As trust in financial institutions appears to have mostly improved globally – with some big exceptions – a survey of Singaporeans says significant numbers of them are disenchanted with their offerings.

As trust in financial institutions appears to have mostly improved globally – with some big exceptions – a survey of Singaporeans says significant numbers of them are disenchanted with their offerings.

According to a survey of 1,100 people by EnjoyCompare, a consumer finance website, around four in 10 people think their financial institution is more concerned about making a profit than catering to consumers. The survey did not state whether the wealth management sector was included in the organisations likely to be covered by the survey, although a spokesperson for EnjoyCompare told WealthBriefngAsia that the persons covered included the whole range of people from those on low to high incomes.

Many unhappy customers were reluctant to leave the relative safety of their current bank, however, and wouldn't know which other financial institution to choose even if they did, the survey found.

The issue of trust in financial organisations has also been put under the spotlight in a global survey by Thomson Reuters, the media, information and publishing company. The Thomson Reuters TRust Index revealed that second-quarter 2014 trust sentiment in the top 50 global financial institutions is now in positive territory for the first time since the index was launched in January 2013. Tracking trust through news sentiment shows that the top 50 global institutions as a whole rose to score 0.5 per cent, versus -1 per cent in quarter one, in the second quarter.

More than five years on from the collapse of Lehman Brothers, the industry continues to be beset with stories about interest rate rigging, mis-selling, insider dealing and other scandals. This has prompted a wave of new regulation across the globe, including Southeast Asia. However, if the findings of the survey are indicative, the industry has considerable room for improvement.

But getting people who claim to be annoyed at their institutions to switch is difficult, EnjoyCompare said.

"It's a phenomenon we've encountered before," said Enjoy Compare's Mark Hall, "There's enormous lethargy among many, many people when it comes to changing financial affairs. It takes something truly momentous for somebody to up sticks and leave the bank they've been with all their lives, because deep down banks mean security, and we fear change,” he said.

Among the findings, were that 40 per cent of customers were unhappy with the service they received from their bank; 28 per cent said they were badly treated by their bank, but didn't complain; 63 per cent said they'd stick with their current bank even if they were displeased with its service, 68 per cent would not consider banking elsewhere and 92 per cent said they have never changed the bank that they've been with for their entire life

"Bank customers are incredibly brand-loyal, even after they've been hit by unreasonable charges or have had a loan called in,” Hall said.