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Australians grateful for 'intense competition' between big banks

by Staff Reporter10 minute read
The Adviser

Happy home loan customers have driven approval for the banks to record highs, according to Roy Morgan Research.

The research group reported that the satisfaction level of personal customers reached a record 81.8 per cent in March.

That was an increase on the February result of 81.6 per cent, previously the best result recorded since the survey began 18 years ago.

Satisfaction with the mutuals was 89.1 per cent, while the big four banks scored 80.3 per cent.


The Commonwealth Bank was the big improver over the past year, with its satisfaction rating increasing by 1.9 points to 82.3 per cent.

NAB rose 1.2 points to 80.5 per cent; Westpac rose 1.3 points to 78.4 per cent; and ANZ rose 0.3 points to 77.6 per cent.

Those improved ratings were largely driven by home loan customers feeling happier about reduced interest rates, according to Roy Morgan.

Satisfaction among Westpac home loan customers rose 6.1 points over the 12 months, while Commonwealth Bank added 3.2 points, ANZ added 3.1 points and NAB added 1 point.

Roy Morgan’s director of business research, Nigel Smith, said borrowers had benefited from the “intense competition” between the major banks.

“This desire to delight customers is particularly evident among highly valuable mortgage customers, where the banks spare no effort to please their customers,” he said.

“However, this intense competition for consumers, particularly mortgage customers, among the big banks has not been reflected in the business financial services market, where satisfaction levels appear stagnant.

“ANZ’s recent attempts to be more competitive in this area have shown clear dividends in satisfaction terms, and over time should also result in improving market share.”

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