By: Ken Chase.
Bank of America is reportedly preparing to launch a new digital app in December that it expects to serve as its main hub for managing customer relationships. The move comes as BofA continues to emphasize digital engagement and improved customer service.
The application won’t be available for download until the end of 2022, but details about its functionality are already beginning to emerge. The bank’s digital head, David Tyrie has suggested that digital engagement is the future for BofA customers, who will use a downloaded app to access a digital ecosystem that includes services like investment, mortgage, and traditional banking services in one place.
According to Bank of America, its digital engagement saw a considerable increase in 2021. That increase reportedly included mortgage initiations, with a majority of that activity being conducted digitally last year. The hope is that further consolidation of banking services on the new app will help to drive that digital engagement to even greater heights, while streamlining and simplifying customer use.
The decision to consolidate its services on a digital platform could also provide greater cross-engagement by the bank’s customers. With retail banking and investment services available on the same app, BofA hopes to attract new investors. At least part of that effort is directed toward millennial and GenZ consumers, who have expressed strong interest in app-based customer service options.
Tyrie told American Banker that BofA userswill see a “massive step change” when the app launches. He also noted that they will be able to use the app to access their investment information, lending and home equity details, mortgage information, and personal or business loans, all in one easy-to-use app. The app is also expected to include digital support provided by Erica, Bank of America’s virtual voice assistant.
For Bank of America, the timing could be extremely lucrative – especially if current investment trends continue. In the fourth quarter of 2021, an estimated 20 percent of American adults made investments in the stock market and various mutual funds. If that trend holds steady, the new app could help BofA attract more of its retail banking customers to its available investment services.
