Earlier this year, I had the chance to bring my 18-year-old son, Jaden, along on a business trip to a Jack Henry™ digital banking forum.
It was a unique experience – not just because he got to see what I do for a living, but because he became part of the conversation – literally.
As we sat in a room full of bankers, discussing the future of digital banking, I invited Jaden to join me on stage. What followed was an eye-opening dialogue between a Gen X dad and his Gen Z son – two accountholders of the same bank, with vastly different expectations.
That conversation stuck with me.
It reminded me that while I may be content with the basics – direct deposit, bill pay, and a place to park my money – Jaden is just beginning his financial journey. And if we, as an industry, don’t meet Gen Z where they’re going, we’re going to lose them.
As I reflected on our conversation, four key themes emerged – each one revealing how financial institutions can better connect with the next generation.
1. How to Attract Gen Z Banking Accountholders in a Digital First World
Jaden’s had a bank account since he was a kid (technically a sub-account under my account).
But now that Jaden is heading off to college, he’s starting to think about what he really wants from a financial institution. Yet he’s never been marketed to. No credit card offers, no student banking promotions, no messages about investing or saving for the future. He’s 18, financially curious, and ready to build his own financial life – but no one’s talking to him.
This is a missed opportunity.
Gen Z may not have deep pockets yet, but they’re forming brand loyalty now. If you’re not showing up in their inbox, app store, or social feed – someone else will.
2. Simplify Gen Z Digital Banking Onboarding to Reduce Abandonment
When I asked Jaden about opening new accounts, he was clear: unless there are huge complications, he’d prefer to open an account online. But if there’s any uncertainty, he’d rather go into a branch and talk to someone.
That tension between digital convenience and human reassurance is real for Gen Z.
Many are unsure where to start – should they open a savings account, a high-yield option, or something else entirely? That uncertainty can be a dealbreaker, making in-person guidance not just helpful, but essential.
And here’s the kicker: if it takes too long, they’ll abandon the process.
That’s a KPI we don’t talk about enough. Abandonment isn’t just an e-commerce problem – it’s a banking problem. If your onboarding process is clunky, confusing, or slow, Gen Z won’t wait around.
3. Engage Gen Z Customers With Mobile-First Banking and In-App Support
Jaden’s financial life is already fragmented.
He uses Venmo because his bank doesn’t offer seamless peer-to-peer transfers. He opened a Vanguard account since his bank doesn’t support investment accounts through the app. He’s interested in fractional investing or rounding up purchases to buy small stocks or parts of a stock – but that’s not an option either with his current bank.
These gaps in digital capabilities push him to look elsewhere – even when he’d prefer to keep everything in one place.
He’s not looking for all the bells and whistles – just tools to help him grow and engage on his terms. If your app doesn’t offer intuitive, in-app support – or if it doesn’t evolve with your accountholders’ needs – you’re not just missing a feature. You’re missing a relationship.
4. Protect: Security Is the Dealbreaker
Of all the things I touched on, this one hit home the most.
Jaden shared a story about his girlfriend’s account getting hacked. She received a fraud alert, and they talked about how scary – and important – that moment was. It wasn’t just about the inconvenience; it was about trust, vulnerability, and the need for real-time support when it mattered most.
Protection is just as important as engagement.
Jaden emphasized that if something goes wrong, he wants to know his money is safe – and he wants options for how to get help – whether that’s via chat, phone, or in-person support. Security isn’t just about firewalls and fraud alerts. It’s about trust. And for Gen Z, trust is earned through transparency, responsiveness, and control
Gen X vs Gen Z Banking: Digital Expectations and Brand Loyalty
Jaden and I use the same bank.
I see his account when I log in and I can transfer money to him in seconds. From my perspective, everything works fine. But from his perspective? He’s using third-party apps, not being marketed to, not finding the tools he needs. He’s already halfway out the door. And unless something changes, he’ll be gone by the time he finishes his freshman year.
That’s the generational gap we’re facing. I’m staying put, but he’s just getting started.
Digital-First Banking Strategies for Gen Z Growth and Retention
My trip with Jaden reminded me that banking isn’t just about features – it’s about life stages, trust, and timing.
Gen Z is on a journey. And if we want to be part of it, we need to show up now.
They’re forming habits, choosing platforms, and building trust with the brands that meet them in their moments of need. They’re future homeowners, entrepreneurs, investors, and parents. And most importantly, they’re not just looking for a place to store their money … they’re looking for a partner in their financial journey.
If you want to serve Gen Z, you need to evolve and rethink your digital front doors – not just for today’s accountholders, but for tomorrow’s. Because if your digital front door isn’t built for Gen Z, they’ll find one that is.
Register for the Winning the Digital Front Door Strategy Summit on August 25 – 28 to attract, onboard, engage, and protect accountholders in today’s digital-first world.
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