We appreciate the time everyone took to attend MK Decision’s webinar 2021’s Top Challenges in Account Opening. The MK team sends a special thank you to American State Bank’s 1st VP and Comptroller Joel Westra for sharing his experience as a newly implemented MK customer. After switching from a legacy provider, Westra knew exactly what he was looking for in MK’s digital account opening platform. His insight paired with MK’s Chief Executive Officer, Har Rai Khalsa’s passion for innovation was the driving force behind the topic of this webinar, making it relatable to an institution looking for a change in provider or wanting to go digital.
Forbes has named Digital Account Opening as the hottest technology for 2021. With this knowledge, how can community financial institutions exceed consumer expectations and open more accounts? In case you missed our webinar, here is a recap of the largest barriers financial institutions face when it comes to opening accounts online.
Awareness Campaigns with a Weak Foundation
Without effective digital channels, your institution could be spending money on marketing that is not reaching your audience. The internet allows you to reach people far beyond your brick and mortar location, but you also could be getting lost in the world wide web. It is costly to compete for consumers against megabanks and does not leave much room for error. Additionally, many platforms make it difficult to measure your Return on Investment (ROI). Put your needs first and prioritize the user’s experience with MK’s platform to onboard applicants digitally and track conversion analytics with ease.
Antiquated Shopping Experience
While having an online presence can assist you in reaching your consumer base wherever they are, it can also be a hindrance if the experience is not intuitive. Text-heavy, antiquated designs do not grab the attention of the user. Unresponsive interfaces may negatively impact your brand, and applicants may lose interest in your institution’s offering.
At MK, we created a digital account opening platform where marketing and decisioning converge. Our customer experience aids applicants in finding the right account option for their needs with an online Store to shop and seamlessly apply with mobile-first Checkout.
Even before the pandemic, community banks and credit unions were losing applicants to megabanks with online applications. Paper-intensive account opening processes exclude generations of consumers who no longer have access to the technology to print or scan their documents.
Going digital is no longer a request but a consumer demand. To compete in the age of immediacy, community financial institutions need to act and fast! Consumers who want to continue banking in-branch will do so, but those who expect an online alternative need to be catered to as not to lose their business.
In-Branch Customer Identification Program
Consider how long it takes an applicant to complete your account opening process. What is your average completion time? 5 minutes? 20 minutes? 60 minutes? Opening an account can be a cumbersome process that often requires in-branch appointments before successful account creation. However, it does not have to be that way.
Imagine an account opening process that was streamlined for the applicant and provided instant identity Decisioning for back-office teams. We have put your best interest first and integrated with IDology’s ID Scan to prepopulate application data and offer real-time identity verification.
Funding by Manual Account Entry or In-Branch Deposit
While microdeposits may seem like a better alternative to in-branch funding, the average consumer does not know their bank account information off-hand. This opens the door to opportunities for human error when manually entering their data into the application. If applicants can successfully input their account information, microdeposits still take between two to three days to process.
Funding accounts with an in-branch deposit is a safe option, but it requires applicants to visit your institution. Before COVID-19, only 35% of 18 to 37 years olds were willing to come in-branch, and now 24% plan to use branches less or stop visiting altogether (Boston Consulting Group, 2020). How can your institution prepare for the shift in-branch visits? MK is here to help. Never lose an applicant when it comes to funding their account. Leverage MK’s Plaid integration for seamless account funding and device identification.
Paper-Intensive Customer Due Diligence
Again with the paper! Consumers have developed an expectation for online shopping experiences. Instead of having applicants complete Bank Secrecy Act questions on paper, opt for something intuitive. Improve your account opening process by switching to an eco-friendly, paperless option as part of their Checkout process. This switch will also aid your back-office team in efficiently risk assessing applications.
Manual Document Preparation
Say goodbye to manual document collection and wet signatures. Go above and beyond your clientele’s expectations by introducing dynamic document generation. Guarantee compliance with state-specific account agreements provided by MK’s Documents. Through CustomerAccount, MK offers everything your team needs to request electronic signatures and document uploads on a secure, cloud-based platform.
Poll Results: In-Branch KYC and Customer Due Diligence
When we asked our webinar attendees about their biggest challenges with account opening, they overwhelmingly responded with In-Branch KYC and Customer Due Diligence. This should be one of your top concerns when looking for a FinTech partner.
Open Accounts Digitally
To learn more about how your institution can overcome these challenges, watch MK’s full webinar here! We understand that each institution has its own unique requirements and goals, and we want to learn about them further. Schedule a discovery call with our Sales team to define your digital transformation together.