1 in 3 likely to move away from major banks: survey

Nearly 20% of respondents said they were considering a bank change because of the royal commission

1 in 3 likely to move away from major banks: survey

The royal commission has made Australians more open to consider banking alternatives, according to a recent poll commissioned by the Customer Owned Banking Association (COBA).

New research reveals that 8% of Australians have already changed their provider; 17% are considering a change because of the royal commission, but haven’t yet; 18% remain undecided if they will consider changing; and 58% are not considering changing their banking situation.

The survey was done online from 17 to 20 May 2018 with 1,025 respondents. 

COBA launched its new campaign “Own Your Banking” last week to boost interest in customer-owned banking and other options in the banking market.

“The structural difference offered by a customer owned model — where 100% of profits go back to customers not shareholders — is resonating with consumers,” COBA CEO Michael Lawrence told MPA. “We are already getting some terrific feedback about our campaign after its opening week.”

Not surprising
People’s Choice Credit Union chief executive officer Steve Laidlaw said “he was not surprised at the level of interest across Australia from people looking to enjoy the benefits of banking with a credit union”.

In a statement, he explained that customers of credit unions are both their members and shareholders, so they “focus on offering the most competitive products and services while committing to sustainable long-term relationships rather than short-term profits”. 

Australians who are open to switching to “a true competitor” need to consider alternatives, according to Laidlaw. What people can see from the poll, factoring in Credit Choice’s own experience when speaking with new members, is that Australians are willing “to vote with their feet”.

The COBA poll is a summary of a weekly omnibus carried out by Essential Research with data provided by social and market research company Your Source.


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