US Retail Banking Companies (2024 - 2029)

US Retail Banking Market Companies Summary

The retail banking market in the US is expected to see growth in the coming years, driven by an increase in household debt due to rising domestic consumption. This has resulted in an increase in outstanding credit card balances, the fastest-growing credit segment. The upward trend in disposable income has also contributed to borrowers' confidence in repaying their loans. However, retail banking brands face challenges as digital-first banks and tech competitors are threatening their market share. To stay competitive, these banks need to innovate and improve their digital offerings. Fintechs have been quick to capitalize on consumer lending, offering improved customer experiences and faster loan funding. This has led to a significant increase in their market share, with consumers increasingly turning to digital-first providers. Traditional banks have responded to this by investing in these fintech competitors, forming strategic partnerships to leverage their technology. Despite this, many businesses still rely on paper checks, though there is a growing preference for real-time payments. Open banking is also expected to evolve as an industry-driven initiative in the US, with banks needing to educate consumers about its benefits.