While UK citizens in their 70s still shun online banking, those between 50 and 69 adopting online banking. The availability of mobile devices and busy lifestyles are the main drivers of this trend.
Time management demands lead to change in money management habits
According to a January 2014 GfK study, UK residents use of digital electronic communications devices between the ages of 50 and 69 is on the rise. At this pace, adults in their 50s and 60s are mirroring teenagers in their use of technology and are more technologically astute that those in their 70s.
As the GfK data reveals, more than half of those in the 50-to-59 age range own a mobile device that provides internet access. Further, one-third of those between the ages of 60 and 69 own mobile devices with internet access. However, only 9% of adults over the age of 70 own a mobile phone device. Additionally, the data shows that one-fith of those in their 50s own a tablet device while 13% of those in their 60s own a tablet device. This number continues to decrease with age, as only 5% of those over 70 own a tablet device.
The increased use of wireless technology in adults is accompanied by related behavioral changes. As adults between 50 and 69 are becoming increasingly connected to the internet through their cell phones and tablets, conducting online transactions is becoming easier. Over half of adults in this age range reported that they managed their bank account online while only 13% of those over 70% utilized online banking.
GfK asserts that family and work schedules contribute to this trend. Because those between 50 and 69 work longer and support their children into an older age, they possess greater time management challenges. About 80 percent were employed and a high percentage of those over 50 provided financial support to adult children.
According to figures from the Auriemma Consulting Group, there are still limitations to the technological inclinations of older adults. As the Q3 2013 data reports, only 9% of 55- to 64-year-olds expressed interest in using a mobile wallet to facilitate mobile payments. Further, only 4% of those over 65 were interested in the mobile wallet service. Thus, are willing to embrace minor time-saving conveniences, they are still reluctant in their willingness to fully embrace digital technology for the management of their financial affairs.