Generation Y Banking

Looking back in time we can easily see the differences in how banking was done. In the past, everything was generally done in person at the bank; whether you are paying bills, checking account balances, transferring money, etc.

Today, as we are in the 21st century of banking; we rarely have to go to the bank, unless we are depositing money or opening a new account. Generally speaking, the majority of transactions can be done online, or through the telephone.

If we use myself as an example, I can tell you right now the only reason I have to go to the bank is to deposit money, or stop by the ABM and withdraw money. Anything else I have to do I will do online, making sure the task is done by myself, ensuring it has been accomplished. I once decided to pay my credit card while I was at the bank depositing money, and it turned out the teller paid it from my account rather than the cheque I had just deposited, which was a procedure I had done several times before. The teller then told me that nothing can be done to reverse the transaction and I was to go on the new 7 days without any money in my account as they hold my cheque. I spoke with another teller and got the transaction reversed but it did teach me that everyone is human, and rather than have someone else pay your bill, you might as well do it at home and ensure it gets done properly.

If you look at your grandparents, particularly because they are of the previous generation, you will find they prefer to do their banking in person. Doing this allows them to get to know their bank, and the faces behind it. Nothing is wrong with it, but as we head into the future, you will find more mature faces in the bank doing their day to day banking, rather than younger people. This was how it was done 20 years ago, and previous generation does not see much purpose in changing how they bank. Generation Y prefers to only go to the bank if it is completely necessary, they do not want to waste time doing what can take them a few minutes to do at home.

Interestingly enough, I have heard many friends, who work as customer service representatives (CSRs) explain how they tend to find older people not wanting to change how they do banking. They have tried to explain the benefits of using online banking and telephone banking, however rarely have prevailed in conforming the previous generation. I personally do not blame them, if banking was to take a drastic change in the future, I doubt I would immediately change.

People tend to stick with what works, and what they know.

Online banking has developed quite remarkably; aside from checking our account balances, paying bills, and transferring money from account to account, we can now email money to various people. Interac Email Money Transfers are a widely used method of sending money to people as it is an instantaneous process, especially useful to send to someone who is with another bank.

The beauty of banking for our generation is that we have moved even further than just online banking or telephone banking. We are now getting into mobile banking, which is ideal for people constantly on the move.

You are now able to check your account balance, transfer money, view transactions and much more from your mobile phone. Technology is simply fantastic; I have been reading lately how banks in the U.S. are allowing cheques to be deposited through images from your phone. I cannot wait to see that technology developed further and how the Canadian public takes it.

We may have seen many changes in banking over the past 5 years, however it will definitely not stop here. I can only imagine what will come in the next few years, we can only go up from here, and the possibilities are endless.

image source: Arvind Balaraman