ANN ARBOR, Mich.—Credit unions are doing much better this year at providing service amid increased new member signings, according to the latest American Customer Satisfaction Index (ASCI) released Tuesday.
The annual consumer satisfaction survey shows credit unions posted an 85 (on a 1-100 scale) on the index this year, rebounding from 82 in 2012, when they dropped five points from 2011. Banks scored 78 on the latest index.
“Credit unions adding three points to their total is a very significant improvement,” said David VanAmburg, managing director of ASCI, who surmised the five-point drop in 2012 was largely due to CUs not being prepared to deliver the same service levels with many more members joining.
“In 2012, it was almost be careful what you wish for,’ because the numbers showed last year that credit unions had some catching up to do,” said VanAmburg. “CUs appear to have caught up with all the demands that come from adding the new members.”
Despite the decline in 2012, VanAmburg pointed out that credit union consumer satisfaction scores have consistently topped banks since the index began including CUs in 2008.
“CUs still remain best-in-class for financial services, well ahead of banks,” said VanAmburg. “As I said, three points is a significant statistical difference, and credit unions have more than doubled that over banks.”
In the latest index, credit unions tied for first with the television and video players industry; soft drink and consumer shipping industries tied for third with 84.
Consumers ranked CUs highest for courtesy and helpfulness of staff (93) as well as for transaction speed (90), and like their pricing (85), especially free checking. Credit unions ranked lowest for accessibility, scoring 72 for number of ATMs and 71 for total branches.
“Access is still credit unions’ biggest problem,” said VanAmburg. “But at the end of the day, it’s just a minor inconvenience in the minds of consumers compared to all the upsides of credit unions.”
Consumer satisfaction with banks has been steadily rising from low points during the height of the recession.
“Banks suffered a big drop in 2008, falling to 75 from 78 on the index,” said VanAmburg, who noted that banks’ overall ASCI score remained relatively flat through 2011. “Last year banks improved two points and this year one point, bringing them back to pre-recession levels.”
VanAmburg agreed that banks’ improvement in consumer satisfaction indicates their practice of adding fees in the last few years is paying off.
“If one is clever and smart about their banking they don’t have to pay the new fees,” said VanAmburg, who suggested many consumers are becoming accustomed to the new bank pricing. “The bank is either making more money off a fee or getting customers to change their behaviors, wining both ways.”
Banks scored 91 for courtesy and helpfulness of staff, 88 for transaction speed and 85 for website satisfaction. They scored the lowest for call centers (77) and competitive rates (73).
The study was conducted between July 10 and Sept. 4, surveying 500 credit union members and 1,500 banks customers via telephone and e-mail.
