JD Power Releases Inaugural Report on Banking Preferences of Millennials and Gen Z
By W.B. King
To get a better handle on NextGen banking likings, JD Power recently released its inaugural U.S. Millennial & Gen Z Checking Satisfaction Study. Among takeaways, 67% of new primary accounts come from younger generation customers, online banks and fintechs deliver highest customer satisfaction scores, capturing 28% of new primary checking accounts, and seven of the top 10 highest-scoring accounts offer premium customer or rewards benefits.
“Millennials and Gen Z don’t want checking accounts that simply store and move money. They increasingly expect them to function as a financial command center, giving them a clear, real-time view of their money, helping them avoid unexpected fees and providing useful information that helps them stay in control,” said Paul McAdam, Senior Director of Financial Services at JD Power. “The providers performing particularly well with these customers are delivering on those expectations by making the checking experience more immediate, predictable and useful.”
Survey respondents for the study included 23,386 U.S. adults age 18 or older who maintain a balance in an active checking or spending account and interacted with the account in the past month. The survey was conducted from June through July 2026.
Determining Satisfaction
Other key findings include that online banks and fintechs account for 20% of existing primary checking relationships among millennials and Gen Z, but they also account for 28% of newly opened accounts. This means they are growing far faster than their traditional banking competitors, the study found. The average overall satisfaction score for online banks and fintechs among millennials is 699 (on a 1,000-point scale), compared with 672 for national banks and 617 for regional banks.
“Among Gen Z customers, overall satisfaction is 701 for online banks and fintechs, also higher than national and regional banks,” the Study noted. “Online banks and fintechs have a particular advantage in real-time balance visibility and avoiding overdrafts, declines and surprise fees, indicating that younger customers favor providers that give them a more immediate and predictable view of their money.”
Financial institutions likely have many of the tools in place already, the Study offered, but these tools might not be fully utilized. Across the study’s 32 key performance indicators (KPIs), for example, 14 depend on feature awareness (meaning customers do not necessarily need to use a feature to lift satisfaction—simply knowing it is available can make a difference).
“Some of the largest opportunities involve credit-building, budgeting, financial planning, cashback and financial education,” the study posited. “This highlights an opportunity for banks to improve satisfaction by better communicating capabilities customers already have access to without necessarily adding new features.”
The Right Form of Communication Matters
While communication between FI and members/customers is critical, the method matters. Eight percent of millennial and Gen Z bank customers said they never read checking account communications, while 38% always read email communications.
Satisfaction among customers who always read email communications is 90 points higher than among those who read them sometimes or never, the study found. “Eleven recall receiving subscription/recurring payment management information via email and 14% recall receiving information about new features and tools, underscoring the value of delivering more relevant and actionable communications to an already-engaged audience.”
The study also stated that Chase ranks highest in customer satisfaction among millennials with national banks, with a score of 695. Capital One (694) was second and Bank of America (682) landed third on the list.
Huntington Bank ranks highest in customer satisfaction among millennials with regional banks, with a score of 665. Regions Bank (654) ranked second and Fifth Third Bank (644) ranked third.
American Express ranked highest in customer satisfaction among millennials with online banks/fintechs, with a score of 736. SoFi (725) ranked second and Chime (718) third.
OnePay was the highest in customer satisfaction among Gen Z customers with online banks/fintechs, with a score of 757. SoFi (708) landed second and Current (706) third.
“The study provides financial institutions with insights into the experiences, features and capabilities that most influence satisfaction among younger customers, helping them identify opportunities to strengthen their checking relationships with these increasingly important customer segments,” the authors noted.
