Speak to the author: sandeep.klare@curinos.com
U.S. banks are looking for ways to support customers heading for the red, but only 20% of the retail checking providers tracked by the Digital Banking Analyzer provide low-fund alerts through their mobile apps.
That said, it’s a tool that’s gained in popularity, having doubled so far this year versus the end of 2024. Alerts are available through various channels – text, email or app notification – often chosen by the customer as the prompt most likely to get their attention (see visual).
In the short term, these tools can reduce instances of declined transactions while boosting funds in a checking account that can free up deposits for other payments. Longer term, they create higher levels of balance awareness and account engagement.
These alerts may seem basic, but they can be effective. In today’s environment in which consumers hold relationships with a number of banking providers, encouraging them to engage with digital capabilities to monitor their balances can be paramount to holding on to them.
