Interest rate is the most important factor for Millenials when choosing a loan.
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Besides interest rate, Millennials are looking for a modern experience, online management tools, and rewards for loyalty. Flexible terms and faster payback capabilities are also important. And more than half say they would open a checking account if it was required to get a loan with these features.
TIP: Find more ways to differentiate your loan. Intuitive online tools to manage their loan, flexibility to pay ahead or skip a payment once in a while, etc. might help you stand out.
Not quite.
Besides interest rate, Millennials are looking for a modern experience, online management tools, and rewards for loyalty. Flexible terms and faster payback capabilities are also important. And more than half say they would open a checking account if it was required to get a loan with these features.
TIP: Find more ways to differentiate your loan. Intuitive online tools to manage their loan, flexibility to pay ahead or skip a payment once in a while, etc. might help you stand out.
Interest rate is the most important factor for Gen X when choosing a loan.
You got it!
Gen X borrowers rank interest rate as the most important factor when choosing a loan. One reason why? This generation is struggling the most with debt. With late payments at 0.54% and the most non-mortgage debt of any generation, what Gen X really needs is transparency and control over their payments.
TIP: Offer financial education and other ways to help borrowers better understand and take control of their debt and financial affairs.
Not quite.
Gen X borrowers rank interest rate as the most important factor when choosing a loan. One reason why? This generation is struggling the most with debt. With late payments at 0.54% and the most non-mortgage debt of any generation, what Gen X really needs is transparency and control over their payments.
TIP: Offer financial education and other ways to help borrowers better understand and take control of their debt and financial affairs.
Older borrowers don't care about a digital application process.
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Both Gen X (age 44-55) and Baby Boomers (age 56-74) will take the time to research loans and submit documents online — meaning a digital application process is a must for this generation. However, both generations want to have a positive in-person experience when closing their loan as well.
TIP: Make sure you have an easy way for consumers to find, learn about, and apply for your loans. That’s where they start their search!
Not quite.
Both Gen X (age 44-55) and Baby Boomers (age 56-74) will take the time to research loans and submit documents online — meaning a digital application process is a must for this generation. However, both generations want to have a positive in-person experience when closing their loan as well.
TIP: Make sure you have an easy way for consumers to find, learn about, and apply for your loans. That’s where they start their search!
Most Millennials and Gen Z define financial success as being debt-free.
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After living through the financial crisis, watching their parents struggle with debt, and incurring massive amounts of student loan debt themselves, 60% of Millennials and Gen Z view debt-free living as the pinnacle of success.
TIP: Highlight any options you have to help borrowers pay off their loans faster to show that you are a partner in helping them get what they want and then get back out of debt quickly!
Not quite.
After living through the financial crisis, watching their parents struggle with debt, and incurring massive amounts of student loan debt themselves, 60% of Millennials and Gen Z view debt-free living as the pinnacle of success.
TIP: Highlight any options you have to help borrowers pay off their loans faster to show that you are a partner in helping them get what they want and then get back out of debt quickly!
Consumers aren't looking for unsecured personal loans.
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According to the Digital Banking Report (May 2019), the unsecured personal loan market is growing 20% annually. With few major banks offering them, consumers have turned to FinTech companies.
TIP: Offering personal loans is a chance for you to edge out megabank competition while providing a better customer experience than the neobanks (just don’t forget the online application!).
Not quite.
According to the Digital Banking Report (May 2019), the unsecured personal loan market is growing 20% annually. With few major banks offering them, consumers have turned to FinTech companies.
TIP: Offering personal loans is a chance for you to edge out megabank competition while providing a better customer experience than the neobanks (just don’t forget the online application!).