What Canadians Think About Their Banking Industry
Fast facts
- 75 per cent of Canadians have a favourable impression of banks in Canada; with one quarter of Canadians holding very favourable impressions.
- 81 per cent of Canadians believe that Canada’s banks are more stable and secure compared to other banks around the world
- 76 per cent think that banks in Canada are doing an important job in contributing to Canada’s economic recovery.
The bottom line
A large majority of Canadians have a favourable impression of their banks and agree that the country’s banks have performed better than other banks around the world because of sound lending practices, appropriate fees and by maintaining profitability. Most Canadians also believe that Canada’s banks are more stable than other banks around the world and that a strong banking sector is important to be able to compete on the international stage and support Canadian businesses.
Research firm The Strategic Counsel, asked Canadians what they think about their banks, the country’s banking system and the international efforts to further regulate the global banking sector.1
Canadians have a favourable impression of banks
Banks are in the customer service business and have worked hard to make banking more convenient and accessible to customers by extending branch hours, enhancing online and telephone banking and listening to customers to help better meet their needs. This level of customer service has contributed to Canadians’ favourable impression of banks:
- Three-quarters of Canadians have a favourable impression of banks in Canada, and these views are consistent in all regions of the country.
- When asked why their impression was favourable, most say it is because they receive good, personal service, have no problems with their bank and that their bank is there for its customers’ needs.
- The Ernst & Young survey confirmed this assessment, finding that the majority of Canadian bank customers (66 per cent) are very satisfied with the level of personalized attention they receive from their bank.2
- Also contributing to favourable impressions are recognition that banks protect their privacy and personal information (81 per cent agree), and that they make technology work effectively for their customers (78 per cent agree).
A strong, stable and secure banking system is important to Canadians
A steady and secure banking system is an important contributor to the Canadian economy and communities across the country and Canadians have confidence that their banks are performing well and remaining stable.
- 81 per cent of Canadians believe that Canada’s banks are more stable and secure compared to other banks around the world, with 48 per cent believing that they are much more stable.
- Canadians continue to strongly believe that Canada’s banks have performed better than most other banks around the world because they have better business practices including sound lending practices, appropriate fees and charges for their services and maintained profitability. Almost three-quarters (72 per cent) of Canadians agree with this view.
- 76 per cent think that banks in Canada are doing an important job in contributing to Canada’s economic recovery.
- And a separate survey by Ernst & Young found that in Canada, trust in banks has remained largely unchanged in the past year despite the recent global economic turmoil.3
Nine-in-ten (87 per cent) of Canadians continue to believe that a strong banking sector that is able to compete on the international stage and support Canadian businesses is important. And this sentiment is shared by Canadians regardless of region:
Good choice and competition
Canadians benefit from a high degree of competition and choice in the financial services marketplace. Seventy-seven domestic and foreign banks compete for customers’ business not only with each other, but also with a variety of other financial services providers, including 35 trust companies, 70 life insurance companies, about 200 finance companies, over 1,000 credit unions and caisses populaires and an array of federal and provincial financial agencies. When asked what they think about competition in banking, here is what those surveyed said:
- Two-thirds of Canadians (67 per cent) believe that there is good competition in the Canadian banking sector.
- However, when they are told that there are about 70 banks in Canada as well as credit unions, 89 per cent agree that there is good choice for consumers when it comes to financial services.
General inquiries:
1-800-263-0231 or inform@cba.ca
Media inquiries:
Rachel Swiednicki, Manager, Media Relations
(416) 362-6093, ext. 220 rswiednicki@cba.ca
