AUSTIN, Texas–Eighty-three percent of Millennials would switch financial institutions if one offered more or better rewards.
The finding was released as part of the Kasasa Explores survey, which was conducted online by Harris Poll on behalf of Kasasa. It garnered responses from more than 2,000 U.S. adults age 18 and older. Kasasa provides rewards programs to financial institutions.
The company noted that its 2015 survey also found 67% of Millennials said rewards were important, and that 45% would be encouraged to switch institutions for higher interest rates earned for savings and checking accounts. Forty-one percent said they would be encouraged to switch for lower fees. Despite rewards being cited as a primary switching motivator, as well as higher interest rates and lower fees, the research showed 70% of Americans had never switched their primary bank. Millennials, however, seem more likely to do so; the Millennial Disruption Index found that one in three Millennials are open to switching banks in the next 90 days.
The company said the Kasasa Explores survey also found that 65% of Millennials are more open to switch to a community financial institution if it offered mobile services, such as mobile check deposit. An overwhelming majority of Americans (96%) across all generations say no fees are important when choosing a financial institution for their everyday banking needs, Kasasa said.
“The largest generation in American history, Millennials are a crucial market segment for CFIs to attract and retain,” said Gabe Krajicek, CEO of Kasasa, in a statement.