The March 2023 report analyzes U.S. neobanks, which have emerged through digital banking and shifting consumer behavior. Unlike traditional banks, most are not chartered and rely on partners to deliver services via digital channels. About 11% of U.S. consumers with an FI relationship use a neobank as their primary provider, with 42% being millennials and only 11% baby boomers or older. Nearly 77% have household incomes under $75,000, and improving credit scores is their top financial goal. Neobank customers value early deposit, on-demand pay, P2P services, and mobile wallet provisioning more than the general banked population.

Join for free to read