SWITCHING BANKS June 26, 2018 1
QUESTION PLAN # Type Question Options 1 Open Question What incentive would make you consider changing the bank where your salary is deposited (your primary transaction account)? What would make you consider moving your primary transaction account? What incentives, financial, material, immaterial or otherwise, might make you decide to move? N/A 2 Rating Question Please rate each of the following incentives with respect to how much influence they might make on your decision to change your primary bank (the bank where your salary is deposited). Assume that the bank you're switching to is offering a better package and rates than you currently have. This incentive is simply a welcome gift. 1. $200 Cash 2. $250 worth of Woolworths vouchers 3. A day spa experience for 2 people 4. Ferrari test drive half day experience 5. $250 donation to the charity of your choice in your name 6. An Australian Wallabies' jersey, signed by the team. 2
SURVEY RESULTS 3
Question #1: What incentive would make you consider changing the bank where your salary is deposited (your primary transaction account)? What would make you consider moving your primary transaction account? What incentives, financial, material, immaterial or otherwise, might make you decide to move? Type: Open Question Responses: 50 Response Gender Age State Main incentives:- Multiple sub accounts to manage my money Excellent home loan interest rate Secondary incentives:- Velocity rewards Male 45 QLD No annual fees And better interest rate and no ATM fees Female 37 NSW High interest rate, no atm or account keeping fees Accessible - honest! Female 35 VIC Good customer service and better online/mobile banking Male 33 VIC Better interest rate and lower transaction fees Male 40 VIC A debit card that awarded points for shopping, paying bills etc. Points that could then be exchanged for gift vouchers or ecards or used to purchase items. Similar to say the Flybuys set up. For every $50 spent you get 25 points etc. No fees for a certain amount deposited monthly. Good interest rate for funds invested Free ATM withdrawal fees Good service Good mortgage rate Female 47 NSW Female 52 VIC if i was being overcharged, better intrest on savings account Female 41 ACT Rewarded with Qantas Frequent flyer points would be the most likely thing to make me switch. Male 43 NSW A great start up interest rate low fee or no fees & a bonus deposit when you make your first depisit Male 62 NSW Well the back would have to give a great incentive before i would consider changing banks Female 48 NSW I want to find out which bank my work deposits into so I can receive my funds a day earlier. Instaneous transfers between accounts would also be considered. No fees and credit card approval would be an absolute must. That would probably do it as that's what I don't have now. Male 33 NSW Male 63 QLD Reduced interest rate on our home loan at the bank we are transferring to Male 33 NSW I don't draw a salary from my business and my primary transaction account is with a large credit union with whom I have been with for 30 years for personal banking. No incentive would get me to switch especially to any of the 4 major banks, with whom I have had varying degrees of experience and usually ending in dis-satisfaction with over the years in the business arena. Male 63 VIC 4
Response Gender Age State Financial incentive - to know that I would reduce transaction fees, or get lower/higher interest rates (which ever is better in the circumstance). Also minimising the difficulty of transferring the account - eg by the new bank assisting with the paperwork and process. I am so sceptical of the banking system that I would be looking for the hidden catches in any incentive they offered. No advertised offer would initiate any change for me. A transaction account that pays interest. Bad service from my existing bank. Female 58 VIC Female 40 QLD Male 53 VIC Massive difference in interest rates and a holiday or payment off my loan Male 34 NSW An account with no transaction fees and no account keeping fees. And no ATM withdrawal fee. Fees!!! On a primary transaction account definitely would be fees and features such as types of cards, amount of free transactions, interest rate. Other main reason to change would be loan rates, if they would pay all switching costs and what they would offer, eg would they do a package, free transaction accounts for having home loan, Not really sure, i do think a big change in fees would make me cobsider, plus good personal service when hou go in to get help. I love that my current bank has a coffee machine for its customers. Also some sort of loyalty incentive, interest when you save and keep money in your account. I am a retiree and enjoy a good relationship with my bank ie no fees or charges I would not really consider changing unless I was. offered an outstanding interest rate.the question re salary does not apply - good interest for saving account - credit card benefits - free air miles for bank change - mortgage Female 62 QLD Female 45 NSW Female 52 SA Male 80 QLD Male 35 NSW If they had a high interest return for every deposit you made Female 35 NSW Something that would make me change would be like a reward for swapping such as an eftpos card or a movies voucher. I also like a bank with longer opening hours for when I do need to go into the branch. How quickly the pay goes in to the bank eg some banks pay arrives on a Thursday other banks pay arrives on a Friday Is the bank open on Saturdays? Shifting banks is a massive pain, its not just salary, it's loans and the most painful, direct debits (seems like hundreds of them). On top of this, there is credit cards etc. So, in short: Would have to be an awesome home loan rate with no fees going out or coming in No fee credit card(s) Lots of easy no fee ATM's - good mortgage deal - good interest - free air miles (a lot) - credit card benefits Female 40 QLD Female 51 SA Male 49 NSW Female 35 NSW 5
Response Gender Age State This is very difficult as banks are virtually the same, just different terms used for what they promote. I would expect to be able to contact them 24/7, in an emergency and be actually helped. That is a guarantee to put my needs first, especially if overseas and in need of help and support. I would consider it if the account allowed for no international transaction fees, purchase/merchandise protection if accounts gets deposits above $1000 every month, cashback schemes, loyalty rewards or targeted shopping discounts Male 69 WA Male 32 VIC Easier banking, more ATM's, more benefits with CC's, better savings for Children's accounts Female 45 WA Financial incentive. Such as deposit so much and get a reward. Good points reward system. Easy to access atms. Fee free for everyday accounts. Female 36 SA Loyalty or reward programs. In particular frequent flyer programs. Female 32 QLD I will consider to change my primary bank where my salary was deposited only when the interest rate goes down or it s becoming inconvenient Female 32 QLD No fee account with applepay Male 31 NSW Ease of move. No fee at any atm. A home loan linked incentive Female 36 VIC The Transaction account should have 0 ongoing fees and no withdrawl charges for withdrawing money from other ATMs. ING offers this, so I recently switched to ING Male 36 NSW I think that the following things would help entice me to s new transaction account: - a great online banking experience. I have left my transaction account with my old bank even though I moved my mortgage for that reason. - low fees with some leeway to overdraw because I am self employed and income doesn t always arrive when it should - new tools/apps that are being talked about that help with budgeting, planning and saving Female 56 NSW The bank would have to offer me no ongoing fees as well as free international transactions. Male 47 VIC I'm happy with my bank but less charges could be a factor Male 52 SA Perhaps a better deal than we are currently receiving on our current home loan with an offer of no fee when transferring together with other incentives. Lower credit card fees with interest free period would also be good. Female 59 TAS We would not be swayed by anything material. The most important to us is savings which give us more disposable income and less fees A better interest rate and free ATM use Australia wide Male 40 VIC I have been with the same bank for many, many years and I am very comfortable with them. I would find it very difficult to change banks as they offer low fees and have no account keeping fees. I don't think I would ever give them up unless they introduced fees. I would consider opening another account with another bank if it was a requirement for a loan Female 54 SA It has to be local perhaps a higher interest rate or some sort of reward Female 59 VIC I have recently moved banks, and the biggest incentive was my new bank (ING) has no fees. It doesn't cost me to use ATMs and I have a higher interest rate in my saving account because I deposit at least $1000 a month in it. I would never go back to one of the big four, and as soon as I can we are moving our mortgage away from the CBA. Female 31 VIC 6
Response Gender Age State Free Banking. Higher savings Interest rate. Male 51 QLD No fees or a high interest rate on savings, an offset to my mortgage or other discount on products, or a link to share trading facilities Initial incentive No atm fees No monthly fees No transaction fees Extra interest It would have to be some sort of financial incentive. And quite a substantial one at that. Or even maybe fee free on attached credit cards? Reduced interest on a loan? I have considered changing banks on a number of occasions, however I feel it is way too hard so I just put up with where I am. There is so much to consider and to change it just isnt worth it... Male 34 WA Female 50 NSW Female 50 WA 7
Question #2: Please rate each of the following incentives with respect to how much influence they might make on your decision to change your primary bank (the bank where your salary is deposited). Assume that the bank you're switching to is offering a better package and rates than you currently have. This incentive is simply a welcome gift. Type: Rating Question Responses: 50 Average Rating Chart 5 4.5 4 3.5 3 2.5 $200 Cash $250 worth of Woolworths vouchers A day spa experience for 2 people Ferrari test drive half day experience $250 donation to the charity of your choice in your name An Australian Wallabies' jersey, signed by the team. 2 1.5 1 0.5 0 Totals Rating A. $200 Cash B. $250 worth of Woolworths vouchers C. A day spa experience for 2 people D. Ferrari test drive half day experience E. $250 donation to the charity of your choice in your name F. An Australian Wallabies' jersey, signed by the team. 1 5 6 21 29 25 34 2 6 5 14 8 13 9 3 8 6 6 4 5 5 4 10 10 4 5 5 2 5 21 23 5 4 2 0 8
Results Chart 40 30 1 - No Influence 2 3 4 5 - Very High Influence 20 10 0 A B C D E F 9
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