Washington, DC - A new survey by the National Association of Federal Credit Unions (NAFCU) found that credit unions continue to experience substantial membership growth, as well as an improved retention rate, in the wake of the November 2011 Bank Transfer Day. The survey results were reported in NAFCU’s October Economic & CU Monitor.
“It has been nearly a year since Americans frustration with banks’ excessive fees and poor customer service led to a mass migration to credit unions in the Facebook-fueled Bank Transfer Day,” said NAFCU President and CEO Fred R. Becker, Jr. “Our data confirms that consumers who gravitated to Main Street credit unions stayed because they found true value through unparalleled service, lower fees and competitive rates.”
Some of the key findings of NAFCU’s Monitor include:
- Nearly 56 percent of credit unions responding said membership growth in the past year has exceeded expectations.
- More than half of survey participants (55.6 percent) confirmed that the relationships with new members gained from Bank Transfer Day have strengthened. The most common impact among respondents has been an increase in accounts (60 percent), followed by real estate loans (33.3 percent), credit card loans (26.7 percent), auto loans (20 percent) and CDs (6.7 percent).The most common reason cited by new members for switching from a bank to a credit union is dissatisfaction with banks (46.7 percent), followed by superior credit union loan and deposit rates (30 percent), increase in bank fees (16.7 percent) and poor customer service at banks (10 percent).
In addition, NAFCU’s CULookup.com website remains a popular tool for consumers to find a credit union. Visitor traffic spiked dramatically on Bank Transfer Day, and remains up 30 percent as compared to last year.
About Us: The National Association of Federal Credit Unions is the only national organization that focuses exclusively on federal issues affecting credit unions, representing its members before the federal government and the public.