Gen Z takes money seriously at a young age — and will leave banks that don’t deliver
Many Gen Zers go with Mom & Dad's bank first, but they're a tougher audience than earlier generations. One strike may be all you get if Gen Z thinks you didn't solve their problem, especially since most exhaust self-service before you hear from them. Gen Z has many choices among providers and their expectations are exacting.
Unlike any generation before them, Gen Zers began thinking about building wealth and wealth management very early in life. Many have multiple financial assets, including brokerage accounts, businesses they may own, and even some investments in crypto.
Just over half of Gen Zers surveyed by Charles Schwab are funding a healthcare savings account, not only for present needs. Many of them are doing so in preparation for health costs in their retirement years.
Before long Gen Z will be banking’s key market. Many within this demographic group will inherit their parents’ financial institution choices — at least initially.
Whether they maintain their accounts with those institutions or look elsewhere depends on how well banks and credit unions listen to their needs. Our firm interviewed a range of Gen Zers about their attitudes and expectations of banking products, with a focus on how banking institutions can build loyalty by cultivating trust. Here’s what we heard.
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