Speaking of odd couples, it seems that Generation Y has an attraction for banks—that offer their services online.

A survey by Cisco’s Internet Business Solutions Group says that the thirtysomethings (and younger) want to use online tools for budgeting and savings. In “Cisco Study Finds Social Media is Key to Winning Over Gen Y” in USBanker, Glen Fest reports, “Gen Y’ers are professing high levels of trust in financial institutions that deliver professional advice… through interactive or social media.” The downside is that banks are largely unprepared. “Other than pilot projects in online personal financial management, most banks are still not adequately speaking to Gen Y’ers,” says Fest. So, will this be another case of unrequited love, or the start of a beautiful—and perhaps, for the banks, fruitful—relationship?

The SSN Take: Banks need to catch up or they’ll be left behind.

John Sniffen, March 12, 2010

Note: Post not sponsored.

John Sniffen