Why Most Bank Mobile Apps Still Lack Voice-Enabled Virtual Assistants

Voice technology has become a routine part of everyday life. Consumers regularly use Siri, Alexa and Google Assistant to search for information, control devices and complete basic tasks. Automakers have also integrated conversational voice tools into many newer vehicles.

However, voice access remains uncommon in banking apps. According to the latest Keynova Group Mobile Banker Scorecard, only two of the 17 major financial institutions reviewed provide voice interaction through their mobile virtual assistants: Bank of America’s Erica and U.S. Bank’s Smart Assistant.

Voice Banking Is Becoming a Customer Expectation

Susan Foulds, managing director at Keynova Group, says voice interaction is becoming a standard part of the digital experience. Consumers are increasingly comfortable using voice commands for internet searches, artificial intelligence tools and everyday mobile tasks.

Although banks face more regulatory, security and compliance requirements than many other industries, Foulds believes financial institutions need to make greater progress in voice-enabled banking. Customers increasingly expect digital services to be convenient, accessible and easy to navigate.

“Today, there are certain things that consumers just expect in an experience,” Foulds said.

Banking Tasks That Could Benefit From Voice Control

Voice-enabled virtual assistants can provide a hands-free way to navigate banking apps and retrieve account information. This can be especially useful for customers with visual impairments, physical disabilities or other accessibility needs.

Keynova identified several banking tasks that could be improved through voice interaction, including:

• Scheduling bill payments
• Viewing Zelle transactions
• Sending person-to-person payments
• Scheduling account transfers
• Managing debit card controls
• Viewing recent deposits
• Opening the appropriate screen based on a spoken request
• Checking a credit score on demand

Bank of America’s Erica can reportedly handle all of these requests. U.S. Bank’s Smart Assistant can complete more than half of them, according to the Keynova analysis.

Voice access may not be practical in every setting, such as a crowded store or public transit. However, customers may find it useful at home, in the office or whenever they need to complete a banking task without navigating several screens manually.

Mobile Banking Security Is Advancing Slowly

The Keynova study also examined mobile banking security and found that financial institutions are gradually moving beyond traditional safeguards such as security questions and one-time passcodes.

Passkey authentication is one area where adoption is growing. Passkeys use a customer’s device and biometric authentication, such as facial recognition, to create a secure connection with a specific app or website.

Keynova found that 18% of the banks reviewed offer passkeys for their mobile apps, while 29% provide the option through mobile web services. Wells Fargo, Capital One and Chase were the only institutions in the study offering passkey authentication for mobile app logins.

Additional authentication is also becoming more common for sensitive account actions. Nearly half of the banking apps reviewed, or 47%, require multifactor authentication or another verification step when customers reset a PIN. The same requirement applies to 41% of the banks’ mobile websites.

Almost one-quarter of the financial institutions studied use their mobile apps as authenticators. These tools can deliver push notifications, approve login requests and help customers access their accounts from new devices or browsers.

There Is No Single Security Strategy for Every Bank

The right mobile security approach depends on the type of product, transaction or information a bank is protecting. Financial institutions often apply stronger authentication requirements to higher-risk activities.

Keynova identified Citibank as one example of a bank using layered security controls. Citi requires additional sign-in steps for wire transfers and ACH transactions. Certain high-risk activities may also require biometric verification and a six-digit PIN.

Some banks allow customers to activate optional one-time passcodes for every login. This can be helpful for households where multiple people may have access to a device or for customers who want additional protection beyond the default login process.

Mobile security is especially important because phones are often used throughout the day and may be left unattended in shared spaces. Strong authentication can help reduce the risk of unauthorized access when a device is temporarily available to someone else.

Bank App Accessibility Is Improving, But Gaps Remain

Reading and navigating a banking app can be more difficult on a small mobile screen than on a desktop or laptop. The Keynova study found that roughly half of the financial institutions reviewed offer display features designed to improve readability.

These tools may include adjustable text sizes, light and dark display modes and landscape orientation. Such features can make it easier for customers to review account details and complete transactions.

Access to important policies is less consistent. Fewer than half of the banks studied provide links to accessibility policies through their mobile apps and mobile web login screens.

Keynova said financial institutions will need to close these policy and accessibility gaps as customer expectations evolve. Consumers increasingly want the same level of transparency, control and accessibility across every banking channel.

The Future of Voice-Enabled Digital Banking

Voice technology could become an important part of the next generation of mobile banking. Virtual assistants that understand spoken requests may help banks deliver faster navigation, more convenient account access and better support for customers with disabilities.

For now, most major banks still rely primarily on text-based virtual assistants. As consumers become more accustomed to voice interaction across smartphones, vehicles and smart home devices, financial institutions may face growing pressure to offer the same convenience in their mobile apps.

Author: Steve Cocheo, Senior Executive Editor at The Financial Brand.

Source: TheFinancialBrand.com