New research produced by London Economics, on behalf of the Keep Me Posted (KMP) campaign, is one of the biggest studies of behavioural economics testing the effectiveness of paper versus online statements in money management.
The online survey found that consumers were more likely to understand the information they were given, take appropriate action, and make better financial decisions.
More specifically, the report found that;
- People are twice as likely to remember their bank balance if they receive statements by post (82% vs 32% who receive statements online)
- ‘The Postman Prompt’ enabled twice as many consumers to correctly identify the value of the largest payment into their account (71% vs 30% who receive statements online)
- Three quarters of customers who received their statement on paper where able to correctly access the financial health of their bank account compared to less than half of those receiving information online (75% vs 48%)
- Consumers with ‘unhealthy’ statements were more likely to choose to curb their spending as a way of improving their finances if they received a paper statement (90% vs. 77% who receive statements online).