Mobile person-to-person (P2P) transfers are increasingly replacing cash and checks for informal transactions, particularly among millennials, according to the 2015 Bank of America Trends in Consumer Mobility Report. Convenient, easy-to-use mobile P2P apps such as Venmo and Google Wallet enable users to send money to each other without visiting ATMs to get cash or banks to cash checks.
Because of its ubiquitous nature, the smartphone is expected to become the primary digital banking channel, especially among millennials.
The 2015 Bank of America Trends in Consumer Mobility Report reveals that 38% of U.S. adult consumers never disconnect from their smartphones. Bank of America says 89% of U.S. adults check their smartphones at least several times daily, and 36% report they constantly check their devices. This growing dependency is visible in managing finances, as well.
62% of the consumers who use a mobile banking app access it at least a few times a week, while 20% check it at least once a day, according to the Bank of America report. Also, 51% of respondents use mobile or online banking as their preferred method of banking. Less than a quarter (23%), including six percent of younger millennials aged 18–24, complete the majority of their transactions at branches.
The 2015 Bank of America Trends in Consumer Mobility Report results show that the smartphone is to become the foundational banking channel in the near future, especially among the expanding segment of young users.