Online banking has hit a new high with over two thirds of UK consumers conducting the majority of their banking activities on the internet in 2006, compared to one in five in 2005, according to Lloyds TSB.
In addition, 57% of the people surveyed said that they banked via the internet more often this year. The research revealed that only one in 10 people said that they never managed their money online.
In a surprise turnaround, an astonishing 70% of over-50s claimed that they preferred to bank online over any other method of money management. However, those aged between 18 and 25 were the least likely to use internet banking, with 36% claiming that they preferred to use telephone banking or visit their local branch.
The primary benefit of banking online is the availability of the service, which is accessible 24 hours a day, seven days a week. Those who don’t currently bank online said that the main reason was that they were happy with the way they bank now.
The growth of internet banking is phenomenal and this year is set to break records. We now have over four million registered internet banking customers and the 2nd January was the busiest internet banking day we’ve ever had with around 10 customers logging on every second, commented Anita Hockin, head of internet at Lloyds TSB. This popularity isn’t surprising given the convenience of banking online. It’s possible not only to check your balance, but also to pay bills, set up standing orders and direct debits and move money between accounts at the touch of a button.