Have you ever heard the phrase The Customer is always right?
It’s a lovely concept, but so often modern banks and financial institutions fall short of this lofty mark. This is where the Customer Owned Banking sector stands out – instead of having shareholders, those who bank with these institutions are the ones who own it.
If you value customer service and community focus, you’re not alone. One in five Australians is a customer of a Credit Union, Mutual Bank or Building Society. Collectively, Australia’s customer owned banking sector manage over $85 billion in assets, representing one of the largest and most successful sectors of its type in the world.
So what is it about customer owned banking that is drawing customers away from the big banks?
Their customers tend to be happy
A recent Banking Satisfaction survey by Canstar, which is echoed by the findings of the Customer Owned Banking Satisfaction (COBA), found consistently high levels of customer satisfaction among the customer owned sector. The Greater has been named Australian Building Society of the month by Roy Morgan Research for the past 18 months straight, with customer satisfaction levels not falling below 95%.
Mutual banks tend to be small in size and, being customer owned, have a customer-centric focus. This enables them to more easily offer personalised service that many of their members value. Although the Greater enjoys the largest branch footprint of any customer owned financial institution in Australia, our staff live and work in our communities of operation, meaning we genuinely care about our local customers’ needs.
In terms of rates that are on offer across deposit, loans and savings products, Canstar has indicated that customer owned banking institutions really measure up. Across standard fixed and variable home loans, as well as savings accounts, the rates offered by the customer owned sector can translate into great value.
Your custom keeps the market diversified
Diversification in any market means increased competition and choice for consumers. As a customer of a mutual financial institution, you’re helping to keep diversification in the banking sector a real and viable thing.
So if you’ve been looking for better value, more personalised service, or just a banking experience that will put a smile on your face, perhaps it’s time to make the switch.