In a recent survey by GoBankingRates.com, responders were asked a simple question: Which do you prefer: National banks, local banks, or credit unions? The results weren't surprising, as a large majority of responders chose either local banks or credit unions as the financial institution they preferred to do their banking with. More than 75% of responders said they preferred to bank locally, a statistically significant margin! [Tweet this!]
So why do so many individuals prefer local banks and credit unions? The Institute for Local Self-Reliance (ILSR) may have some answers. According to the ILSR, one reason may be the community bank's involvement in and connection to the community:
"The fortunes of local banks and credit unions are intimately tied to the fortunes of their local communities. The more the community prospers, the more the local bank benefits. This is why many local banks and credit unions are involved in their communities."
These local banks and credit unions are rooted in the community, and the customer knows and understands this. This relationship usually results in better customer service and higher customer satisfaction.
Switch To Community recently asked the question "Why do you love your community bank?" They received a multitude of responses that came back to the community relationship:
Do you bank locally? What do you love about your community bank or credit union? If you haven't made the switch yet, check out our post How to Make the Switch to a Local Bank or Credit Union in Three Easy Steps!