Community banks are losing the advantages that once kept them at the center of customers’ financial lives, according to a new white paper series highlighted by The Financial Brand. As consumers spread accounts across multiple providers, use data aggregation tools, and turn to artificial intelligence for financial guidance, banks may become one of many sources of financial data rather than the primary place customers manage their finances. The long-term risk, the article says, is becoming less visible as customers begin making financial decisions through third-party platforms instead of through their bank.
Are community banks becoming less important in their customers’ financial lives? Which strengths still set banks apart, and which don’t? If customers increasingly rely on AI and aggregation platforms to manage their finances, what role should banks play?