Consumer Payment Card News

Financial Needs

A new research report has found that nearly two-thirds of Americans prefer to have all their eggs in one basket when it comes to their financial needs. However, the study found that 77% of consumers currently use a credit card from a financial institution other than their primary bank. The report, by InsightExpress, found few Americans actually conduct business with their primary bank when it comes to acquiring a loan. More than three-quarters of Americans obtained their auto loan from a lender other than their primary bank and 72% secured their mortgage from an institution other than their primary bank. The study by InsightExpress, involving 500 banks, found that the lack of incentives was the key reason the primary bank cannot fulfill all their customer’s needs. For example, 28% wanted the opportunity to earn rewards points towards merchandise or travel, and 41% want reduced bank/ATM fees.

Inducements To Keep Customers % of Americans Agreeing

Free checking 46%

A higher interest rate on checking/savings account(s) in
exchange for taking a loan with my primary bank 43%

Reduced Bank/ATM Fees 41%

Free online banking 40%

Consolidated monthly statements for all accounts 30%

A lower rate on my loan in exchange for maintaining a higher
minimum balance in my checking/savings account(s) 29%

The opportunity to earn rewards points towards merchandis
or travel 28%

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