Temenos: many Americans ditching cash and expecting all payments to become digital
Three in five Americans expect all payments to be digital in the near future, rising to two thirds among Millennials (67%), according to research from banking platform provider, Temenos.
A survey of 2,000 US adults found that 24% never or rarely use cash (less than monthly), preferring methods such as mobile banking and payment apps.
71% use mobile or online banking for payments with 36% sending account to account transfers via wire or ACH at least monthly.
53% use a payment app like PayPal or Venmo at least monthly while 41% opt for a mobile wallet such as Google Pay or Apple Pay. 26% use QR codes for payments, while 16% do so via some form of cryptocurrency.
Erika Baumann, Director, Commercial Banking & Payments, Datos Insights, says: “At Datos (formerly Aite-Novarica Group), we are seeing increased adoption of digital payments in the US. A lot of factors are influencing this shift including market innovation, increasing choice of payment options and a surge in transaction volumes.”
“As the shift to digital payments continues, more banks are reviewing their payments infrastructure with specific focus on technology and platform choices which enable them to innovate and scale as their business evolves.”
Philip Barnett, President – Americas, Temenos, comments: “It's clear from this survey and our conversations with US banks that American consumers are looking for faster, cheaper and more convenient methods of payment.”
“Temenos is working with US financial institutions of all sizes to modernise their payments capability to adapt and take advantage of these market changes. And we continue to invest in our single code base across core accounts and payments processing, making our offering the most compelling in the market.”
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