A Primax Payments Pulse Shows Payment Preferences by Generation By Kim Ploof, Managing Vice President, Primax the younger generations. Half say they interact with their bank online, compared to 48% who report engaging face-to-face in a branch and 46% who report calling on the phone. Older Millennials — Ages 33 to 40 The older group of millennials prefers to use debit more than any other generation, with more than half (51%) saying it is their preferred payment method. Despite their heavy use of debit, millennials applied for credit cards more than any other generation last year – nearly three in ten (28%) applied for a new credit card in the past 12 months, with 67% receiving a real-time approval or denial. Tech-savvy millennials were the most active generation in the metaverse. A notable 21% say they engaged in a metaverse or metaverse-like experience in the past 12 months. Of those who engaged in a metaverse experience, 70% say they monetized or sold real or virtual products or services. Younger Millennials — Ages 25 to 32 Younger millennials are more likely to participate in modern payment trends like cryptocurrency or NFTs than other generations. They reported interest in learning more about cryptocurrency (53%) and NFTs (44%) from their financial institutions and looking to their banks for more information about financing options. Over half (54%) say that if their bank offered a Buy Now, Pay Later (BNPL) program, they would be likely or extremely likely to use it. Younger millennials are also the most active users of mobile wallet technology. One in two (51%) say they use their mobile wallet at least a few times per month, and 21% use it a few times per week or more. They cite ease of use (70%) and convenience (62%) as the main reasons for using mobile wallet technology. Generation Z – Ages 18 to 24 The youngest generation of adult consumers has experienced far more significant life events in the last year, like changing jobs (43%) and losing their job (18%), than older generations. Unsurprisingly, this group also expressed more financial worries than any other age group, with 83% saying they are concerned about their personal finances due to the current economic outlook. Age is an important factor when it comes to preferences among bank customers, particularly during various life stages and events. Generations of consumers tend to view their finances, make purchases and approach payments differently. In the 2022 Primax Payments Pulse study, we reviewed the differences in payment preferences across multiple generations. Baby Boomers — Ages 58+ Baby Boomers generally have more stability regarding their life events and personal finances — their payment preferences reflect that. Half of bank customers in this generation say that credit cards are their most preferred payment method. They’re also using more established credit card accounts, with only 8% of bank customers in this generation saying they applied for a new credit card through their financial institution in the past 12 months. Baby Boomers are also the generation most worried about the economy. Most (90%) say they are concerned about the overall economic outlook, while about two-thirds (66%) are concerned about the economy’s impact on their personal financial situation. Generation X — Ages 41 to 57 With the continued shift to digital banking channels, fraud is a top concern for many members of Gen X. A majority of these account holders (76%) say they are concerned about identity theft, and nearly half (45%) say they are more concerned about fraud. Although in the past year, only 4% have been a victim of identity theft, and 3% have experienced card fraud. Despite their concerns about fraud, an impressive 92% of bank customers in this generation say they trust their financial institution, more than any of Colorado Banker 22
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