Which? manifesto to put customers at the heart of banking

Which? has published a Banking Manifesto to help rebuild trust between banks and their customers by putting service ahead of short-term profit.

The ten point action plan comes after the Future of Banking Commission highlighted that a dramatic change in banking culture is needed to move the industry forward. At the heart of Which?'s manifesto is a renewed focus on the needs and interests of customers.

Which? chief executive, Peter Vicary-Smith says: "Banks have been allowed to ride roughshod over their customers for too long. Mis-selling, poor products and unsuitable financial advice have become the cornerstone of the banking culture and this must change.

"Which?'s Banking Manifesto will put consumers at the heart of banks business and ensure that good customer service is put ahead of short term profit."

The ten demands of Which?'s Banking Manifesto:

Ban sales incentives and commissions - instead reward branch and call centre staff for providing high-quality service.

Make all bank fees fair - charges must be transparent and proportionate to the cost of providing the service.

Make switching easier - the switching process needs to be made clearer and quicker.

Support customers in financial difficulty - bank charges and overdraft fees should not contribute to a customer's financial instability.

Existing customers should not be penalised for being loyal to their bank.

Inform customers of risks - banks must clearly state whether products are covered by the Financial Services Compensation Scheme.

Offer 100% guaranteed accounts - new accounts should be offered that are protected from external risks.

Provide services that meet customers needs - a range of services must be available to prevent excluding customers who are unwilling or unable to bank online or those who wish to use cheques.

Ensure complaints are dealt with fairly and quickly - all complaints must be dealt with in a timely manner.

Give management long-term incentives - managements remuneration must be linked to long-term incentives to help create a more customer-focused industry.