Just one in 100 people have their main account with a digital bank, according to a new survey.
The survey, carried out on behalf of the Department of Finance, found that, despite the influx of new banking products, 97% of people do their main banking with a traditional retail bank.
The survey also highlighted a growing age divide, with younger customers carrying out most of their banking online and older customers preferring to visit their branch.
Nearly one-quarter of the Irish population still considers in-branch visits their main form of contact with the bank – a figure that rises to 55% for over-65s.
Meanwhile debit cards are now the preferred method of payment for 57%; however, one-five-adults still prefer cash.
More than one-third (36%) of people over 65 still use cash 70% of the time.
Meanwhile, 41% consider their mobile banking app to be their primary form of contact, with that figure rising to 55% for under-24s.
The survey was carried out as a part of the Government’s Retail Banking Review, which is due to report in November.
Speaking ahead of his speech to a dialogue on the future of retail banking in Tullamore, County Offaly today, the Finance Minister Paschal Donohoe said the sector has undergone significant change in recent years.
He encouraged people to respond to a new public consultation aimed at ensuring Ireland’s banking system can “best support the social and economic needs of our citizens and businesses into the future”.
The survey found that just 4% - 5% of people have switched banks in the past five years for mortgage accounts, current accounts, saving accounts and credit cards.
Just 2% have switched provider on personal loans.
Of those who took the plunge, nearly half (46%) found it very easy to switch, with a further 26% finding it easy.
One-in-ten people in Ireland still have their main account with Ulster Bank or KBC.