In an age where consumers have come to expect nearly everything for free, most big banks have stopped offering free checking accounts. As a result, they are pushing many mass market consumers to other institutions.
By Rob Rubin, Managing Director, Novarica
In a previous column we examined data showing that only 21% of big banks offer free checking accounts. The data below demonstrates that eliminating free checking accounts has made big banks less appealing to many mass market consumers.
In May 2013, FindABetterBank.com users who selected an account with a big bank had daily balances that were 78% higher than mass market shoppers choosing accounts with small institutions (less than 100 branches). It’s clear that without free checking products, big banks are pushing many mass market shoppers to other institutions.continue reading »