Older adults’ preference for Autonomy in managing your pension assets is consolidated in Argentina: nine out of ten pensioners believe they should be able to freely choose where they receive their pension, according to a recent report by Taquion group.
The figures come at a time of tension between banks and fintech companies over the collection of salaries and pensions.
This right to freedom of choice is linked to changing financial habits, with the use of digital tools and virtual wallets among those over 50 years of age on the rise. He 63% of respondents He also stated that he is willing to receive his retirement via a virtual wallet, a number that is increasing among those who are not yet retired.
The study, which surveyed 1,237 people over the age of fifty across the country, shows that the Trust in the security of virtual wallets It reaches 72% of respondents, while 79% believe that these platforms are easy to use. This positive perception leads to high adoption: 85% of older adults have used a virtual wallet at some point, and 44% have stopped using cash for their daily expenses, opting for card or mobile phone payments. Of those who use wallets, 90% say they would recommend their use to other older adults.
Another notable phenomenon is the move away from bank branches. He 43% of pensioners They cannot remember the last time they entered a bank and only 32% withdraw their pension through a bank teller window or ATM. The majority over-access their assets Debit card or home banking (77%), while only 6% do so at the counter and 1% delegate the payout to a representative. This preference for digital channels is also reflected in the fact that credit and debit cards are used for purchases in supermarkets and pharmacies, displacing cash as the main means of payment.
Satisfaction with the current collection system is high: nine out of ten pensioners They declare themselves satisfied with the current modality, although half believe that there are aspects that need to be improved, such as customer service (16%), flexibility in payment dates (14%) and immediate availability of money (10%). Those who feel inconveniences are mainly lack of money at ATMs, long queues and the rigidity of the system. Nevertheless, 79% of those surveyed report no significant limitations due to the current system.
As for the choice of institution from which to collect their pension, 34% of pensioners do so at the bank assigned to them, 33% have already paid there before and 22% value proximity or accessibility. Only 10% choose the company to receive exclusive benefits for retirees. 61% of those assigned to a bank would be willing to migrate to a virtual wallet to collect their salaries.
Digital inclusion is advancing among older adults: 80% conduct financial transactions independently via banking apps or wallets, and nine in 10 are comfortable using technology. However, among those who do not use virtual wallets, the main reasons are preference for the bank app (36%), distrust of the security of the platforms (28%) and habitual handling of cash (16%). Ignorance or the lack of a suitable cell phone are also among the reasons for non-adoption.
There is a strong demand to modernize the pension system: 74% of respondents believe it is important to have pension options and 27% believe the government should update the system.
Days ago, that Association of Argentine Banks (Adeba) warned of the risks associated with paying salaries and pensions through virtual wallets. This option has been analyzed as part of labor reform and appears to finally be available, it emerged today.
The banks argued that fintech companies are not regulated or supervised by the central bank, nor do they offer guarantees on the funds received. They claim that this would increase risks for workers and pensioners, reduce banks’ ability to lend, lead to systemic instability and encourage the phenomenon of “shadow banking”.
The fintechs responded quickly. Argentina’s Fintech Chamber rejected the allegations and defended the possibility of paying salaries and pensions through virtual wallets. He emphasized that digital accounts are regulated and monitored by the central bank and that all user funds are deposited in banks separately from the assets of fintech companies.
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