Canadians are doing more banking online than ever before, and are enthusiastic about eventually embracing mobile banking, according to a recent survey by the Canadian Bankers Association.

In the association’s bi-annual survey, which polled 1,200 adults in late May, 63% of Canadians reported conducting banking transactions online during past year.

In addition, 45% of Canadians identified online banking as their primary means of conducting financial transactions, up from 35% in 2008, representing the most popular type of banking. The most popular activities to conduct online include checking account balances, paying bills and transferring funds, according to the survey conducted by The Strategic Counsel.

And Canadians appear to be pleased with the tools available to conduct these transactions online: more than 90% of respondents reported high levels of satisfaction with their banks’ websites. More than 80% said that technology has made banking more convenient, enabling them to bank whenever and wherever it suits them.

The biggest increase in the popularity of online banking occurred in Atlantic Canada. Sixty-three per cent of those living in New Brunswick, Nova Scotia, Prince Edward Island, and Newfoundland reported conducting banking transactions online during the past year, up a hefty 16 percentage points from 2008.

“Clearly people living in the Atlantic provinces appreciate the ease and convenience of banking online, and the growth in this region over the past decade has been impressive,” said Maura Drew-Lytle, director of communications for the Canadian Bankers Association. “In 2000, only 6% of Atlantic Canadians did most of their banking online while 37% did most of their banking at ABMs. Now all that has changed.”

Banking in person at a branch and using ABMs also remain popular forms of banking, while only 4% of Canadians report using telephone banking as their primary means of conducting financial transactions.

“Our research shows that people choose to bank in different ways,” said Drew-Lytle. “This is a competitive business and banks in Canada ensure they can meet the diverse needs of their customers by offering a range of banking options and new technologies to make banking even more convenient.”

While the popularity of in-branch banking has declined in the past decade, the CBA noted that it remains a vital part of Canadian banking. To better meet customer needs, many branches have extended their hours to include evenings and weekends, and some branches have introduced drive-through facilities.

British Columbians are the highest users of in-branch banking with 32% using it for their main banking needs. For Quebec residents, only 14% rely mainly on branches, while 35% of residents report using ABMs as their primary means of conducting financial transactions.

“While the convenience of online banking appeals to many living in Quebec there are also many who appreciate the diverse options available at ABMs,” said Drew-Lytle.

As technology continues to develop, some banks in Canada have launched mobile banking services that allow Canadians to conduct day-to-day banking transactions through their smart phones. Only 5% of Canadians reported using mobile banking during the last year, but this proportion appears set to increase.

When asked about the possibility of conducting banking transactions with a mobile phone in the next two years, 23% of respondents Canada-wide said they believe it is likely. This percentage was much higher among BlackBerry owners, at 54%, and owners of personal digital assistants – including iPhones – at 64%.

IE