Credit unions trump banks in service survey

The enthusiasm and knowledge of staff is something that really showed through. Andrew Inwood, Brandmanagement GroupNZCU Baywide chief executive Gavin Earle says he always knew banks were second-rate when it came to customer service, when compared to credit unions, and is glad the comparison is now more than anecdotal.
International market intelligence company Brandmanagement Group has ranked New Zealand credit unions well above banks in terms of overall customer experience when opening an account.
Brandmanagement sent mystery shoppers into banks and credit unions to set up a new savings account.
They were asked to rate their experiences from initial contact and friendliness of staff, through to disclosure of fees and quality of material and information provided.
Mr Earle said customer service was one of the foundations of a credit union, so he wasn't surprised by the findings.
"Although we provide the full range of personal banking services that banks do, our model is different. Our customers are also our owners who share in our success, therefore the relationship is much closer."
He said the communal ownership structure was the foundation of credit unions' success.
"They don't have the pressure to maximise profits for external shareholders like banks. Credit unions put profits back into a combination of better rates, fairer fees, responsible lending, community support and, of course, outstanding customer service."
Brandmanagement Group's Andrew Inwood said the overall score proved that credit unions were on the right track.
"The enthusiasm and knowledge of staff is something that really showed through in the findings, largely due to the genuine buy-in that staff have to the credit union philosophy of people helping people," he said.
"After all, when all is said and done, what customers really care about is how important the organisation they are dealing with thinks they are and how interested they are in their happiness."