Trust has a strong impact on loyalty in banking and is a major factor in determining where new financial accounts are opened by consumers
San Francisco, June 27, 1018: Trust is foundational to the relationship between banks and their accountholders. Whether it comes to having confidence in the security of funds or faith in the guidance of a financial adviser, trust is a key to building satisfying, long-term banking relationships.
Today, Javelin Strategy & Research announced its second annual 2018 Javelin Trust in Banking awards. The rankings are based on Javelin’s 2018 Trust in Banking report which ranks seventeen of the largest financial institutions in the U.S. by their accountholders’ perceptions of reliability and goodwill. Navy Federal Credit Union, Regions, and USAA take top honors and distinguished themselves with consistently high degrees of confidence among their accountholders that these institutions will act in their best interests and keep their accounts safe.
While fraud can be tremendously disruptive, it also offers opportunities for financial institutions to strengthen ties with accountholders through facilitating rapid detection and customer-friendly resolution. Smooth fraud resolution can strengthen trust and loyalty in a financial institution, but missing the mark can cost thousands of dollars and shatter consumer confidence. Fraud victims are fairly evenly divided about the impact of fraud on their trust in their financial institution. 27% of consumers reported that fraud decreased their trust, 31% indicated that it had no impact, and the remaining 41% state that their trust increased as a result of the way the fraud was handled.
“The growing intensity and sophistication of fraud threatens the trust consumers have in financial institutions,” said Al Pascual, SVP, Research and Head of Fraud & Security. “Successfully building relationships requires a broad approach – from tools to help accountholders build healthy finances to comprehensive fraud prevention, detection, and resolution capabilities.”
Related Javelin Strategy & Research Reports:
- 2018 Identity Fraud: Fraud enters a new era of complexity, February 2018
- 2017 Trust in Banking, June 2017
- Building Better Online Banking, June 2018
- Account Safety in Banking Scorecard, September 2017
About Javelin Strategy & Research
Javelin Strategy & Research, a Greenwich Associates LLC company, is a research-based advisory firm that helps its clients to make better-informed business decisions in a digital financial world. Our analysts offer unbiased, actionable insights and unearth opportunities that help financial institutions, government entities, payment companies, merchants, and other technology providers. (Twitter: @JavelinStrategy)