Direct Deposit Setup
This project relies heavily on strategy and product thinking with cross collaboration from PMs, engineering, research, and data analytics team.
Since the debit card’s launch, MoneyLion processes more than one million transactions daily and handles all processed payments through a mobile app. Customer dollars flow into the MoneyLion ecosystem via an investment account’s monthly membership payments, an add funds flow, and direct deposit setup.
The company’s mission is to help the underbanked save money. Customers were saving $1k per year by paying themselves through our membership payments. We also offered customers maximum savings by adding more savings on top of their membership payments. To add more savings, a customer could add direct deposits or transfer in funds via ATM or transfer from another bank.
To increase customer dollars flowing into the MoneyLion ecosystem, the team brainstormed business-growth ideas such as a credit card line or incentives such as airfare milage. But rather than adding more complexities, I proposed we check where we could minimize pain-points in the current dollars-in flow experience.
Customers were funding their MoneyLion Checking account through add funds flow, but direct deposit setup was low.
Monthly DD setup success only 16%
I asked the analytics team to pull customer data based on certain criteria; for example; Give me the names and phone numbers of customers who have successfully set up direct deposit in the last 30days.
I reached out with initial questions to gather insights from customers with both successful and non-successful DD setup to tell me their experience setting up direct deposit:
I discovered sending the standard DD setup enrollment form was a pain-point. Completing the form was easy since we pre-filled inputs, but having customers send out a form to their employers was archaic. Customers who were able to send it, weren’t even sure if their employers got it.
Unsuccessful customers didn’t know they could set up DD through their workplace payroll provider. As I watched these customers go through direct deposit setup, I identified that in-app, we didn’t communicate the option to setup DD through workplace payroll provider system. And even if we did, many weren’t sure who their work used as a payroll provider.
Successful customers who went through either payroll provider or the form, weren’t sure of the process status and were afraid of consequences from their old bank. Customers with DD already set up to their bank, weren’t sure of the consequences if they moved their DD to their new ML account. The assumption was that if they got paid, it worked, and they needed to close down the other bank account asap. But if it still deposited to their old bank, then they weren’t sure what to do.
“I have my direct deposit set up to a different bank account”
Timing is key. Customers are more motivated to switch their direct deposit after a good experience trying out the debit card. Many just hadn’t had time to do so yet. We also saw data which verified this; Customers set up DD usually after 30–60days of their first debit card transaction.
“I haven’t had the time, but I will.”
Customers are more likely to set up direct deposit when they go through our cash advance product, Instacash which requires direct deposit setup to their MoneyLion account.
While continuing to leverage the existing Instacash hook to get customers to switch DD over to our bank, we came up with goals to improve the direct deposit setup experience.
To minimize customer friction with direct deposit setup we would:
1. Reduce direct deposit enrollment form errors to increase setup 20%
2. Decrease payroll provider login friction to increase setup to 50%
3. Improve info communications to increase setup to 80%
To prioritize these, we focused on coming up with an MVP which would minimize most customer friction with the least engineering effort.
We also came up with a design with most engineering effort, with the most potential. The solution would help our 3rd goal by omitting all customer to employer email communication, and providing us enrollment statuses during the entire setup process.
Each proposed solution was tested against our customer goals.
1. Automate the direct deposit form generation
By pulling data from other parts of the platform (current customer data captured from linked bank accounts), we can anticipate input data and automate form generation in a seamless way. All a customer needs to do is review and submit the form.
2. Provide a selection of payroll provider logins
70% of customers who do set up direct deposit did so directly with their payroll provider by logging in. Providing a window into the payroll provider login can minimize friction.
Our last solution would minimize customer friction almost entirely, but had the most engineering effort.
3. Automate direct deposit setup by directly connecting to a customer’s workplace payroll provider (we’d have a partnership with payroll providers and can display direct deposit statuses!)
We could eliminate customer to employer email communication of the form, and also cover the use-case where a customer does not know their workplace payroll provider.
We discussed prioritizing this last solution to last because the first solutions would be a great fallback experience incase of future connectivity issues with the third-party payroll provider service. Relying completely on a third-party is potential for a broken experience down the road.
We went through a bunch of iterations on not just the different flow solutions as discussed above, but also the little details within each flow were also iterated on;
- How the postDDsubmit status would be displayed. I tested different prototyped statuses which included animations.
- What the received postDDsubmit response messages would say. I tested with the UX writer to create more user-friendly messages which would be displayed with each status.
- Payroll provider setup steps. During testing of our second solution, we found customers appreciated payroll provider setup steps with added copy-paste functionality to save their account and routing number information prior to entering this information in the PP login flow
We found customers are more likely to set up direct deposit if they are applying for our free cash advance product, Instacash. We had both data and customer feedback to support this, and wondered if there were any other types of incentives to increase direct deposit setup.
Without adding extra risk and cost to our project, we decided to iterate on a flexible a/b testing for any future incentive testing.
We found that rewards are costly and weak incentives as opposed to gaining access to the Cash Advance product customers so desperately wanted to take advantage of.
Iterations of incentive tests are on-going, but there are currently no indications showing any incentives other than cash advance play a role in the deciding factor for customers to switch their direct deposits.
We evaluated flows using click-through prototypes and usability testing both moderated and unmoderated, prior to green-lighting for development.
We had customers go through the new flows and we would gather feedback to gauge if we had met our customer goals.
✅ We saw a decrease in payroll provider issues and an increase in direct deposit setup when we better communicated the option of payroll provider setup and provided DD enrollment statuses.
Success metrics met:
1. Increased DD setup success from 16% to 84%
While advocating for our customers, we were able to meet both their needs and the businesses needs and surpass our 76% OKR.
With the rise of automated technologies, much of manual input should be automated. Products which do things on our behalf, acting as an agent for us, decreases user error and provides more value.
I was the design lead for this project, from beginning to launch. This was a team effort which included working with engineers, PMs, and other creatives such as writers and marketing team members. We brought in the engineers early in the process to discuss use of the third party API for use in our 3rd solution, and to share ideas, feedback, and project constraints.
This project was mapped out with high-fidelity wireframes. We used our 2019 design system framework, so there was no focus on aesthetic or transitions in this project.