Card Fees: to Impact Customer Loyalty
- According to the Research Intelligence Group, one third of the US banking customers may plan to change bank if asked to pay additional debit card fees.
- This result reflects behavioural alterations due to the recent regulatory and card commission-related evolutions in the US card market.
- Nevertheless, 43% of those interrogated would rather opt for other means of payments than change bank: 28% would go for cash payments and 15% would use their credit card.
- These assessments must be taken into account as the Durbin Amendment is likely to impact banks’ customers portfolios.
- In March 2011, another study conducted by Bankrate revealed likewise customer intents: 64% would consider changing bank if new fees were to be paid. This survey also reminds one of the customers’ lack of enthusiasm with regard to the procedures required to close an account.
- Yet, this risk remains a central preoccupation: in Bankrate’s opinion financially favoured customers would be the first to leave: among those benefiting from 50,000 to 75,000 dollars per years, 73% might be thinking about moving their account to another banking institution; among those earning more than 75,000 dollars per year, 75% could be planning to leave. These figures however decrease with the interrogated customers earning 30,000 dollars or less every year (60%).