FinTech usage more than doubles during lockdown

New research has revealed that 64 per cent of UK adults have been reliant on technology to manage their finances since March, up from the 42 per cent before the lockdown.

Checking accounts (88 per cent), transferring money (80 per cent), withdrawing funds out of an investment (35 per cent) and searching for new financial products (27 per cent) have been the most common uses of FinTech, according to the survey of 2,001 UK adults carried out on behalf of operating system provider Yobota.

A further 21 per cent have secured new financial products without speaking to a human being, while 15 per cent of people have been frustrated by their banks’ poor technology. This figure rises to 28 per cent among those aged between 18 and 34.

One in three (31 per cent) people said the lockdown has opened their eyes to how many different ways technology can be used to manage their finances, with 42 per cent planning to continue using tech much more even as bank branches re-open.

Underlining the increasing importance of FinTech, almost half (47 per cent) of consumers said their tech offering is a 'key consideration' when choosing a financial services provider.

Ammar Akhtar, chief executive at Yobota, said: “In light of the financial distress caused by COVID-19, millions of Britons have needed fast access to loans, credit cards and overdrafts, not to mention advice and guidance - crucially, they have had to rely on mobile and online banking for almost all of this.

“Even as the lockdown passes, people will not be in any rush to queue up in bank branches or have lengthy telephone calls, meaning financial services companies must keep pace with the demand for FinTech," he continued, adding: "As the survey results show, those who don’t risk losing customers.”

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