One in five Aussies aren't satisfied with their bank

One in five Aussies aren't satisfied with their bank

The banking Royal Commission may have made an impact on what Australians think of their banks, with bank satisfaction levels declining by 4% over the first half of 2018.

According to the Roy Morgan Customer Satisfaction-Consumer Banking in Australia June Report, bank customer satisfaction dropped from 82.3% in January 2018 (prior to the Royal Commission), to 78.5% in May, before sliding even further to 78.3% in June – the lowest monthly satisfaction level since April 2012.

The report also found that 15.5% of bank customers are indifferent to their bank, while 6.2% are dissatisfied. This total of 21.7% of bank customers who are not satisfied with their bank was found to have increased from 17.7% in January 2018.

While the current level of bank satisfaction was found to be at its lowest level since April 2012, satisfaction levels are still well above the record low of 60% in January 2001, and above the long-term average of 73.8% since 2001. 

Which banks had the most satisfied customers?

Out of Australia’s ten largest banks by customer numbers, ING had the highest level of customer satisfaction, increasing by 0.5% points over the past 12 months to 88.6%. Other leading banks whose customer satisfaction improved included Bankwest (up 2.5% points to 83.8%) and St.George (up 1.2% points to 83.3%).

Other leading banks all saw declines in their level of customer satisfaction, ranging from falls of -0.2% points (Bank of Queensland, with 83.5% satisfaction) to falls of -3% (Suncorp Bank, with 80.1% satisfaction).

Out of the big four banks, Westpac experienced the smallest fall in satisfaction (-1.5% points to 76.4%), while CBA, NAB and ANZ all experienced falls in customer satisfaction of -2.7%.

Who are the least happy bank customers?

Roy Morgan industry communications director, Norman Morris, said that mortgage holders are the least satisfied bank customers, with their satisfaction levels generally coming in lower than those of non-mortgage holders:

“Declining satisfaction among home loan customers is a major contributor to the overall decline in customer satisfaction and is likely to be as a result of either increased rates or talk of rates being increased. This is likely to be having a negative impact in an environment where there hasn’t been any increase in the official cash rate by the Reserve Bank for a considerable time.”

Bank Mortgage customers satisfaction level (change since June 2017) Non-mortgage customers satisfaction level (change since June 2017)
Bendigo Bank 89.5% (-7.4% points) 87.5% (+0.2% points)
Bankwest 81.9% (-0.5% points) 84.4% (+3.4% points)
St.George 81.0% (-5.3% points) 83.9% (+2.7% points)
Suncorp Bank 80.4% (-3.2% points) 80.0% (-2.9% points)
Westpac 73.4% (-3.4% points) 77.0% (-1.1% points)
ANZ 73.4% (-2.5% points) 76.8% (-2.8% points)
CBA 73.2% (-5.1% points) 79.2% (-2.3% points)
NAB 71.9% (-5.3% points) 78.3% (-2.3% points)
Total banks average 75.7% (-4.0% points) 80.0% (-1.2% points)

Source: Roy Morgan

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Learn more about bank accounts

How can you cash a cheque without a bank account?

You can cash a cheque without a bank account if you visit the bank that issued the cheque. For example, if somebody sends you a cheque from Bank X (as written on the cheque) and you visit Bank X, it’s likely that Bank X will let you cash the cheque – provided the person who wrote the cheque has enough money in their account. Bank X would probably charge you a fee for the service.

Opening a bank account for someone under 18

How do you set up a bank account online?

Once you’ve compared bank accounts and found the right one, the process of opening a bank account online is quite simple and can be done in around 10 minutes.

To set up a bank account online, you’ll need to prove your identity and provide an approved form of ID as well as your tax file number (TFN).

If you’re a new customer of the bank, you’ll need to verify your identity and potentially upload documents before you can complete your online application.

Once your ID has been verified and you’ve set up your bank account online, you should receive your bank cards in the mail along with your PIN and any other account details.

Can foreigners open bank account in Australia?

If you’re migrating, studying or working in Australia, you’ll be pleased to know that you can open an Australian bank account. For the most part, opening a bank account in Australia is a simple process which starts by comparing the types of bank accounts foreigners can open in Australia.

Once you’ve found a bank account that suits your needs, you can start the application process.

When you apply for the account, you’ll need to provide proof of ID which may include your passport, overseas ID or credit card. You may also need to provide a copy of your visa and proof of address in Australia.

Depending on the bank and the type of account you choose, you may be able to apply for the account online or over the phone before you arrive in Australia.

What do I need to open a company bank account?

To open a company bank account, you will probably have to provide 100 points of ID, an ABN and an ACN. You will probably have to provide the details of all signatories as well.

Can I open bank accounts for my children?

A common question for new parents is, ‘Can I open a bank account for my child?’

The short answer is yes – as a parent you can open a bank account for your child.

Once you’ve compared your options and found a bank account that suits your needs, the process is relatively simple.

As the bank account is for your child, you’ll need to provide some documentation such as proof of ID, including your tax file number.

You will also need a copy of your child’s birth certificate, and in some cases you may also need to sign a guarantee of indemnity.

Depending on the bank and whether you’re an existing customer, you may be able to open a bank account for your child online. However, you may still need to go into a branch to prove your identity.

How do you open a bank account in Australia?

Opening a bank account in Australia is usually a straightforward process. Some banks give you the option of opening an account online, while others require you to visit a branch.

Different bank accounts offer different features, so it’s best to compare your options to find one that suits you.

All banks require you to pass an identity check to open a bank account. Australia uses the 100-point identification system, which means you’ll need to show a number of forms of ID that, together, add up to 100 points.

Common ID types include a driver’s licence, passport, Australian visa in a foreign passport, and Australian Medicare card. You’ll find out what types of ID are accepted when you go through the sign-up process online or at a branch.

Once your account is open, you’ll be given or sent a debit card that you can use to make purchases and withdraw money from your account.

How do you find a bank account number by name?

For privacy reasons, Australian banks won’t hand out account numbers or other details about their customers. However, if you provide a bank with a BSB and account number, they should be able to confirm if those numbers belong to one of their customers.

Can you find your bank account number online?

If your bank offers online services, you should be able to find your bank account number online by logging into your account on your bank’s website and checking your details there.

Keep in mind that each type of account you have with a bank comes with a unique account number. This means if you have a bank account as well as a savings account, for example, your bank account number and your savings account number will be different.

If you don’t have access to your bank account online or can’t login, you should be able to find your account number on a mailed bank statement, if you have one.

Alternatively, you can call your bank’s customer service number or visit a branch to retrieve your account number.

How do I open a new bank account?

There are a number of ways to open a new bank account – online, over the phone or in the branch. The trick is to decide what type of bank account you want beforehand.

It might sound like a simple enough task, but there are literally hundreds of bank accounts to choose from. And each offer their own banking features and benefits.

A comparison site like RateCity can help you work out what bank account product matches your needs.

Once you’ve made up your mind what you want, it’s advisable to have the following information ready for the application process.

  • A couple of forms of identification (such as driver’s licence, Medicare card, passport)
  • Tax file number
  • Residential address, contact phone number and email (though email is not essential)

Can I find my bank account number online?

Yes, you can find your bank account number by logging into your online banking and clicking on the relevant account.

Do I need to open a business bank account?

Just because you’re in business doesn’t necessarily mean you need a business bank account. You could be a sole trader not registered for GST, and use your personal bank account for business.

If you do want a business account, there are plenty of benefits attached to business transaction and savings accounts, as well as business term deposits.

There are business bank accounts designed for businesses with a high volume of transactions, and those for start-ups with a small amount of trade. You could also include an EFTPOS service with your account.

Some business bank accounts charge for the number of transactions per month, while others offer a pay-as-you-go fee structure, where you only pay fees for transactions you make.

It’s up to you whether your priority is mainly transactions, or earning the maximum amount of interest on your principal. There’s a business banking solution for you if you need one.

Can a debt collector garnish my bank account?

A debt collector can garnish your bank account, but only with a court order. This drastic action is usually taken only if you’ve ignored several notices asking you to pay the debt.

If this happens, there is nothing you can do to stop it other than immediately pay back your what you owe in full or make arrangements to pay it off in installments.

Once a garnishee order is issued, your bank will put a freeze on your account as it processes the order. This usually takes two to three days and you won’t be able to access any of your money during this time.

If you have Centrelink payments, they may be protected, depending on what the court order says.

Are bank accounts frozen when someone dies?

Yes, Australian bank accounts are frozen when someone dies. If you want to close the account of somebody who has died, you might have to provide proof of death and a copy of the will. You might also have to prove your relationship to the deceased person.

If you have a joint bank account with somebody who has died, you will generally be entitled to all the money in the account. Again, you might have to provide proof of death if you want to change the bank account from a joint account to a one-person account.