Royal Bank of Scotland least trusted bank for online bank transfers

RBS website

New research finds that one in three still don’t trust online bank transfers despite branch closures leaving no other option.

Since 2015, 3,836 bank and building society branches have closed, making online banking the only option for some consumers.

With HSBC marking the latest significant closures in the banking world, research from anti-money laundering specialists,

Faster Payments’ figures show that over two billion online bank transfers were carried out in the UK in the year leading up to September 2020, with a total transactional value of £1.3 trillion.

Despite this vast number of online bank transfers taking place, one in three consumers stated they do not trust bank transfers to be carried out safely and securely online.

The research also shows varying levels of trust across banks when it comes to money transfers.

In terms of age groups, 65+ year olds are the most sceptical, with 42% of this age group not trusting bank transfers to be carried out online. Surprisingly, the most trusting age group of online bank transfers are 55–64-year-olds, as three quarters trust bank transfers to be carried out safely and securely online.

Another intriguing finding is that 18-24-year-olds are the second most sceptical age group of online banking, with only 28% of these trusting they are 100% safe to conduct all their banking needs online.

Advising consumers on what to consider when it comes to bank transfer security, John Dobson, CEO at SmartSearch, who commissioned the research added: “Online bank transfers are incredibly convenient, especially compared to what we had just over a decade ago. However, there is clearly some way to go in ensuring consumers feel safe to use them.

“If banks take further steps to communicate trust to their customers, ensuring the right systems are in place to make online bank transfers as safe and secure as possible, consumer adoption and confidence in online bank transfers should increase.

“Our Trust Barometer tool pulls live Twitter sentiment towards high street and digital banks, highlighting how retail banking institutions are performing when it comes to trust from their customers.”