Summary List Placement
The bank’s $20.3 billion in total Q3 2020 revenues marked a 9% drop from Q2 2020 and an 11% drop year over year (YoY), which it attributed to low interest rates and increased pandemic-related operating and litigation costs. But in a positive sign that BofA is expecting better times ahead for its consumer lending business, it set aside $1.39 billion for loan losses, which is far lower than the $5.12 billion it set aside in Q2 2020.
Digital and mobile consumer banking user growth YoY slowed relative to last quarter, but BofA’s continued digital investments appear to be paying off in terms of driving engagement. Digital (mobile and/or desktop) banking users grew just 3% YoY to reach 39.3 million, versus 5% YoY in Q2 2020.
And mobile users grew 7% YoY to 30.6 million, versus 9% YoY last quarter. This suggests that BofA may be nearing a saturation point when it comes to digital, and will need to double down on satisfying current users to keep them coming back. Robust digital engagement across several metrics points to success in that area so far. Here are two highlights:
Activity on digital channels remains strong, with 2.3 …read more
Source:: Businessinsider – Finance