This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Banks Are Failing in Customer Service

NEW YORK (TheStreet) -- When it comes to customer service, banks have an image problem.

New data from Carlisle & Gallagher Consulting Group in Charlotte, N.C., show that one in three banking customers had a problem with their banks that was not resolved. In addition, 65% of banking consumers say their bank does not measure up with non-banking companies in terms of customer service.

In a separate study from the Temkin Group, grocery stores, fast food outlets and overnight parcel services earned the highest scores for customer service across major industries; banks were nowhere near the top here, either.

The Carlisle & Gallagher study cites Zappos and AmazonApple and Disney as the best companies for customer service in the U.S.

Must Read: 5 Reasons You May Be 'Scared' of Money

So why aren't banks measuring up with other industries?

In the Carlisle study, 72% of banking customers say it took multiple tries to solve a core banking problem, with 88% of consumers having to go back to the bank again and again to solve a mortgage-related issue. Credit card servicing is another sore spot, with 72% of consumers surveyed saying it took two or more "interactions" with banks to solve a credit-related problem.

Bank customers dealing with debit card and personal checking headaches fared little better, with 66% and 64% of customers having to make repeated contacts to solve a problem in those key banking areas.

It's clear banks are costing themselves money by not upping their level of customer service. About one in four bank consumers would either end their relationship or do less business with a bank if it took multiple contacts to solve a customer service problem.

Poor customer service is a big, and ongoing problem for banks, especially compared with other industries that garner high marks from consumers.

"Financial institutions have a long way to go to become great customer service organizations," says Patricia Sahm, a customer experience director at Carlisle. "In today's world of instant gratification, consumer expectations are being shaped by experiences outside of the financial services industry where content, interactions and features are richer, delivering a more engaging and rewarding experience for the consumer."

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.99 0.00%
FB $99.54 0.00%
GOOG $678.11 0.00%
TSLA $148.25 0.00%
YHOO $26.82 0.00%


Chart of I:DJI
DOW 16,014.38 -12.67 -0.08%
S&P 500 1,852.21 -1.23 -0.07%
NASDAQ 4,268.7630 -14.99 -0.35%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs