J.D. Power Survey Finds Mid-Sized Banks Outperform Big Five in Customer Satisfaction

October 17, 2024 TruthUSA

A recent survey conducted by J.D. Power reveals that customer satisfaction is higher at mid-sized banks compared to the Big Five banks in Canada, with particular emphasis on fees.

The survey indicates that mid-sized banks such as Tangerine, ATB Financial, and Simplii Financial scored an average of 644 out of a possible 1,000 points, while the Big Five banks averaged a satisfaction score of 611.

J.D. Power notes a slight increase in overall satisfaction levels after years of decline and stagnation, coinciding with an improvement in customer outlook on personal finances and the economy.

According to the consumer insights company, the top three actions that erode trust include unexpected fees at 54%, blaming customers for errors at 32%, and negative banking practices highlighted in the media at 27%. High fees remain the primary reason why individuals consider switching banks.

The survey highlights that Tangerine Bank, an online-based subsidiary of Scotiabank, secured the highest ranking among mid-sized banks for the 13th consecutive year, with a score of 684. RBC ranked highest among the Big Five banks, achieving a score of 623.

These findings are based on responses from 14,460 retail banking customers collected in the early and mid parts of 2024.