch accounts to gain improved payment services, according to an ACI worldwide survey.

The study was conducted by the universal payments company and YouGov, whereby 2000 UK cardholders were questioned about their payment preferences.

The survey reveals that nearly half (45 per cent) of UK bank account holders would switch providers if it would mean gaining access to faster electronic payments.

Over half (65 per cent) of respondents want faster payments when paying for their utility bills. Credit card bills (60 per cent) and transferring cash to family and friends (66 per cent) also takes precedence for British cardholders.

An appetite for faster payments is commonly found within UK millennials, as people born between 1989 and the early 2000s are found to be the fastest adopters to new banking services. Millennials are most attracted to mobile banking, contactless and third-party payment providers.

‘‘Our research shows that today’s consumers want fast and easy payment methods. Speed is very important to them as is convenience. Many big retail banks are missing a trick,’’ stated Barry Kislingbury, lead solutions consultant at ACI Worldwide.

UK cardholders are also likely to switch accounts if they suffer specific banking problems. Payment delays, ATM withdrawal fees and credit and debit card fees are some of the biggest irritations for customers.

‘‘Today’s consumers, especially young ones, are financially and digitally savvy. Banks have a real opportunity to stand out by offering faster payments and other innovations that today’s consumers covet,’’ continued Kislingbury.

Customers have varying opinions when it comes to the future of faster payments. Nearly a quarter (23 per cent) of UK cardholders expects an electronic transfer to reach recipients immediately while another 23 per cent say up to three hours.

 

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