Mixed Reactions to Pay-by-Bank: Access PaySuite Survey Highlights

Adoption rates for open banking payments are on the rise, according to the latest report from payments solutions provider, Access PaySuite. Since the introduction of open banking in 2018, various businesses have integrated this technology into their websites, including lenders (42%), building societies (17%), and credit unions (11%), as outlined in The Fintech Times.

Despite this growth, a recent survey by Access PaySuite reveals that consumer attitudes towards open banking payments, also known as pay-by-bank, are varied. Currently, 34% of consumers use open banking technology for payments in financial services, while 22% express interest in using it in the future. However, 16% have not used it and are hesitant, 13% stated they would never use it, and 15% remain unsure.

The survey highlights that younger demographics are more inclined to use open banking payments, with nearly half of 25 to 34-year-olds and 37% of 18 to 24-year-olds utilizing it. In contrast, over one in four of those aged 55 and above have used open banking, with an additional 17% showing interest in future use.

Giulio Montemagno, managing director of Access PaySuite, commented on the findings: “Digital payment methods are more popular than ever, but financial services must evolve to meet all customer needs. Offering a variety of quick, frictionless payment options is crucial. While open banking adoption is on the rise, there is a significant need to educate consumers about its benefits and alleviate their concerns.

“Some customers feel their current financial services do not meet their payment expectations. This highlights a clear opportunity for innovation in the industry to address these gaps and adapt to evolving consumer demands. This shift not only enhances customer experience but also drives the industry towards a more inclusive and efficient future.

“Aside from this, the benefits of offering multiple payment methods for merchants, at both a local and international level, are undeniable. By enabling seamless access to financial data and services across different banking organizations, open banking invites businesses to reap the rewards of cross-border payments, additional revenue streams, and wider potential customer reach.”