Consumer NZ has revealed that not a single bank has qualified for its People’s Choice Award in 2026, due to widespread dissatisfaction with banking value, pricing and trust.
It’s the first time in 10 years that no bank has reached the customer satisfaction threshold for the award. New research by Consumer NZ shows 43% of customers think bank profits are unacceptable, with lower-income New Zealanders the most critical.
Consumer NZ CEO Jon Duffy says it’s disappointing no bank has managed to clear the bar. “Everyday banking hasn’t kept pace with what customers expect. Many customers don’t feel they’re getting fair value, especially when it comes to fees, interest rates and how banks respond when something goes wrong.”
Despite the low level of satisfaction in the survey, only 4% of New Zealanders switched banks in the past year. Duffy says the hassle involved with changing banks has been overstated, and he encourages New Zealanders who are dissatisfied to shop around for a better deal.
“It’s consumer behaviour that helps encourage competition and put pressure on banks to sharpen pricing, lift service and earn trust. By always keeping an eye out for the best deal and moving when you find a better one, New Zealanders will find they have more options and better leverage.”
Westpac came in at the bottom of the table, ranking lowest for responsible lending, value for money, timely responses, fees and charges, phone banking, branch banking, and the number of customers rating themselves “very satisfied”.
The research, based on a survey of 1,958 New Zealanders, also revealed Kiwibank trailed in the trust stakes at 70%, against a sector average of 75%.
“Open banking is here and, while it’s early days, it could lead to cheaper ways to make payments and more competition,” Duffy says. “But consumers won’t see that until it’s widely adopted.”
