Insights from The State of Bill Pay Report
Our exclusive industry report, “The State of Bill Pay: Digital Payment Trends and Growing Demand for Text Messaging,” delves into the preferences and behaviors of 2,005 U.S. bill-paying consumers with cell phones. Explore the key takeaways that every forward-thinking professional needs to know.
Bill Pay Landscape: Seizing the Opportunity
Americans paid 16.8 billion bills in the last year. 60% of those bills were settled as one-time payments. The issue? Most bills are left hanging in the balance of consumer organization and memory. Even though 88% of bill payers have some sort of plan for making payments, at least 54% still submit payments late. Many billers are addressing this issue by leveraging text messaging to send consumers bill pay reminders.
Late Payments: Understanding the Why
Late payments happen, and the numbers back it up. 54% of U.S. bill-paying consumers with cell phones have made at least one late payment in the last 12 months. The reasons? Forgetting to pay (52%), not having enough money (52%), and not knowing a bill was due (21%). It’s clear that people genuinely want to pay their bills—they just need a helping hand.
Value of Text Reminders: Texts Role in Bill Pay
Text messages emerge as the unsung heroes in the bill payment space. 80% of consumers prefer receiving late payment reminders via text. Delve deeper, and you’ll find that 95% of those who made late payments would have appreciated a text reminder, while 85% are more likely to pay on time if they receive one. The bottom line? These numbers are compelling evidence to incorporate text reminders into our communication strategies to improve customer experience and on-time payments.
Text Payments: The Untapped Potential
Imagine a world where 66% of consumers are willing to pay their bills with a simple “PayNow” text response. The catch? Only 9% have had the opportunity to do so. Of these consumers, 63% used the option to pay at least one bill. Consumers had this to say about the experience:
- 70% said paying within a text is the easiest way to pay bills.
- 74% said paying within a text message is the fastest/best way to make sure their payment is made on time.
- 63% said they prefer paying bills directly within a text message.
- 57% said paying within a text is the most secure way to pay bills.
The real opportunity for lenders and collectors lies in this gap—consumers are ready, even eager, for pay-in-text solutions. In fact, a staggering 88% of Gen Zers and Millennials report being likely to use pay-in-text if given the option. The demand is crystal clear; what’s missing is industry adoption of text pay technology to provide consumers with a payments solution that they desire.
Unlock the future of bill payments and customer interactions by downloading our exclusive industry research report. Stay ahead, stay efficient, and stay connected with the power of text payments.