Most think switching is too hard

Only 7.6 per cent of Australians switched bank accounts in the past two years. Almost 80 per cent had never given switching a thought. The reason? Most thought it was too hard. Clinical psychologist Grant Brecht says financial institutions rely on apathy. ”They know a good percentage of people stay, no matter what service they receive,” he says. ”People only break the inertia when things become so bad they can see that others are better off.”

For most who make a change, poor customer service is the deal breaker. Others find better rates elsewhere. Fees and accessibility are also important considerations. ”You want to make sure you get the terms and conditions to check you are actually moving to a better account,” Greg Kirk, from the Australian Securities and Investments Commission, says. Online comparison sites such as make this task easy.

Source: The Age