ANN ARBOR, Mich.—In a development that should raise alarms, for the third year in a row the nation’s credit unions have not only again fallen behind banks but hit another “historic low” when it comes to consumer “satisfaction” in one respected national survey.
Credit unions fell 1.3% to a score of 76 on a 100-point scale in the 2021 American Consumer Satisfaction Index (ACSI) conducted by the University of Michigan in conjunction with the American Society for Quality in Milwaukee and CFI Group in Ann Arbor, Mich. The nation’s banks achieved a score of 78, their same score as in 2020.
After seeing their long-time edge over banks sharply erode in 2018, credit unions first fell behind banks on the issue of satisfaction in the ACSI survey in 2019, as reported here. America’s consumers remained less satisfied with credit unions than banks in the 2020 survey findings.
CUToday.info over the past two years has provided extensive coverage of the issue.
Among banks, regional and community institutions still lead the way despite slipping 1.2% to 80. Satisfaction with the national banks is unchanged at 76 in the latest survey, followed by super-regional banks with a steady score of 75.
Perceptions of Credit Unions
Credit unions received their lowest scores in consumer perceptions of numbers and locations of ATMs (68) and branches (68)—with both scores down from 2020 (69, 70, respectively).
CUs were rated highest for courtesy and helpfulness of staff (84), speed of financial transaction in branch (83) and quality of mobile app (82). However, all those scores declined in 2021 over 2020 (86, 85, 83, respectively).
National banks in the 2021 report performed best with quality of their mobile app (84) courtesy and helpfulness of staff (83) and website satisfaction (83).
The mobile app findings are consistent with significant recent reporting in CUToday.info related to how consumers view technology offerings from different types of financial institutions.
“Financial services took a hit in the eyes of consumers last year but managed to weather the storm for the most part,” said David VanAmburg, managing director at the ACSI. “Banks, in particular, are better positioned than most because of the industry’s years of commitment to – and investment in – digital offerings. Whether paying bills, transferring money, or checking your balances, banking has established itself as a super digital-focused enterprise that’s managed to successfully cater to a digitally engaged consumer base.”
Individual Bank Rankings
In the American Customer Satisfaction Index, individual credit unions are not ranked, due to their size, with the ACSI providing a composite score for all credit unions.
Many of the largest banks and brokerage firms, however, are rated individually.
Chase and Citibank remain tied for first place among national banks, both unchanged at 77. Bank of America inched up 1% to 76, while Wells Fargo dipped 1% to 74, marking its fifth straight year in last place, ACSI reported.
Capital One leads super regional banks, climbing 1% to 78. PNC Bank and TD Bank are next in line, both steady at 76. Truist, formed by the merger of BB&T and SunTrust, debuts with an ACSI score of 75, tying both Regions Bank (down 1%) and U.S. Bank (unchanged).
Near the bottom of the category, Citizens Bank (down 1%) and Fifth Third Bank (up 1%) score 74 each. KeyBank sits in last place despite a 1% uptick to 73.
Online Investment Firms
Vanguard topped the online investment industry following a 1% bump to 80. Fidelity also improved 1% to an ACSI score of 79.
Customer satisfaction with the group of smaller online investment firms is unchanged at 77. Among those providers:
- Charles Schwab and Wells Fargo each improved 1% to 80 and 79, respectively, followed by Merrill (Bank of America) and Morgan Stanley, both up 1% to 78.
- In its first year of measurement, Robinhood landed at the bottom of the category with an ACSI score of 71.
How Findings Were Reached
The ACSI Finance Study 2020-2021 is based on interviews with 15,120 customers, chosen at random and contacted via email between October 5, 2020, and September 30, 2021.