Coronavirus fuelling growth in digital management of savings
New research from Investec reveals that once the worst of the coronavirus pandemic is over and the lockdown is lifted, 45 per cent of people with savings accounts believe they will be more likely to manage them online using digital services such as apps than they were before the crisis.
When asked why, 21 per cent said that during the crisis they started to use digital services to manage their savings and money for the first time and have got used to this now. Similarly, 38 per cent said they used these digital services before the crisis but have been using them more since the lockdown and will continue to do so afterwards. However, four out 10 (41 per cent) say they will use digital services more to manage their money because they want to visit branches less and reduce their chances of catching Covid-19.
Linda Brown, Head of Savings at Investec, says: “The use of digital services to manage savings and money has been increasing for years, but our research suggests that the Coronavirus crisis has turbo-charged this trend. More people have been forced to use banking apps and other digital services and appreciate the benefits they offer in terms of time saved, and have become more comfortable using them.”
Research earlier this year from Nucoro, the London based fintech company revealed that between 14 March and 14 April, because of the Coronavirus lockdown, around 12 per cent of the adult population in the UK – some six million people - downloaded their bank’s app for the first time. In terms of the level at which people are using their bank’s app overall, Nucoro’s research found that 22 per cent are using them more, compared to 5 per cent who have seen their use of them fall. Of those people who are using them more, the research found that 62 per cent have seen usage increase by over 10 per cent since the Coronavirus crisis, and 11 per cent are using them by over 50 per cent more.