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Bank Director's 2026 Technology Survey: A Closer Look at the Competition

On September 15, 2026, Bank Director released its findings from the 2026 Technology Survey, shedding light on the evolving landscape of the banking industry. This survey, sponsored by Jack Henry Associates, primarily focuses on how bank leaders perceive competition from fintech firms, emerging technologies, and their strategic responses.

Growing Competitive Threats

A significant revelation from the survey indicates that community bank leaders now perceive fintech firms as a more pressing competitive concern than traditional big banks. In fact, 58% of the respondents identified fintech companies like Block and PayPal as their top competitive threats, positioned just behind local banks and credit unions (61%). Notably, this marks the first occasion when fintechs are viewed as a more substantial challenge than national banks, which only garnered 48% in concerns.

The rise of neobanks such as Chime has also contributed to this shifting perception, with 40% of those surveyed expressing apprehensions about such entities. This competitive dynamic aligns with a burgeoning regulatory environment that seemingly supports fintech involvement in traditional banking sectors, as evidenced by recent applications for bank charters from companies like PayPal and Affirm.

Addressing Changing Customer Needs

Emily McCormick, VP of Editorial Research at Bank Director, notes that bank leaders are increasingly aware of the pressure exerted by a growing number of competitors, especially those focused on payment solutions. Alarmingly, nearly one-third of respondents believe their payment offerings are insufficient to satisfy customer demands, highlighting a widening gap that could impact customer retention.

The Crypto Conundrum

Among the notable concerns identified in the survey is the threat posed by cryptocurrency platforms, with 16% of respondents citing them as a critical risk. Despite legislation like the GENIUS Act, which aims to establish a framework for stablecoins, uncertainty persists as regulatory guidelines remain undeveloped, which could stymie banks’ ability to adapt.

Engaging with Younger Consumers

Perhaps one of the most alarming findings is that 70% of surveyed banks lack a defined strategy for engaging with younger consumers, particularly Generation Z. This demographic plays an instrumental role in shaping the future of financial services, and their needs are often prioritized by fintech competitors targeting this group. Jennifer Geis, a senior strategic advisor for Jack Henry, emphasized that without proactive strategies, banks risk losing relevance in a landscape increasingly dominated by fintechs.

Key Insights from the Survey

The survey also unearthed several additional insights:

• - Efficiency Focus: A staggering 76% of respondents view technology primarily as a tool for enhancing operational efficiency rather than for growth.
• - AI Adoption: Education around artificial intelligence is gaining traction, with 88% of institutions drafting acceptable use policies and 74% educating their staff about AI-enabled fraud detection.
• - Integration Challenges: The challenge of integrating new technologies with existing systems remains a top concern for 69% of banks surveyed, with over half of failed tech projects attributed to these integration issues.
• - Payment Priorities: A strong emphasis on payment solutions is evident, with 82% offering peer-to-peer payment options, and other offerings like mobile payment acceptance on the rise.
• - Skepticism around Crypto: A majority of bank leaders express skepticism about the overhype surrounding cryptocurrency and stablecoins.

Future Considerations

As banks step into a future defined by rapid technological advancements and changing consumer expectations, the insights from Bank Director’s 2026 Technology Survey serve as a wake-up call to the industry. Understanding the competitive dynamics and addressing the needs of modern customers will be crucial for banks aiming to thrive and compete effectively in a landscape increasingly influenced by agile fintech players.

For full survey results and further details on the findings, check out BankDirector.com.