The proportion of Canadian adults who do some of their banking over the Internet has not increased over the previous year, according to a study released today by market research firm TNS Canadian Facts.

According the study, which was conducted in the fall of 2004, three out of 10 Canadians reported using an online banking service in the month prior to the survey, a finding that is similar to the results from the 2003 study.

This is the first time online growth has stalled since the firm began conducting its research in 1997.

In addition, fewer non-users now express an interest in banking over the Internet. Only 6% of those who have not yet signed up for Internet banking are likely to do so in the next six months.

“Internet banking has clicked with many Canadians, but the huge growth we saw over the past few years has levelled off,” said Rhonda Grunier, a vice president at TNS Canadian Facts, in a release.

“Internet banking is filling a need for a sizeable segment of consumers, but it is not for everyone, so we should not be surprised that growth is slowing or even stopping,” Grunier said.

Other banking methods are also holding their own, although the frequency of using some methods continues to evolve.

While the proportion of Canadians who have visited a branch to conduct transactions with a banking representative in the past month is stable relative to 2003 (59%), the proportion who are weekly branch visitors has declined.

Similarly, past month usage of automated banking machines is unchanged from last year (75%), but weekly ABM usage is also becoming less common.

Meanwhile, phone banking usage, at 20%, is down from its 2001 peak of 26%.

According to TNS, online banking has not replaced telephone banking in part because the human interaction that the phone offers may be an important complement to the use of other electronic channels.

For the study, TNS Canadian Facts surveyed a nationally representative sample of Canadian adults 18 years and older. A total of 2,146 self- administered mail surveys were completed between September 28 and November 1, 2004. The survey results are considered accurate to within 2.1 percentage points, 19 times out of 20.