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Unsolicited insurance approaches appear to be one of the top concerns for New Zealanders with Australian banks, it has been revealed.
According to the latest survey from Consumer NZ, local banks TSB, Cooperative Bank and Kiwibank have outstripped the big four Australian banks for service, scoring 87%, 82% and 71% in customer satisfaction ratings respectively.
Aussie-owned banking giants ANZ and ASB, meanwhile, ranked last with only 52% of their customers being very satisfied with the service they were getting.
“Both banks rated below-average for value for money and their customers were also more likely to be thinking about switching,” Consumer NZ chief executive officer Sue Chetwin said.
Moreover, ANZ and ASB stood out for their upselling practices. Their customers were significantly more likely to report the banks for offering financial products – such as life insurance – without the customer requesting the product.
Overall, the report notes, 27% of customers reported getting unsolicited offers from their bank for products ranging from insurance to mortgage top-ups. The most common offers were credit cards and increases in credit card limits.
“While there’s nothing wrong with banks letting their customers know about new products, the practice raises questions for us about the banks’ compliance with their responsible lending obligations,” Chetwin noted.
Other banks, including BNZ and Westpac, picked up a customer satisfaction score of 65% and 55% accordingly.
