Credit unions are beating the banks in the battle for business, according to research conducted by Eureka. Since 1996 bank customer satisfaction has dropped by 41% – creating a niche market for many credit unions. 

Credit Union Services Corporation CEO Steve Laue said eight out of very 10 credit union members rated their credit union as excellent or very good. “But of the four big banks, less than three bank customers in 10 chose the same response.” 

Credit Unions are now believed by consumers to offer more “extra” services – like insurance – than the banks do, Mr Laue said. This builds a strong community association. “Credit unions retain more customers than the three major banks.”  

This upsurge in consumer choice is related to the banks cutting the number of branches, employers and the service standards.