CheckFree Corporation provides online banking services directly to 350 financial institutions and to smaller community banks, thrifts and credit unions through 10 third-party partners such as Equifax, Digital Insight and Fiserve. About a year ago, CheckFree decided to move smaller financial institutions to its resellers. Since last summer, literally hundreds of small banks have begun serving customers over the Internet, some in as few as 30 days. Our proprietary research shows that 80 percent of the public believes anywhere-anytime access is a prerequisite in their choice of a bank. One that doesn't offer online services is fast becoming non-competitive.
Banks have to have it because customers demand it.
He then sounds a cautionary note. It just provides more access points. Customers are mixed-channel users. They want branches for some things, ATMs, drive-throughs and computers for others. The more access points you give a customer, the more they will use.