Banking on Design: How Apps Influence the Way We Save, Spend, and Trust (OP-ED)
Money management has never been a stress-free process, and with all the options now, it can become even more overwhelming than ever. The issues that we are faced with are now presented in a multitude of new ways. When taking a look at online banking apps we can begin to understand how they encourage and discourage users from being able to be in control of their financial futures and meet the goals they have set out. The ways in which our financial platforms are designed have a massive effect on the financial futures of the users. In order to look at the way they are designed we have to analyze the motivation of the users, the trust they have within the system, and the design psychology behind the system that is being used. There are a multitude of aspects that can affect the experience that a user will receive from the design, ranging from the gamification aspects, to the nudges that can help with shifting the spending behavior of the users.
The area of banking being in person is long gone and has progressed with the digital age. Financial decisions can now be made at almost anytime and from almost any place in the world. These decisions are made on screens and can be heavily influenced by the notifications and algorithms that users are presented with. One of the key ideas behind behavioral economics is the effect that a small design tweak can have on the perception of the difficulty of something. As we see in the Super Mario video game a floating block by itself can seem like a more difficult jump than the stack one even though they are the same. This same concept can be applied in the online banking industry. When applied to banking the difference in perception could either allow a user to start and stay with a savings plan or ignore it because it seems overwhelming.
Some of the issues that are commonly found with online banking apps now relate to the motivation, trust, and ethical behavior that these apps display. Research backs the theory that specific and challenging goals help with meeting goals and improving the performance of individuals. However, with these goals a big part of setting them is they have to remain realistic, as to not become overwhelming. This is where the implementation of soft saving goals can become highly effective through the use of behavioral nudges and well structured goals. This can allow users to be able to hit their saving goals while not being overwhelmed by the obstacles in their way. However if these goals are poorly structured it runs the risk of producing an adverse effect, creating discouragement and lack of trust with the product.
Trust in one of the most important aspects of online banking and without it there will be no loyalty from the user base. Part of what communicates trust is the way that language is framed. Language framing is vital in the perception of trust that users have with a product. The ways in which banking apps frame advice, alerts, or spending habits is directly related to the ways in which users perceive if they are being supported in their financial journey or not. If a user feels as if they are only being used for engagement they are less likely to remain on the app and develop a trustworthy bond with it.
Another important aspect that designers have to take into account is the role that personalization plays in shaping user motivation. Financial goals are not a one size fits all solution and when banking apps fail to realise this they risk losing engagement with their users over time. Each user has their own financial circumstances that require their own plan to effectively support them in working towards their goals. Behavioral economics suggests that users are more likely to pursue goals when they feel like they are getting a personalized solution tailored to their situation. By giving users a customized pathway the app can reduce the feeling of being overwhelmed. The way feedback is delivered plays a major role in the relationship that users have with the app. The careful combination of framing and personalization acts as a bridge between trust and motivation. It is not enough for an app to be functional; it must also actively grow the confidence of the users to make their own financial decisions.
While there are other alternatives to traditional banking apps, now they do have calls for concern. Open banking APIs(Application Programming Interface) allows for users to get highly personalized and specialized services that can help with achieving their financial goals. However, there is a concern around the privacy and transparency that then open banking APIs can provide to their users. Without the safeguards that traditional banking institutions are able to provide these apps can be undermined. That is why these online banking apps need to integrate some of the same highly personalized financial planning options that these APIs are offering. Trust is the cornerstone on which financial institutions are built upon.
When faced with the issue of how to better prepare for users' financial future and allow users to achieve their goals, a system must support them in achieving autonomy. One such way that users can learn to take control of their financial situations is through the gamification process. Gamification is becoming more popular as a design choice for allowing users to learn and be engaged at the same time. One of the most popular apps in the world that utilizes the gamification process is Duolingo. Duolingo is a language learning app that utilizes stakes and badges in order to keep users engaged with the product. It keeps the users activity, however it is not providing a deep understanding of the topic they are engaged with. When gamification is framed for banking engagement is simply not enough. When the gamification of the banking process does not address financial literacy and other behavior aspects it will not create a meaningful change with the users, lowering the trust they put into the product. Design of this process is key in either distracting from the meaningful information for financial goals or enhancing them, allowing users to reach their goals.
A major aspect of creating a design that supports the financial goals of the users is a deep understanding of the users needs and wants. Understanding the financial stress that is present is everyday life and the poorly designed systems that do not support the personalized goals of the users. While understanding the users, there also has to be an understanding of the stakeholders. Banks have to remain competitive while being able to support and innovate for their customers. The designers have to understand all aspects of this area so they are able to shape the experience so that the user does not feel exploited and the stakeholders achieve their goals. These interrelationships are very important in creating a trustworthy system that benefits both sides. Without the trust and transparency the design, no matter how good it is, will not succeed.
One of the areas that offers a unique insight into the world of online banking is art. One of the lessons that can be learned from art is how value can be reimagined in unique and engaging ways. Theaster Gates is an artist that is known for his repurposing of foreclosed buildings, bringing new value to areas where previously unexplored. While this does not directly relate to the topic of online banking and savings for the financial future it acts as a metaphor for shifting perspectives. The financial industry has to evolve with the changing social climate to remain inclusive to the communities that they support. Banking apps have the ability to reshape the financial narratives that are commonplace. There also has to be an understanding of the power that these online banking apps have.
The goal for online banking apps is clear, empower the users to meet their goals. These systems either hold the power to allow users to go along their own personalized financial journey to meet their goals, or keep them engaged with a shallow system that does not truly help them. This is a maze that needs to be properly navigated to avoid these shortcoming and obstacles that will stop users from reaching their goals. In order to navigate this maze of online banking designers must consider and prioritize the intrinsic goals of the users, transparency, and truthfulness. The actions of the design must meet the intent of the user to allow them to personalize it to their needs. These other areas outside of banking such as science, art, and gamification, can give hints at how we can restructure our financial tools to meet the needs of the user base. Design has to reflect the values of the customers.
References:
Adams, T. (2015, May 3). Chicago artist Theaster Gates: ‘I’m hoping Swiss bankers will bail out my flooded South Side bank in the name of art’. The Guardian. https://www.theguardian.com/artanddesign/2015/may/03/theaster-gates-artist-chicago-dorchester-projects
Larsen, M. (n.d.). Why I don't recommend Duolingo (Review) - It doesn't work. AutoLingual. Retrieved September 29, 2025, from https://autolingual.com/duolingo-review/
Lee, J., Kim, H., Park, S., & Choi, Y. (2022). New sustainable fintech business models created by open application programming interface technology: A case study of Korea’s open banking API platform. Sustainability, 16(16), 7187. https://doi.org/10.3390/su16167187
Staff, B. (2022, July 16). Super mario teaches us an important lesson in psychology, here’s how. News18. https://www.news18.com/news/buzz/super-mario-teaches-us-an-important-lesson-in-psychology-heres-how-5566873.html
