What Gen Z Values Most in a Bank (It's Not What You Expect)

When many people think of Gen Z, they assume these young people prefer to have everything automated and avoid phone calls at all costs. Despite growing up deep into tech and regularly spending hours on their phones each day, this generation has some surprising banking preferences when you look at the data.

Despite being big fans of digital banking tools, 85% of Gen Z rate human customer support as very or extremely important, according to a recent FinanceBuzz survey in a sponsored content partnership with Wells Fargo. That's surprisingly more than any other generation, including Boomers (76%).

Many other findings from the study offer even more unexpected insights on this generation's banking preferences, from where and how they bank to how much they really care about AI banking assistants. Let's look at seven surprising things that Gen Z values in a bank and see how they often break the stereotypes.

They want a real person available

Gen Z is the generation that is most comfortable doing everything on a phone. But for the 82% who report that they've contacted their bank's customer service, many aren't settling for getting help from automated systems. Surprisingly, they're most insistent on having a human they can reach, and there are valid reasons to speculate about why that may be the case.

If you've ever had a problem with your bank account, you might have dug into your bank's help documents or asked its online chatbot what to do. Maybe that worked for simple issues, like resetting your password or ordering a new debit card. But when major things go wrong, you usually need a real person to help troubleshoot.

Gen Z is big on personalization and quick answers, which live representatives are often best suited for. Like many, you might appreciate having someone to discuss your needs with, get recommendations, and solve problems quickly and with less work on your end. Choosing a bank with extended or even 24/7 live support can offer even more peace of mind.

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AI assistants are at the bottom of the list

Most Gen Zers use AI to some extent. So, it's unexpected that 61% have never used their bank's AI assistant, a larger portion than older age groups. This feature actually ranks last on their list of what they look for when choosing a bank.

Some might avoid using this tool since they don't know what it can and can't do. AI assistants are typically more helpful for getting quick account information and completing common mobile banking tasks than resolving complicated issues that often require a live person's support. However, features vary across banks.

For example, Wells Fargo offers Fargo®, a virtual assistant in the Wells Fargo Mobile® app. It allows customers to watch their spending and subscription costs, monitor upcoming transactions, make transfers, freeze their card, pay bills, and handle other common account tasks.

Whether you're in a hurry or trying to do an unfamiliar task, using an AI assistant can help you save some time and hassle. So, check what your bank offers and experiment with the tool to understand its capabilities before you necessarily need it.

Over half are banking where their parents banked

Over half (55%) of Gen Z uses the same bank as their parents, with many still using an account someone else opened for them before they turned 18. While the average Gen Zer has done business with their primary bank for an average of 6.5 years, 48% in this age group have seriously considered switching their primary bank account at some point.

Familiarity and convenience may tempt you to keep banking where you and your family always have, but your needs and preferences might change over time. So consider whether it still fits you.

Among Gen Z who have switched banks, better rates or lower fees (46%), a life change (30%), and a specific feature they wanted (25%) are top reasons why Gen Z switched banks the last time. Surprisingly, only 19% switched due to poor service or bad experiences. So even if you don't have a specific complaint, it's still worth checking whether other banks have better offerings and features.

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They pay closer attention to rates than you'd think

When choosing a bank, 75% of Gen Zers consider interest rates to be very or extremely important, the highest of any generation. However, only 39% had compared their bank's rates to another's over the last 12 months. This suggests potentially missed opportunities for those who aren't doing their research.

When borrowing, even a small rate difference shows up in your monthly payments and total interest cost over time. If you're a young adult who is already financially strained, checking loan and credit card rates at multiple banks is especially important. Plus, many savings and interest checking accounts have low APYs, making it smart to find the right place to grow your money.

But good rates aren't the only thing. Even more Gen Zers (90%) consider low banking fees very or extremely important when choosing a bank. After all, expensive monthly account fees or loan origination charges might offset the money you save or gain based on rates. So consider rates and fees together to get a clearer picture.

They want banking perks that help them manage their money

While finding a convenient, low-cost bank is always a smart move, Gen Z wants even more value from their everyday banking experiences. Nearly 3 in 4 (73%) consider banking rewards and benefits very or extremely important compared to half of Boomers (50%).

These perks come in many forms, including overdraft grace periods, banking fee waivers, loan discounts, loyalty savings rates, and account opening bonuses. Some banks also tailor their perks to certain preferences, such as concierge support. These might help you save money on everyday banking or earn more on what you keep in the bank.

Overdraft grace periods are a key perk for Gen Z, with 57% rating them as very or extremely important when choosing a bank.

It's worth checking your bank's benefits. The Wells Fargo Prime Checking and Premier Checking accounts are examples of accounts with notable perks, such as fee waivers and discounts.

They still want a branch nearby

Many picture Gen Zers primarily sticking with mobile and online banking tools. That's true for many transactions, such as checking account balances, monitoring spending, paying bills, and transferring money to friends and family. But while the average Gen Zer does 88% of their banking digitally, only 15% use an online-only or app-first bank as their main bank.

In reality, 74% consider branch and ATM access to be very or extremely important, which is nearly identical to the 75% of Boomers. This age group still recognizes the value of convenient in-person options for what banking apps don't support, such as depositing and withdrawing cash or getting face-to-face support.

Many banks recognize this preference for both options. For example, Wells Fargo currently has over 4,000 branches and over 11,000 ATM locations. These local offerings complement a robust digital banking platform that supports mobile check deposits, Zelle®,¹ <p class="">Zelle and the Zelle marks used herein are trademarks of Early Warning Services, LLC.</p> online bill pay, mobile wallets, account alerts, and more.

The app is where they live

Gen Zers live in their banking apps more than any other generation. 97% use their bank's app or online banking site multiple times per month, compared to 93% of Boomers. Mobile app quality is essentially tied with data security as Gen Z's top priority, with 91% calling it very or extremely important.

They're especially using banking apps to keep a close eye on their accounts, with 98% checking their balances and 73% reviewing their transaction history or spending breakdown multiple times per month. A smaller percentage (28%) of Gen Z also takes advantage of in-app budgeting or spending tracking tools multiple times throughout the month.

With many facing financial pressures and needing to stretch their income, it's not too surprising that 41% of Gen Z considers early paycheck access to be very or extremely important.

Wells Fargo offers Early Pay Day, a free service allowing eligible checking customers to receive eligible direct deposits up to two business days early with no enrollment required. Such a feature may give you more flexibility and can help you make it between paydays more comfortably. Early availability is not guaranteed and may vary between pay periods. 

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Bottom line

While Gen Z appreciates a good mobile app, this group looks for much more when choosing a bank. They want competitive rates and fees, banking rewards, local branches, and support from a real person when they need it. They're also surprisingly indifferent to the AI tools that many people assume young Americans love.

If you're still using the bank account someone opened for you in high school, it's time to consider whether the bank you grew up with is still the right fit. Look at the features you value most in a bank, including whether you're comfortable going all-digital or you prefer the perks of hybrid banking. And if you're looking for a new checking account, Wells Fargo is worth a look.