The consumer group's annual banking study reveals the big four score lower than their smaller rivals on customer satisfaction, based on the quality of advice, fee levels, and value for money.
Just 54% of ANZ's customers said they were satisfied with their service, slightly more than 55% for ASB. A total of 60% were satisfied with Westpac, and 63% with BNZ.
In contrast, the survey reveals Kiwis are happier with smaller banks. A total of 87% of Co-operative Bank's customers were satisfied with their service. TSB followed close behind with 83% satisfaction score. Kiwibank lagged behind at 66%.
The survey comes as regulators place greater focus on consumer outcomes in the wake of Australia's Royal Commission and RBNZ/FMA conduct reviews.
Of the 2118 people surveyed, 60% were happy with the service from their lender on average. Consumer NZ said this was on par with last year's survey.
The study also underlines concerns about potential mis-selling practices at New Zealand banks. A total of 24% of consumers said they were offered financial products they did not need.
The survey reveals the public is also in favour of greater regulatory scrutiny. A total of 70% want banks to be "monitored more closely" to protect people from "irresponsible practices". Only 47% said they trust banks.
Consumer NZ Head of Research Jessica Wilson said: “Banks have attracted a lot of bad press in the past 12 months for their selling practices and we would have expected to see a change in behaviour. However, our survey results don’t give us any confidence that’s happening."
