Citibank Has a Plan for Mobile Banking

Not so long ago, we’d been hearing quite a bit from Bank of America about its plans to improve its mobile posture, and in so doing, better reach the increasingly valuable millennial market segment. It’s not alone on this front, as we were recently passed word about Citibank’s own mobile plans, which are looking quite sharp.

The new Citi Mobile App for iPhone, which is set to emerge in the next few weeks, will offer a range of options for its users. Note here that I said “users”, not “account holders.” Yes, Citi has some plans for the unbanked—or just banked-elsewhere—here as well, which could help land some new business.

It actually begins with the unbanked, as it allows for seamless account opening right from the app, as well as the ability to follow all one’s different financial accounts from the same interface. It throws in insights on a user’s spending habits in a bid to help improve savings and ultimately financial wellness.

In a move that’s a first in its field, according to the word from Citi, the app will also offer the ability for non-clients to set up a profile and tie in their accounts at other institutions, running them through the same aggregation and insight features as if they were Citi account holders.

While Citi’s logic may have a flaw or two—we found not so long ago that customers prefer to set up accounts in a branch as opposed to through an app—the concept itself is sound. After all, we’ve seen Bank of America’s push on this sector, and know that Citi can’t well leave its competitors to run through a market unattended. We also know that the millennials love mobile banking, and are eager to participate therein. Moreover, we know that convenience is about a step behind security in importance, and having one app is definitely a convenient move that. Remember how it was pretty clear that customers would only use so many mobile payments apps before settling on a few regulars? Citi’s move could help it become a regular.

Only time will tell how well this works for Citi, but it’s definitely got a good idea afoot. Hopefully it will prove a match for the growing body of mobile banking apps around.