New FDIC Survey Shows U.S. Consumers Turning To Mobile Banking For Greater Control And Convenience

MINNEAPOLIS, Nov. 03, 2016 (GLOBE NEWSWIRE) -- A new study recently released by the Federal Deposit Insurance Corporation (FDIC) reveals that consumers are increasingly turning to mobile and online banking to access and manage their accounts.

From 2013 to 2015, the population of U.S. consumers using online banking increased from 55% to 60%, and those using mobile banking grew at an ever greater pace, from 23% to 32%. The FDIC says consumers appreciate the greater control and convenience these channels provide.

The study also showed that the proportion of households that used a prepaid card in the past 12 months increased from 7.9% to 9.8%, with this growth seen broadly across socioeconomic and demographic groups.

FDIC says that about one in five households identified as "underbanked," and that these households are more likely to rely upon their mobile device as their primary means of managing their financial accounts. The underbanked reported significant benefits from immediate access to account information, including reminders and balance alerts that help keep them on track with their finances.

The FDIC concluded that by providing better and more timely information on balances and transactions, mobile financial services give consumers an important element of control over their financial lives. Mobile financial services can also help address some of the underlying reasons consumers report becoming completely "unbanked," such as wanting to avoid unexpected fees and worrying about low balances. According to the FDIC, the unbanked now represents more than 15 million adults or 7% of U.S. households.

The FDIC report is good news for the Minneapolis-based Cachet Financial Solutions, Inc. (OTCQB:CAFN), purveyor of Select Mobile™ Money, the award-winning cloud-based SaaS platform used by financial institutions and alternative financial services (AFS) providers nationwide.

Select Mobile Money enables these organizations to offer their customers a full suite of mobile financial services, including prepaid general purpose reloadable debit and payroll cards, powered by an easy-to-use, multilingual mobile app available on both Apple iOS and Android devices.