Customer Satisfaction With Retail Banks Falls
If outsized fees, long lines and poor problem resolution have left you even more dissatisfied with your bank this year, you're not alone.
An annual survey conducted by J.D. Power and Associates found that customer satisfaction with retail banks declined for the third year in a row. Dissatisfaction with fees is the most commonly reported problem, as well as the No. 2 reason why customers switch to another bank.
The poll also found more problems being reported, fewer problems being resolved, longer wait times and more difficulty in accessing branches.
Banks have exacerbated the problems by reducing staff and increasing fees to meet shareholder demands, says Rockwell Clancy, J.D. Power's executive director of financial services. Banks' negative image is only compounded by the shaky economy, as consumers often blame them for troubles in the housing and mortgage markets.
"Now is the time for banks to really differentiate themselves from competitors by focusing on customer service and convenience," Clancy adds. "Banks with higher levels of customer satisfaction will generate higher deposit growth and achieve better financial results over the long term."
The survey of 19,602 households was conducted in January. Commerce Bank
(CBSH) - Get Report
and Wachovia
(WB) - Get Report
were the only national chains to receive a top ranking in at least one area of the country.
Sovereign Bank
( SOV), PNC Bank
(PNC) - Get Report
, Bank of America
(BAC) - Get Report
, Citibank
(C) - Get Report
and Wells Fargo
(WFC) - Get Report
all received a lowest ranking in at least one region.
A look at what banks received the highest and lowest rankings in each region of the country:
Mid-Atlantic:
Five stars: Commerce Bank
Bottom of the barrel: Sovereign Bank, PNC Bank, KeyBank and North Fork Bank, (which has been acquired by Capital One
(COF) - Get Report
)
Midwest:
Five stars: Commerce Bank
Bottom of the barrel: Fifth Third, LaSalle Bank (owned by Bank of America), Associated Bank, US Bank, Charter One, Wells Fargo, TCF National and Regions Bank
Southeast:
Five stars: BancorpSouth and First Tennessee Bank, a division of First Horizon National
Bottom of the barrel: Bank of America, Citibank, Compass, AmSouth and Regions Bank
Southwest:
Five stars: Wachovia
Bottom of the barrel: Wells Fargo and Compass Bank
West
Five stars: Bank of the West, owned by France's BNP Paribas
Bottom of the barrel: US Bank, Bank of America and Wells Fargo