Business
Banking and finance websites fall short at customer education and engagement
Published by Jessica Weisman-Pitts
Posted on September 27, 2021
6 min readLast updated: February 2, 2026
Global Banking & Finance Review®
Company
Published by Jessica Weisman-Pitts
Posted on September 27, 2021
6 min readLast updated: February 2, 2026
Financial websites must improve education and engagement. Many UK adults lack financial literacy, highlighting the need for better online resources.
Financial service providers’ websites are failing to address one of their biggest challenges according to Louise Wilson, head of finance sector at Moneypenny. Here, she looks at the growing need for improved financial education among customers and explains how websites must work harder to create more authentic and engaging relationships.
Banking and finance providers are under increasing pressure to improve the quality of the education, support and guidance they offer customers – whether it’s in relation to pensions and retirement planning, mortgages or savings.
A new study has revealed just how critical the lack of financial education is in the UK – almost half of the 2000 people tested by investment app Freetrade(48%[1]) couldn’t answer basic questions about personal finance such as what ISA stands for and the difference between fixed rates and variable rates. Retirement was also an area of significant concern, with 81%[2] of those unable to answer questions about pensions in the 55+ age group. The dire nature of these figures shows that financial institutions, amongst others, have a responsibility to change this picture.
Education needs communication
Customer experience, and therefore the likelihood of being educated, lives and dies by how easy it is to get in touch. When people have an enquiry, they want it dealt with there and then. It’s very true of the phone, but even more so online. Financial service providers have been slow to recognise the need to satisfy the impatient nature of customers – something which has already prompted many other sectors to overhaul their approach to customer care. To improve financial literacy and help customers make better financial choices – financial service providers must first improve communication on customers’ terms and embrace all available channels.
Changing behaviours
We conducted research at the start of the year which showed that financial institutions continue to fall short of customer’s care expectations – 25% [3]of customers believe Covid has been used as an excuse for long call waiting times and poor service.
The phone is still the most important channel for customers to get in touch but if call handling times are slow and accessibility is limited, education and engagement is compromised. It also highlights an opportunity for digital channels to fill that void and ensure customer care is in place 24/7.
Research published at the height of the pandemic highlighted the importance of online channels – particularly for the over 55 age group (54% of whom prefer to access information via websites) and the 18-34 age group (54% of which prefer mobile banking apps). The average time adults spend online per day has increased dramatically over the last 18 months[4].
While Covid has made older generations more tech-proficient and willing – it is the younger generations which present the most opportunity. Today’s young people are fluent in 24/7 instant messaging type technology and expect that from all the brands they engage with. By capitalising on this fact, financial service providers could make themselves more relevant and accessible. It would give them the means to build rapport and in time, improve financial literacy.
Emotional connection
Financial service providers are selling a lifestyle or aspiration to sell products. Forging an emotional understanding of and connection with clients is therefore integral to financial services marketing. However, making an emotional connection relies on listening and the use of tools that foster two-way communication.
Live chat is the instant message tool that enables website visitors to ask questions and seek advice in real time. It can help to triage enquiries away from the phone, satisfy the increasingly ‘immediate’ demands of customers (particularly the young) and perhaps most interestingly for marketers, provide more insights into how customers feel.
The relative anonymity of this medium sees people more willing to divulge detail about themselves – more than via any other channel. They are much more likely to ask their perceived ‘silly questions’ which they might not voice over the phone because they feel ignorant or don’t know how or what to ask. These insights, coupled with web analytics, can help to improve the understanding of customers wants, needs and worries, guide marketing activity and share more targeted and relevant content. They can literally reveal the gaps where greater education is needed.
Content, signposting and sharing
The ability to educate requires a platform on which to do so. Websites provide that platform and social media, telephone lines, live chat, mobile apps, events, adverts and brand sponsorship are some of the most valuable supporting tools.
Greater focus on creating engaging content that resonates with audiences is what’s needed most. Insights from other marketing activities should be used to inform the tone of voice used, ease of navigation on the site and the type of content that is created, published and shared. But this requires a shift – a move beyond one way communication and a monotone, often corporate tone of voice to a more engaging alternative. It requires emotional intelligence, targeted marketing, information sharing and conversation.
Writing on Forbes, CEO and Founder of Plinqit, Kathleen Craig sums up the challenge perfectly. She said: “Financial institutions have the knowledge to share, but many find it difficult to convey the information in a way that is easy for the consumer to understand. By offering content that is presented in an understandable way, financial institutions can form deeper connections with their customers and position themselves as mentors.”
Sitting right at the heart of this picture is expertise – financial services businesses are the experts. The latest data really highlights how much we need them as huge swathes of people do not know what they need, don’t have the financial terminology to articulate what they want and might not know who to ask or where to find the answers.
Taking steps to improve financial education requires institutions to improve their listening skills, overhaul how they communicate in a 24/7 digital age, adopt a simple and friendly tone of voice and ensure they’re working on the customers’ terms. The adage the customer is king is true, but it also seems clear that the customer is the student novice. It’s time for the financial services industry to do more to create financially-literate future generations.
The article discusses the need for improved financial education and engagement on banking websites.
Many adults lack basic financial literacy, impacting their ability to make informed financial decisions.
Banks can use digital channels and live chat tools to enhance customer service and build emotional connections.
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