Gen Z is reshaping the banking industry with its demand for transparency, accessible and digital-first experiences, according to a report by Forbes.

Unlike previous generations who viewed banking as a long-term relationship, Gen Z is more skeptical of traditional institutions, largely due to growing up in the aftermath of the 2008 financial crisis.

They prioritize ethical business practices and seamless digital experiences, making outdated banking models less appealing. 

Neobanks and fintech companies have capitalized on this shift by offering app-based interfaces, low or no fees and user-friendly designs. Gen Z expects instant notification, easy integration and AI-powered personalization in their financial tools.

Traditional banks are not obsolete, but they must adapt by incorporating AI chatbots, predictive analytics and personalized financial recommendations to attract and retain younger customers, Forbes suggests.

Security remains a top priority. Gen Z is highly aware of cybersecurity risks and expects robust protections like biometric authentication and two-factor verification. Recent data breaches have reinforced their demand for control over their financial data.