Consumers holler about all the features they want their checking accounts to have. But when they finally switch, fees wind up driving their decision.
An annual study from Bankrate says free checking is alive and well at most credit unions, but banks are running the other direction.
Does raising the fee by 10% add 10% more to the bottom line? No. In fact, fee income drops while customer attrition increases.
Millennials struggling with their finances are turning to alternative banking providers to find lower, more transparent fees and convenient access.
Small institutions must promote surcharge-free ATM access to meet consumers’ demands, and should consider ATM fee rebates for high value customers.
A lucrative segment of consumers wants free checking and savings, but many banks are killing these services. Are they shooting themselves in the foot?
In an ABA survey of US consumers, 65% say they pay less than what it costs for gallon of gas. 55% say they pay nothing at all.
Most national banks have killed free checking because people will pay fees for branch convenience. Are they setting the trend for the rest of the industry?
Many banks worry prepaid will cut into their checking business. Some are diving in, while others are sitting on the sidelines, unsure how they want to play the game.
A combination of mobile banking and high fees and conspired to lower consumer demand for overdraft protection services.
When customers haven't had to pay for basic banking services for so many years, it may seem hard to believe but there are actually some things they are willing to pay for.
Retail financial institutions face a nasty decision: How to raise fee income without pissing off customers. This study by Deloitte looks at what kinds of fees consumers will swallow... and which ones they won't.