Cayman residents can now open a Butterfield account online without having to visit a branch or submit physical documents. Using the digital application form on the bank’s website, residents can apply for chequing, savings, fixed-term deposit or Supersaver accounts.
The process, which the bank says only takes 15 minutes, bypasses the usual paperwork as clients can upload identity verification documents and use electronic signatures.
This is standard practice in the UK or US but a big move in Cayman, where online banking has been rolled out slowly.
“Cayman bank infrastructure is approximately a decade behind the developed world, a major frustration for residents and global businesses, so it’s great to see Butterfield taking this step to invest in digital platform tools,” said Amy Hubble, consumer economist and investment advisor at Radix Financial Cayman.
In the UK, digital service rollouts were later followed by banks cutting down on their physical premises, but Amanda Bodden, head of retail banking at Butterfield, is adamant the bank won’t close branches.
“We believe in the importance of putting real relationships and real people at the heart of our business, and having a physical presence in our community is important to us. We also know many of our clients value the ability to bank in person, so we continue to invest in our banking centres.
“Through phased investments, we have recently completed improvements to our Midtown Plaza Banking Centre; will unveil our renovated Butterfield Place Banking Centre in George Town next week; and will soon begin work to expand our Camana Bay location,” said Bodden.
Banking competition
In recent months, there have been signs that banks in Cayman are working to improve their service. For example, in October the Cayman Islands Bankers Association updated the code of conduct for its members, and last September, banks in the jurisdiction increased the window for same-day transactions.
“Cayman’s local banking system is coming under pressure from new fintech options,” said Georgie Loxton, founder of Liberty Wealth Partners. “For example, Wise is a great way to transfer money. That pressure is probably forcing banks here to fix some of their long-standing problems.”
“Globally, I think we’re in the early innings of a major structural shift in banking,” said Hubble. “Local banks are suddenly competing with stablecoins, fully online banks, brokerages and global payment processors on speed, cost, rates and interest on deposits. Traditional banks must either evolve or face extinction.”
Bodden agrees that as a ‘full-service bank’ Butterfield must compete. “We recognise the fact that residents have a choice, and we want them to choose Butterfield for all their banking needs,” she said.
Cash machines are also part of that strategy, said Bodden. “In addition to further digital enhancements, right now we are focused on enhancing our ATM network, which is already one of the largest in the Cayman Islands.”
Related Videos
In the US, people are being laid off in tens of thousands. Bank branches are closing rapidly. Try to find a branch that still opens its door to people. Independent doctors and local doctor’s associations are being bought out by corporations. Implementing AI in healthcare and banking (as well as in other industries) leads to the displacement of staff and the mechanization of patient care. Nearly 75% to 80% of U.S. physicians are now employed by hospitals or other corporate entities (such as private equity firms or insurers). Tragic times are ahead.