Financially healthy customers are good banking customers. They are typically able to take control of their finances by paying debts on time, maintaining larger account balances, and having more diverse accounts at financial institutions. The concept of financial wellness has become a hot topic, and many banks are strategically offering financial health products to support, attract, and retain their best customers. But do they really have the desired effect?
It’s very simple. For a financial health product to be effective, customers must actually use it. In a 2023 Forrester Research study commissioned by Personnetics, 88% of banks and credit unions said less than half of their customers actively use the financial health tools offered by their bank or credit union. did. Almost one-third of respondents said that between 5% and 24% of their customers use tools provided by their company. More than half said 25% to 49% of their customers use the tool. Additionally, only 12% of banks and credit unions say more than half of their customers use the tools they offer.
“Financial health tools and resources can be extremely beneficial to consumers if released at the right time and place,” said Heidi Johnson, senior director of behavioral economics at the Financial Health Network. . “If these resources are siled on a bank’s website, consumers may not be aware of what their bank is offering to address their financial needs. By incorporating them into the experience, banks can better deliver the value that these resources can provide.”
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