The Modern Banking Roster: Insights from Pinwheel’s Nationwide Primacy Study
Banking relationships have evolved into financial polyamory, with half of consumers now maintaining multiple banking relationships beyond their primary institution. The 2025 Consumer Banking Sentiment report reveals a dramatic shift in priorities, as proximity to branches has been dethroned by checking account features and digital experience — especially among Millennials and high-income earners.
By Crystal Gopman, Chief Marketing Officer at Pinwheel
When reading the results of our annual study on consumer banking sentiment, I couldn’t help but draw parallels to modern dating paradigms. Consumers, with their ever more complex financial lives, are no longer pursuing a goal of happily ever after with a single bank. They are enjoying "dating around," moving to a state of acceptance that one bank is not likely to meet all their needs. As it concerns their banking relationships, consumers have undoubtedly embraced the roster mentality.
So will banks need to accept being in an endless situationship with their customers? Or is there still a valid path to lasting primacy? Pinwheel publishes an annual survey of 500 employed and banked American consumers to help answer these questions and stay ahead of consumers’ evolving needs.
Infidelity Is On The Rise
In Pinwheel’s annual study, we always begin by asking consumer respondents to identify their primary banking relationship. This helps put the rest of their responses in context. Consistent with last year, consumers reported that they continue to rely on one of the top national banks for their primary banking relationship.
While the majority of consumers still claim a national bank as their primary, half of consumers across all demographics are also spreading their love around.
The appeal of digital banking is even greater among younger generations with a staggering 70% of Gen Z and 64% of Millennials embracing a digital bank account.
National banks continue to dominate the primary relationship position. But they should be taking a hard look at their service offerings and asking themselves, why the wandering eyes? Relationship psychology dictates that when one steps out on their primary relationship, underlying unmet needs are typically to blame.
Bank Partner Preferences Are Changing
Consumers’ loyalty to their primary banks is wavering, with younger generations the most likely to step outside their primary relationship.
These dynamics indicate a growing demand for different services and incentives than national primary banks are currently providing. For years, "proximity to a bank branch" was the #1 criteria used by consumers when they chose their primary bank. Thus, national banks with the largest branch footprints handily edged out the limited resources of neighborhood banks and shut out digital banks completely. Their primary positions were secure.
However, in our new study, consumers are indicating they are finally ready to let go of their dependence on branches. So, what are consumers today searching for that they haven’t found at their local branch?
What Is Most Attractive to Bank Switchers in 2025?
Proximity to a physical branch is no longer the #1 consideration for any demographic when choosing a bank in 2025. For the first time, consumers are prioritizing account features and digital experience over physical locations.
Checking account features and rates have emerged as the #1 factor for consumers planning to switch banks. Ensuring they have the ideal checking account at the best value price is universally important across all demographics and it of particular importance to Gen X.
"Quality of digital experience" edged out "checking account features and rates" for the wealthiest consumers across all age groups, with 35% of those earning over $150K ranking digital #1. Millennials across all income brackets also rank digital experience #1 with 40% of this generation preferencing "quality of digital experience" over all other factors.
The majority of consumers prioritize both checking account features and digital experience above proximity to bank branches. This data seems to confirm that — while long expected — the digital tipping point has finally been reached. Furthermore, wealthier consumers and the digital-first millennial generation are willing to pay more for the premium digital experience they desire.
Breaking Up Still Sucks
Despite the availability of many attractive new banking options, many consumers dread the process of switching banks. "Clean breaks" are even more challenging, with consumers often getting trapped in cycles of opening new accounts and never fully transitioning.
68% of consumers reported opening an account they never used due to difficulties in switching direct deposits and recurring payments.
This data is consistent year over year with last year’s consumer insights. Concerns payment deadlines may be missed and accounts could overdraft during the transition of direct deposits and recurring payments have long prevented consumers from switching banks confidently.
39% felt overwhelmed by the process of transferring recurring payments.
29% lamented there was no easy way to switch their direct deposit when opening a new account.
Due to years of underinvestment in solving these barriers to account activation, financial institutions are plagued with never active or underengaged accounts. And consumers — ever on the lookout for the next best thing — are locked in endless situationships with the multiple banks they passed over as "the one."
Final Thoughts
Happily married couples often explain the secret to their success is that they "never stop dating." The core principle of this philosophy is precisely the approach I recommend for financial institutions trying to win and keep primacy.
Consumers’ options are abundant and they have proven to have no hesitation to switch banks to better meet their evolving needs. Financial institutions must continue to compete — not just for new customers — but to keep their existing relationships thriving.
- Make it easy to choose you. Offering a frictionless and personalized account opening experience with in app deposit switching inspires confidence and drives usage intent.
- Help them cut ties with their exes. Simplify their financial lives with automatic detection and in app switching of recurring bill payments across their legacy accounts.
- Embrace digital as their love language. Consumers are expecting a top notch digital experience with personalized offers that show them you know what’s best for them. This is especially true for Millennials and high-income earners who are in high demand and know their worth.
- Don’t take the foundation of your relationship for granted. Just because you’re churning out new exciting innovations, doesn’t mean customers won’t notice new or increased fees on their checking account. Your high value, longstanding customers won’t hesitate to say "thank you, next" if you fall below basic expectations.
To access the full January 2025 Consumer Banking Sentiment report, download here.
