According to research from TD Bank, moving impacts banking behavior, particularly for those who are 55 years of age or older. The survey found that 32% of those 55 and older opened a new primary checking account after moving, compared with 24% of Millennials (ages 18-34). The average was 29% across all age groups.
Those who opened a primary checking account after moving chose their new bank for the following reasons:
- The bank had branches close to home (57%)
- They wanted to avoid fees / charges (27%)
- The ATMs were close to home (25%)
Those who did not change primary banks after moving had the following challenges with existing checking accounts:
- Access to bank branches (13%)
- Access to bank ATMs (10%)
- Depositing checks (8%)
Millennials Are Moving Right Along
As for banking behaviors, Millennials are less likely to open a new primary account after moving than any other generation. However, of those Millennials who did change their primary bank accounts after moving, 22% reported choosing their bank based on branches that are close to work (versus 11% for those 55 and older). Conversely, 64% of those 55 and older chose a new bank because branches were close to home (versus 48% for Millennials).
The TD Bank survey revealed that Millennials have moved more recently compared to their older counterparts. More than 50% of Millennials have moved within the past two years, compared with 23% of Generation X (ages 35-54) and 15% of those 55 and older. Millennials also put a higher emphasis on finding new local amenities like grocery and drug stores when preparing to move than Gen X and those 55 and older.
Why Americans Move
The survey also revealed Americans’ main reasons for moving, which include the need for a bigger house (23%), moving to a different neighborhood (20%) and personal employment/job (12%). However, of those who moved in the past 12 months, 28% said they moved for a shorter commute or to be closer to amenities such as grocery stores and drugstores (compared with 12% of those who moved more than 10 years ago).
The study, which is an extension of the TD Bank Checking Experience Index, surveyed more than 1,100 Americans to analyze their banking behaviors after they moved.