Top 5 customer frustrations with digital bank account opening

Opening a digital bank account should be easy and user-friendly. Yet, for many customers, the process is frustrating and often ends in abandonment. In Europe, 68% of financial services onboarding attempts fail, while in North America, 60% of prospective customers drop off during digital onboarding. These figures represent billions in lost revenue for banks and highlight a pressing need for improvement.

What is this costing banks?

High abandonment rates have a significant financial impact. With customer acquisition costs averaging over $300 per account, every missed conversion takes a toll on profitability. Beyond acquisition costs, low digital account opening rates affect key metrics like net interest margins and return on assets. Fewer deposits force banks to rely on more expensive funding sources, further shrinking profitability.

Meanwhile, digital-first competitors are setting new standards for seamless experiences and rapidly gaining market share. For traditional banks, this underscores the urgency of improving digital onboarding to stay competitive, retain customers, and drive long-term profitability.

Addressing these issues is not just about minimizing losses—it’s about creating a frictionless experience that builds trust and strengthens customer relationships.

5 top pain points in digital account opening

Using insights from UserTesting’s platform, we’ve identified the top five challenges customers face during digital account onboarding. By addressing these challenges, banks can improve satisfaction, reduce abandonment, and establish themselves as leaders in the evolving digital banking landscape.

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1. Difficulty finding answers to questions

When customers hit a roadblock and can’t find answers, frustration builds quickly. Whether it’s unclear terminology or missing information, this friction often causes customers to abandon the process.

How to address it:
Provide clear instructions, helpful tooltips, and easy access to FAQs or live support. Proactively guide customers through the process with contextual help at critical steps.

2. Inability to perform basic setup functions

When critical features like adding a beneficiary or setting up a joint account are missing or difficult to find, it disrupts the user experience and leads to dissatisfaction.

How to address it:
Ensure your onboarding flow includes key functionalities and clearly communicates how customers can complete these tasks. UserTesting can help identify gaps in functionality that frustrate users.

3. Technical issues interrupting progress

Slow load times, form errors, or crashes are a surefire way to lose customers. Even a minor technical glitch can erode trust and discourage users from continuing.

How to address it:
Conduct rigorous usability and performance testing to identify and fix technical issues. UserTesting’s platform lets you observe customers interacting with your platform to catch problems early.

4. Concerns over data security and trust

Customers are hesitant to proceed if they feel their data isn’t secure or privacy isn’t prioritized. A lack of visible security information amplifies these concerns.

How to address it:
Prominently display your data security measures and privacy policies throughout the account opening process. Reinforce trust by making this information accessible at key decision points.

5. Need to gather documents without save-and-resume options

Requiring customers to gather additional documents mid-process—without the ability to save their progress—can lead to high abandonment rates.

How to address it:
Offer save-and-resume functionality so customers can return to their application at their convenience. Use friendly reminders to keep them engaged.

How UserTesting helps

UserTesting empowers banks to observe real customers navigating the digital account opening process. By identifying friction points and unmet needs, UserTesting helps banks refine their onboarding flows and deliver seamless, customer-first experiences.