Coronavirus lockdown sees fintech app use rise

The use of financial apps and mobile banking services has increased by 72% in Europe as a result of coronavirus, according to research

The research, published by independent financial advisory organisation deVere Group, found that the 72% increase had occurred over just one week. 

It attributed this to social distancing, remote working and other quarantine measures implemented to contain COVID-19.

The shift has been seen by many as a long-term indication of the importance of digital banks as society adjusts to life in uncertain times. 

The world has changed

According to deVere Group’s Divisional Manager of Europe, James Green, “the world has changed in the last few weeks. The measures we’re now all taking to help fight back against coronavirus are affecting the way we interact, live, work and take care of our finances.”

Green explained that a new era had begun, driven by digitalisation and new technologies as evidenced by the increased popularity of platforms like Google Hangouts, Skype and FaceTime. 

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He added: “Since the 2008-2009 financial crash, fintech has been filling the void left between what traditional financial services companies are offering and what clients are now expecting, especially in terms of customer experience [...] Fintech is fast becoming the new normal.”

Surge in use

It should be noted that deVere Group has measured the rise in the usage of its own apps. The organisation is one of the few advisory companies that has made an active move into fintech innovation. 

Over the last three years it has launched a suite of financial apps, including deVere Vault, a global e-money currency app and multi-currency prepaid card; a cryptocurrency app that allows users to store, transfer and exchange major cryptos and deVere Catalyst, an investment and savings app. 

According to Green, the latter has “seen a surge in usage over the last week. This app takes the hassle out of investing and gives those with little or no investment experience the opportunity to invest in well-balanced funds at a fraction of the price.”

According to Forbes, the rise in fintech app use comes amid a broader growth in digital technology use. Netflix, for example, has witnessed record viewing numbers in recent weeks, while business conferencing site, Zoom has reported similar. 

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