First Impressions Are Make or Break: The Importance Of Onboarding In Today’s Banking Landscape

Banks and credit unions today are under unprecedented pressure to attract deposits and grow their customer base, but the real challenge lies in turning those new customers into long-term, loyal clients. Onboarding—the critical first step in a customer’s banking journey—is the linchpin for success. It’s not just about opening accounts; it’s about creating an experience that drives satisfaction, reduces dormant accounts, and encourages deeper engagement.

The numbers tell the story. By 2026, more than 80% of all banking interactions, including account openings, will take place digitally, underscoring the need for institutions to prioritize their digital onboarding processes. Yet, the stakes are high. Nearly half of consumers who encounter friction during digital onboarding will abandon the process entirely, while 68% of customers with a poor banking experience will leave within their first year. For financial institutions, this creates a significant risk of losing both deposits and potential lifetime value.

However, when done right, onboarding is a game-changer. Banks with strong onboarding programs see 50% higher conversion rates of new customers into long-term clients. These customers are more likely to engage with additional services such as credit cards, loans, and mortgages, becoming highly valuable to the institution over time. With over 5 million new accounts opened annually in the U.S.—and that figure growing by 14% each year—the opportunity for banks and credit unions to grow deposits and deepen relationships through effective onboarding has never been greater.

It’s also worth noting that onboarding goes beyond acquisition—it’s about retention and customer satisfaction. Customers who engage with their new accounts early are three times more likely to remain active. On the other hand, the average bank still sees over 20% of new accounts classified as dormant, representing missed opportunities for deposits and deeper engagement. In an era where every dollar and every customer interaction counts, banks cannot afford to let these opportunities slip through the cracks.

The Challenges of Building a Better Onboarding Program

For many financial institutions, the path to seamless onboarding is easier said than done. Implementing a new onboarding solution often requires a significant investment of time, money, and resources. It’s not uncommon for traditional programs to take months–if not years–to deploy, with tens of thousands of dollars spent on operational overhauls and IT development. These barriers leave many banks and credit unions struggling to make progress, despite recognizing digitization as a top priority.

Adding to the complexity is the need to maintain compliance, enhance security, and integrate new systems without disrupting daily operations. The result? Institutions find themselves stuck with outdated processes that fail to meet customer expectations, while competitors with modern solutions race ahead. For organizations starved for deposits, the cost of inaction—lost customers, dormant accounts, and missed revenue opportunities—is simply too high.

Introducing OnBoard+: A No-Lift Solution for Modern Banks

That’s where OnBoard+ by Mozrt comes in. OnBoard+ transforms the onboarding process into a strategic advantage by delivering unmatched speed, simplicity, and scalability. Unlike traditional solutions, OnBoard+ requires no operational overhauls, with deployment timelines measured in days—not months or years—and a fraction of the cost.

Designed to attract, onboard, and retain customers seamlessly, OnBoard+ offers 24/7 accessibility, instant funding through open banking integrations, and automated compliance tools to reduce delays. Its intuitive interface and seamless API integration enable financial institutions to offer a frictionless, secure experience that keeps customers engaged and loyal from day one.

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