SMS 2FA is not great, but still seems to be more secure than a rooted phone.

If your SMS OTP leaks to the attacker, they still need to know the first factor (password, biometrics) to gain access.

Meanwhile, if your rooted phone is controlled by an attacker ... that's it, the attacker has everything.

Fair. I still wouldn’t want to have such a fallback available by default. Being stronger than an even worse option doesn’t change that. Because it eliminates the security of the strongest option.

> SMS is magnitudes less secure than the Secure Enclave in my phone.

The secure enclave on a rooted phone that no longer has execution integrity?

Agreed. Unfortunately almost every bank here forces me to use this less secure option "for security" due to my rooted phone. Not one has just offered standard TOTP (perhaps because the pull-only nature of it means they can't present the message explicitly telling the user what they're about to authorize. Which is an understandable qualm I guess)