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Borrowers decide not to switch lenders

by Staff Reporter7 minute read

Making headlines today, The Sunday Age has reported that the federal government's scheme to make it easier for borrowers to switch lenders appears to have failed.

According to documents obtained by The Sunday Age, only a handful of borrowers have attempted to switch banks since the scheme was introduced in November 2008.

A survey of 1207 people, conducted by ASIC, found 40 per cent of respondents couldn’t be bothered to switch banks because of the “hassle”, while 10 per cent believed there was no point in changing because “all banks are the same”.

A further 10 per cent had tried to switch banks but found it was too hard, while just 23 per cent were happy with their current financial institution.

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