Drew Angerer

Bank of America (NYSE: BAC) CEO Brian Moynihan is set to discuss the lender’s growing involvement in its digital investments and cryptocurrency research, among other topics, during his appearance at Wednesday’s House Committee hearing on Financial Services.

Moynihan will highlight the bank’s 2022 plan to invest $3.5 billion “in initiatives to improve our platform, fund next-generation projects and expand our digital leadership going forward,” according to his testimony. prepare.

This comes as its digital banking platform continues to see increased access to customer adoption and engagement, the BofA chief will point out, adding that more than a billion user logins have taken place in July, “our most important month in history”.

Think back to 2018 when BAC introduced Erica, its AI-powered virtual assistant in financial services. The total number of Erica interactions for BAC customers has tripled to 427 million in 2021. Zelle, meanwhile, is a digital payment product from Early Warnings Services, owned by Bank of America alongside a handful of the most major US banks. In 2021, the number of customers who were active Zelle users jumped 23% to 15.8 million, Moynihan will say.

Within the emerging crypto space, “through careful client selection, we engage in dialogues regarding capital raising, mergers and acquisitions, and other banking services with select companies involved in the digital asset ecosystem” , he will say. “We are exploring the use of this [blockchain] technology in several areas, including tokenizing internal customer documents, instant cross-border payments, bank accounts, and finding ways to give workers faster access to their earned funds. »

Elsewhere in his testimony, Moynihan will highlight the lender’s decision to reduce overdraft fees for its customers in a joint effort by the banking industry to improve customer loyalty. In January, BofA lowered its overdraft fees and ended insufficient funds fees at a time when fintechs were competing for their customers.

By 2023, “new solutions and enhanced programs introduced over the past decade will reduce consumer overdraft fees by 97% from 2009 levels,” said BAC’s CEO. Consumer current account customers have already seen overdraft fees fall by 90% year-on-year in June and July.

Earlier, (September 7) Bank of America appoints Burkhardt as next chief strategy officer for global online banking.