subscribe to our newsletter
Major bank satisfaction hits three-year low

Major bank satisfaction hits three-year low

Customer satisfaction with Australia’s big four banks has reached its lowest level since 2013, according to Roy Morgan Research.

Satisfaction with the banks declined in five of the six months ending June 2016, reaching a low of 79.5 per cent – down 1.9 per cent on the same time last year.

Norman Morris, industry communications director at Roy Morgan, said the negative trend was led by a 0.9 per cent decline in home loan satisfaction.

“Not only are the big four’s home-loan customers’ low satisfaction levels having a negative impact on overall satisfaction, but they all have lower satisfaction rates than the smaller banks’ home-loan customers, making them less competitive in this critical market,” he said.

Additionally, poor service, ‘exorbitant’ fees and a number of issues with branches all contributed to reduced satisfaction.

Mr Morris said more attention needed to be given to these issues in order to address falling satisfaction levels.

“Addressing these problem areas would not only be likely to increase satisfaction levels, but would also increase the proportion of ‘very satisfied’ customers, which would in turn increase the likelihood of customers becoming strong advocates – an objective of many banks,” he said.

The gap in satisfaction between the big four banks and mutual banks has widened in the last year, with mutual bank satisfaction sitting at 90.7 per cent.

[Related: Heritage Bank scoops up prestigious award]

Major bank satisfaction hits three-year low
mortgagebusiness logo

Latest News

The prudential regulator has outlined why there is often so much divergence between borrowers and lenders over a four-letter word. It’s no...

Personal insolvencies in Australia rose by 5.6 per cent in the 2017–18 financial year, according to new data from the government. ...

Financial sector reviews have not changed the way Australian banks evaluate performance, the Finance Sector Union has told the royal commiss...

Promoted Stories

podcast

LATEST PODCAST: Non-major rate changes, Bankwest focuses on brokers and Westpac leaves SMSF space

Do you expect access to credit to get harder this year?