"From the fall of free checking to the rise of comprehensive banking rewards programs, banks seem poised to make 2010 a year of innovations," says Susan Wolfe, vice president of financial services at Mintel Comperemedia. "The biggest challenge will be finding new opportunities for revenue."
One way that banks will try to increase revenue in 2010 is by creating automatic account builder products that boost deposits. Leading players Bank of America and Wachovia already feature savings programs -- "Keep the Change" and "Way2Save" -- and Capital One has just launched "SmartCents" checking. Deposit-building accounts get customers invested in multiple products, while helping banks secure more deposits.
Cash incentives are a hot direct marketing tactic for checking accounts, appearing in most offers. In 2010, cash incentives will grow even more enticing. Mintel Comperemedia has already seen $200 and higher from Capital One and Key Bank. Watch for banks to start using cash incentives for other types of deposit accounts too, Wolfe says. --Tanya Irwin