It is astonishing how quickly peoples’ attitudes towards their finances are changing as digital services mature.
A few years ago people were concerned about using digital banks for current accounts, and a few years before that they would have thought carefully before sending money via fintech services that were not considered mainstream.
But time have changed. I received a press release today from mortgage switching platform Dashly. The company commissioned YouGov to survey consumers about their attitudes to using digital platforms to automatically switch their mortgages, if they find a better offer.
As I said a few years ago people were cautious about using fintechs rather than the trusted, well at least well known, high street brands. So the fact that we are even contemplating switching a mortgage through a platform that finds you a better offer shows how far we have come.
The research found that 29% of British people with mortgages would allow a mortgage platform to automatically move them to a better mortgage. That’s a lot. And if you add in a second opinion from an independent mortgage broker this rises to 50%.
If you take millennials alone the figure was 41%.
It also found that 30% of borrowers would be happy to continuously share their anonymised, real-time personal financial data with an intelligent mortgage platform if this could save them money.
Ross Boyd, founder of Dashly, said: “The ideal scenario is one where new technology platforms, powered by AI, machine learning and open banking, do the hard yards and identify savings in a way no human could, while independent mortgage brokers are on hand to reassure borrowers that the advice is suitable.
“It’s certainly encouraging for brokers that far more people would be likely to switch on the basis of a recommendation received by a tech platform once they have received independent advice.”
Mortgages are probably the biggest investments people make in their lives so trusting a platform to automatically move this is pretty significant.