Thursday, May 06, 2010

Westpac Comes Last For Service: Survey

Westpac has ranked as the worst bank for customer service in a survey, one day after announcing a record profit.

More than four-in-ten respondents to the Finance Sector Union Better Banking survey, or 42 per cent, said Westpac service was unsatisfactory, more than any other bank.

The poor showing by Westpac comes after the company announced a record $2.98 billion first-half net cash profit yesterday. Westpac also outraged consumers in December by hiking rates on its mortgages 20 basis points over the 25 basis point increased announced by the Reserve Bank.

''Westpac's decisions to move too far on interest rates, provide inadequate staffing, send Australian jobs offshore… are reflected in the public's perception of them,'' said FSU National Secretary Leon Carter.

''Unfortunately all banks engage in these sorts of tactics,'' said Mr Carter, who also highlighted large executive pay packets and rising fees as contributors to the banking sector's public perception problems.

Westpac's dissatisfaction ranking compared with 33 per cent for Commonwealth and 30 per cent for ANZ. Westpac-owned St George garnered 27 per cent of respondents complaining of subpar customer service.

Overall, the study shows that 28 per cent of customers are dissatisfied with their banks, the FSU said.

The report also showed 16 per cent of respondents were ''very uncomfortable'' with their debt levels, while 29 per cent consider themselves ''uncomfortable'' with debt. Australians have continued to wade into the housing market through the period of the global financial crisis, pushing the average mortgage in Australia to nearly $300,000.

Borrowers are paying nearly $300 more a month on an average 25-year, $300,000 mortgage repayment after the Reserve Bank this week raised rates for the sixth time in eight months.

The Better Banking survey, conducted by the FSU, is based on the responses of 2744 customers nationwide.


the age 6.5.10

1 comment:

Conveyancing Lawyer said...

Westpac deserves this result. I have had some terrible experiences as a conveyancing lawyer trying to deal with westpac on both the purchase finance side and the mortgage discharge side. It once took me 75 minutes going through their call centre to actually speak to a real person.