Bank customers are concerned about overregulation: ABA report

investmentnews.com:

American bank customers are concerned that overregulation of the banking industry will lead to restricted access to credit.

A poll conducted earlier this month by Morning Consult for the American Bankers Association found a high level of satisfaction among the 4,423 adult participants with 87% satisfied or very satisfied with their primary bank and 96% rating its customer service as good or very good.

Around eight in ten respondents said they feel their money is safe with their bank, that the fees they are charged are transparent, and that the industry is highly competitive. Almost nine in ten believe their bank helps protect them from fraud and scams.

“This national survey demonstrates that banks across the country continue to meet their customers’ needs and exceed their expectations in today’s highly competitive financial services marketplace,” said Rob Nichols, ABA president and CEO.

Last month, the Consumer Financial Protection Bureau said that large banks are offering worse credit card terms and interest rates than small banks and credit unions, regardless of credit risk. This, it says can cost the average consumer $400-500 in additional annual interest.

“Our analysis found that the largest credit card companies are charging substantially higher interest rates than smaller banks and credit unions,” said CFPB director Rohit Chopra. “With over $1 trillion in credit card debt outstanding, the CFPB will be accelerating its efforts to ensure that consumers can access better rates that can save families billions of dollars per year.”

But the ABA’s chief executive hit back at the bureau’s statement.

“As the CFPB continues to make misleading statements about the competitiveness and fairness of our industry, this new data