TD Bank | Checking Experience Index 2015
September 2015
Overview
•
TD Bank’s 3rd Checking Experience Index - better understanding consumers’ checking account experiences,
behaviors and attitudes.
Methodology
• The total sample includes 1474 respondents who have
checking accounts. Sample includes boosters for:
• Boston (300)
• Hispanic (150)
• Millennial (588)
• Gen Z (170)
• Data has been weighted by age, gender and region to reflect
the population.
• The survey was fielded September 10th – 16th 2015.
•
This report presents the findings in summary charts and
tables. The statistical cross-tabulations are reported under
separate cover.
•
Significance is tested at 95% confidence interval and is
represented by circles: significantly higher
significantly lower
Financial Accounts/Products Owned or Used
2014
2015
91%
90%
Checking account
78%
78%
Debit card or check card
73%
70%
Savings account
69%
67%
Credit card
Hispanic
Gen Z
18-34.
90%
75%
84%
77%
71%
79%
68%
68%
72%
70%
33%
55%
Investments
33%
34%
30%
5%
19%
Mortgage
32%
32%
28%
2%
19%
9%
8%
7%
6%
10%
12%
2%
11%
Reloadable prepaid card
Home equity loan/Line of credit
13%
10%
Q1. Which of the following types of financial accounts or products do you currently have/use?
Day-to-Day Checking Account Experience
Satisfaction with Primary Checking Account
• Satisfaction with Primary Checking Account has remained stable year over year.
Top 2 Box
Extremely satisfied
2013
2014
2015
80%
82%
83%
39%
42%
41%
Very satisfied
Somewhat satisfied
Not very satisfied
41%
40%
42%
16%
2%
15%
2%
Hispanic
Gen Z
18-34
43%
41%
40%
34%
41%
41%
20%
17%
17%
2%
1%
1%
1%
0%
0%
78%
82%
81%
Hispanic
Gen Z
18-34
42%
47%
41%
40%
39%
45%
18%
14%
14%
0%
0%
0%
82%
86%
86%
Not at all satisfied
18%
2%
Top 2 Box
Day-to-Day Experience with Checking Account
• Day-to-day experience with primary checking account has also remained stable.
Top 2 Box
Excellent
2013
2014
2015
83%
86%
86%
40%
45%
44%
Very good
Okay
Not very good
43%
41%
42%
16%
1%
13%
1%
14%
Q7. All things considered, how satisfied are you with your primary checking account?
Q8. How would you rate your day-to-day experience with your checking account?
Top 2 Box
Rating of Day-to-day Banking Experience
Day-to-Day Banking Experience (Excellent/Very Good)
• Friendly and helpful service, accessibility and providing services that make life easier score top praise.
• For the most part, ratings of individual experiences remain stable.
• Gen Z gives slightly lower rating for responsiveness and transparency, however are happy with the products and service!
2013
2014
2015
Hispanic
Gen Z
18-34
Accessibility
83%
85%
85%
83%
86%
81%
Friendly and helpful service
83%
83%
86%
81%
87%
84%
Making my day-to-day banking easier
81%
82%
83%
84%
84%
84%
Responsiveness to questions and/or concerns
80%
80%
81%
77%
76%
80%
Knowledgeable bank representatives
78%
81%
81%
77%
85%
79%
Easy to understand products and services
76%
79%
79%
79%
84%
79%
Providing banking options that are right
74%
80%
79%
83%
85%
80%
Transparency
71%
76%
69%
69%
78%
84%
80%
Provide services/features that make life easier
N/A
72%
79%
74%
81%
Q9. Thinking about your primary checking account and your day-to-day banking needs, how would you rate your bank on each of the
following?
Rating of Day-to-Day Services/Features
Rating on Bank Providing the Following (Excellent/Very Good)
• Gen Z give higher ratings for Mobile banking, debit cards and online transfers. Hispanics find their bank less convenient.
2014
Hispanic
Gen Z
18-34
93%
86%
86%
75%
74%
75%
72%
74%
69%
2015
83%
Easy to use online banking
84%
72%
Convenient banking hours
Convenient branch locations
72%
72%
65%
Convenient ATMs
69%
70%
74%
71%
71%
Mobile banking
66%
72%
81%
87%
84%
Debit card or check card
83%
84%
88%
93%
88%
Online transfers with your bank
80%
82%
80%
84%
83%
Online bill pay
78%
79%
85%
74%
76%
69%
65%
76%
71%
68%
73%
75%
74%
74%
74%
70%
80%
Online transfers to another institution
Remote check deposit
Call center availability
61%
N/A
72%
Value to Day-to-Day Banking Services/Features (Ranked 1 or 2)
• The value of Mobile banking slightly increases. Gen Z consumers value the use of mobile banking far more than the National average.
2014
Debit card or check card
39%
Easy to use online banking
33%
Convenient branch locations
Hispanic
Gen Z
18-34
35%
31%
43%
41%
32%
27%
22%
29%
14%
13%
12%
2015
26%
22%
Online bill pay
21%
18%
21%
11%
14%
Convenient ATMs
21%
21%
17%
22%
21%
Convenient banking hours
18%
18%
11%
16%
11%
17%
24%
39%
32%
21%
14%
14%
10%
5%
7%
Mobile banking
Online transfers within your bank
13%
12%
13%
Online transfers to another institution
8%
7%
Remote check deposit
8%
9%
11%
10%
13%
7%
14%
5%
6%
Call center availability
NA
Q10. And how would you rate your bank on providing you each of the following?
Q11. Please rank each of the following in order of most valuable to you when you think about your day-to-day banking needs, to least
valuable.
Role of Checking Account Services
• Debit/check card importance has slightly declined since 2014.
• Gen Z respondents show to value their debit/check card and mark it as essential when owning a checking account. Over 40% find
their Mobile App essential (compared to 22% Nationally).
2015
Debit Card/
Check Card
Essential in 2014
60%
Remote Check Deposit
13%
17%
Essential
56%
Convenient
Nice to have
Not necessary
24%
9%
11%
Online transfers
within bank
34%
35%
28%
Online transfers
to another FI
17%
20%
Online Bill Pay
38%
37%
37%
29%
16%
12%
Q12. Which statement best describes each of the following services associated with your checking account?
22%
33%
19%
18%
12%
32%
25%
21%
n/a
27%
34%
26%
My bank’s
mobile app
Role of Checking Account Services
Debit Card/
Check Card
Remote Check Deposit
Online transfers
within bank
Hispanic
Gen Z
18-34
Hispanic
Gen Z
18-34
Hispanic
Gen Z
18-34
60%
74%
71%
28%
20%
27%
36%
42%
39%
27%
20%
19%
28%
36%
34%
39%
42%
37%
6%
5%
7%
20%
34%
26%
18%
13%
18%
7%
1%
3%
23%
11%
14%
7%
3%
6%
Online transfers
to another FI
Online Bill Pay
My bank’s
mobile app
Hispanic
Gen Z
18-34
Hispanic
Gen Z
18-34
Hispanic
Gen Z
18-34
25%
26%
26%
42%
33%
39%
36%
41%
43%
35%
37%
34%
31%
42%
34%
30%
36%
30%
27%
22%
25%
21%
17%
18%
17%
16%
14%
13%
15%
15%
6%
8%
9%
17%
6%
12%
Q12. Which statement best describes each of the following services associated with your checking account?
Fees Associated with Primary Checking Account
• Overall, 60% pay at least one fee on their primary checking account, consistent with this time last year.
• Gen Z are far more likely to say they are paying fees (83%).
2013
2014
Overdraft fee
36%
ATM fee (non-bank)
32%
Hispanic
Gen Z
18-34
38%
41%
48%
48%
35%
36%
49%
45%
2015
40%
33%
Minimum balance fee
14%
15%
20%
25%
30%
27%
Monthly service fee
13%
17%
17%
27%
17%
21%
ATM fee (bank)
4%
4%
7%
9%
11%
11%
Check processing fee
4%
3%
6%
6%
8%
9%
Online banking fee
4%
3%
4%
2%
8%
8%
Per transaction fee
3%
3%
5%
7%
9%
9%
31%
17%
25%
No fees/uncertain
43%
41%
39%
Average Minimum Balance to Avoid Fees:
2013: $953
2014: $750
2015: $1,065
Q15. What types of fees are associated with your checking account?
Q17. What is the minimum balance required for your checking account in order for you to not pay a fee?
Number of Transactions & Experience
Number of Transactions Per Week
• Gen Z are actively banking and conduct more mobile, online banking and debit card transactions than the average.
Debit card/ check card
4.6
Online banking
2.7
Hispanic
Gen Z
18-34
5.2
6.7
6.3
3.3
3.8
3.4
Online bill pay
1.7
1.6
1.6
1.6
ATMs associated with your bank (in network)
1.4
1.7
1.9
1.9
Mobile banking
1.2
2.0
2.3
2.4
Online account-to-account transfer within your bank
0.9
0.7
2.0
1.4
In branch
0.8
0.7
1.6
1.1
Remote check deposit
0.6
1.2
1.2
1.0
ATMs not associated with your bank (out of network)
0.6
1.0
1.2
1.0
Telephone banking
0.5
0.6
1.0
0.9
Online account-to-account transfer to another institution
0.5
0.6
1.0
0.9
Hispanic
Gen Z
18-34
93%
92%
94%
93%
Online account-to-account transfer within your bank
91%
88%
91%
91%
Online banking
90%
87%
93%
90%
ATMs associated with your bank (in network)
88%
84%
90%
88%
Mobile banking
88%
93%
92%
87%
Online bill pay
88%
93%
81%
86%
In branch
86%
85%
75%
78%
Remote check deposit
83%
89%
73%
83%
Online account-to-account transfer to another institution
81%
88%
85%
86%
79%
72%
80%
74%
61%
65%
Rating of Transaction Types (Excellent/Very Good)
Debit card/ check card
Telephone banking
ATMs not associated with your bank (out of network)
77%
61%
Q18. On average, about how many transactions do you execute each week using each of the following methods? Transactions could
include making deposits, withdrawals, money transfers, paying bills, etc. Q21. How would you rate your experience with each of the
following?
Channel Preferences
Channel Preference for Transactions
• Online banking is the most preferred transaction. Mobile banking is second for Gen Z.
2014
Online banking
2015
51%
46%
Hispanic
Gen Z
18-34
47%
38%
41%
In branch
20%
20%
9%
14%
11%
ATMs associated with bank (in network)
18%
19%
24%
19%
23%
14%
28%
23%
Mobile banking
7%
10%
ATMs not associated with bank (out of network)
2%
2%
3%
0%
1%
Telephone banking
2%
2%
3%
0%
1%
Security Concern (Extremely/Very Concerned)
• ATMs out of network, payment platforms and telephone banking are the greatest concern for personal information risk.
2015
Hispanic
Gen Z
18-34
ATMs not associated with bank (out of network)
53%
68%
51%
53%
Peer-to-peer payment platforms
51%
65%
46%
57%
Telephone banking
50%
86%
49%
55%
Mobile banking
42%
50%
33%
40%
Online banking
39%
53%
34%
39%
ATMs associated with bank (in network)
36%
51%
34%
40%
51%
37%
38%
In branch
31%
Q20. What channel do you most prefer conducting transactions with on your checking account?
Q22. How concerned are you about the security of your account/personal information when using each of the following?
Account Issues & Switching
First Point of Contact for Issues Concerning Checking Account
• Over the phone or in-person contact is most preferred for resolving checking account issues.
Hispanic
Gen Z
18-34
Telephone
32%
31%
32%
30%
In branch
31%
23%
25%
19%
33%
30%
36%
My bank’s website
27%
My bank’s mobile app
5%
10%
12%
11%
Social media
2%
3%
2%
3%
Other
2%
0%
0%
1%
Closed Checking Account in the Past 2 Years
• 9-in-10 respondents have not closed or switched their checking account in the past 2 years.
2015
2014
YES
YES
8%
Hispanic
Gen Z
18-34
YES
19%
26%
18%
NO
81%
74%
82%
11%
89%
92%
NO
NO
Q23. Thinking about the last time you had a question or concern about your checking account, where did you first go to resolve the
issue? Q25. Have you closed or switched your primary checking account in the last 2 years?
Preferred Banking Methods
Preferred Method of Payment of Day-to-Day Purchases
• Cash as a preferred method for day-to-day purchases has slipped this year. Debit is a must for Gen Z.
2014
2%
Cash
Credit Card
2015
Gen Z
18-34
19%
23%
18%
29%
13%
26%
52%
63%
56%
0%
1%
1%
Hispanic
Gen Z
18-34
49%
36%
44%
32%
53%
42%
22%
30%
43%
47%
Debit Card
Prepaid Card
Hispanic
31%
26%
Preferred Method for Checking Balance
• Overall, online banking website is the most preferred method for checking your balance.
• Gen Z is more likely to use the mobile app and less likely to use online banking.
59%
My bank’s online banking
21%
My bank’s mobile app
My bank branch
7%
3%
2%
2%
An ATM
5%
9%
3%
4%
Telephone banking
4%
4%
0%
2%
Text message
1%
2%
4%
2%
A personal finance
0%
0%
0%
0%
None of the above
3%
1%
1%
2%
Q5. What is your preferred method of payment for your day-to-day purchases?
Q29. When you want to check the balance in your checking account, where do you go first?
Preferred Banking Methods
Preferred Method for Online Purchases
• Nationally, credit cards lead the set for online shopping purchases. Hispanics and Gen Z prefer a debit card.
Credit card
42%
Debit card
31%
PayPal
19%
Hispanic
Gen Z
18-34
34%
18%
29%
39%
60%
47%
17%
10%
16%
Gift Card
3%
4%
7%
4%
Prepaid Card
2%
2%
1%
2%
Apple Pay
0%
0%
0%
1%
I never make online purchases
3%
3%
4%
3%
Preferred Method for Holiday Purchases
• Similarly, credit cards is the preferred method of payment when shopping during the Holidays.
• Hispanics and Gen Z prefer a debit card.
43%
Credit card
40%
Debit card
6%
Hispanic
Gen Z
18-34
35%
18%
34%
47%
66%
50%
7%
4%
3%
Prepaid Card
2%
2%
2%
3%
Gift Card
2%
1%
5%
6%
Apple Pay
0%
1%
0%
1%
Google Wallet
0%
1%
0%
0%
6%
5%
3%
PayPal
Cash & Other
7%
Q35. What is you preferred method of payment for online purchases? Q36 What is your preferred method of payment when shopping
during the holidays?
Preferred Banking Methods
Preferred Method to Transfer Money
• The go-to method for transferring money from one account to another in online banking.
• While only 14% overall are using their bank’s mobile app, this increases to 37% among Gen Z.
My bank's online banking
54%
Hispanic
Gen Z
18-34
51%
37%
47%
My bank's mobile app
14%
25%
37%
29%
My bank branch
14%
10%
13%
10%
An ATM
3%
4%
1%
4%
Other
2%
2%
0%
0%
8%
11%
10%
None of the above
13%
Q34 When you want to transfer money from one of your bank accounts to another, where do you go first?
Preferred Method when Paying Bills
Methods Used to Pay Bills
• Traditional checks continue to be a go-to method to pay bills. Gen Z reaches for their Debit card.
Check that I write and send
40%
Debit card
35%
Online
32%
Credit card
27%
Hispanic
Gen Z
18-34
29%
21%
26%
42%
47%
47%
25%
21%
26%
34%
13%
29%
Cash
18%
23%
21%
22%
Check that my bank sends on my behalf
17%
13%
3%
11%
4%
1%
4%
Prepaid Card
2%
Specific Online Methods
• Online bill pay via the bank and recipients website are the most popular online payment methods.
Hispanic
Gen Z
18-34
78%
54%
60%
36%
27%
53%
10%
19%
13%
21%
9%
8%
13%
15%
1%
6%
My bank's online bill pay
64%
50%
Online Bill Pay via the recipient's website
My bank's mobile app
PayPal
A peer-to-peer payment platform offered by my bank
3%
0%
Google Wallet
3%
0%
0%
7%
Popmoney
2%
0%
1%
5%
Square Cash
2%
0%
1%
4%
SnapCash
1%
0%
0%
4%
Venmo
1%
0%
1%
3%
3%
8%
5%
Other
4%
Q37. Which of the following methods do you use to pay your bills? Please think of all your bills such as rent, utilities, cell phone, etc.
Q38. More specifically, which online methods do you use to pay your bills?
Use of Alternative Services to Pay Someone
Used in Past 3 Months to Pay Someone
• Used by nearly half, PayPal is the most popular service.
PayPal
Google Wallet
47%
7%
Hispanic
Gen Z
18-34
46%
41%
55%
10%
3%
12%
Venmo
4%
7%
2%
7%
A peer-to-peer payment platform offered by my bank
4%
2%
7%
6%
Square Cash
3%
5%
5%
7%
SnapCash
3%
6%
2%
6%
Popmoney
2%
3%
0%
4%
41%
49%
36%
47%
None of the above
Satisfaction with Services
• Satisfaction is strong for those using these services.
Extremely satisfied
PayPal
88%
Google Wallet
91%
Venmo
82%
47%
54%
48%
Very satisfied
Peer-2-Peer
89%
56%
Somewhat satisfied
Not very satisfied
41%
Not at all satisfied
11%
1%
37%
7%
33%
16%
33%
10%
Q30. Which of the following services have you used in the past three months to pay someone? Q31. All things considered, how satisfied
are you with each of these peer-to-peer payment platforms?
Use of Alternative Services to Pay a Business
Used in Past 3 Months to Pay Someone
• Only 11% have used a new payment service to pay a business. Hispanics seem earlier to adopt.
Hispanic
Gen Z
18-34
12%
7%
14%
Google Wallet
7%
Apple Pay
6%
10%
6%
10%
Samsung Pay
3%
4%
2%
6%
81%
88%
80%
None of the above
89%
Satisfaction with Services
• Satisfaction is strong for those using these services.
Google Wallet
81%
Extremely satisfied
Apple Pay
98%
47%
68%
Very satisfied
Somewhat satisfied
Not very satisfied
35%
Not at all satisfied
16%
30%
2%
Q30. Which of the following services have you used in the past three months to pay someone? Q31. All things considered, how satisfied
are you with each of these peer-to-peer payment platforms?