J.D. Power Study: Customer Satisfaction Increasing At Banks But More So At Credit Unions

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Customer satisfaction is up at banks and credit union members are even more satisfied, according to two newly released J.D. Power studies: The J.D. Power 2025 U.S. Retail Banking Satisfaction Study and the J.D. Power 2025 U.S. Credit Union Satisfaction Study.

J.D. Power’s banking study shows overall that customers are more satisfied with their banks. Satisfaction increased 11 points to 655 (out of 1,000 points), compared with last year’s satisfaction study of 644.

“Retail banks have really upped their games when it comes to giving customers the resources they need to navigate a challenging economic environment,” says Jennifer White, senior director of banking and payments intelligence at J.D. Power in a news release.

“Those efforts include not only delivering on the basics of transactional efficiency and customer engagement but also undertaking more meaningful efforts to empower customers to understand and avoid unnecessary fees, resolve problems quickly and utilize additional personal financial management tools and supportive services,” White said in the press release.

As for the J.D. Power Credit Union Satisfaction Study, it shows that credit union customers have a higher level of satisfaction with their credit union than bank customers have with their banks.

Surveys say banks and credit unions are improving customer service

Among the highlights from J.D. Power’s 20th U.S. Retail Banking Satisfaction Study and J.D. Power’s 2025 U.S. Credit Union Satisfaction Study:

• Banks improved their performance in key areas: A higher percentage, up four percentage points (on a scale of -100 to 100), of customers believe that their primary bank completely supports them during challenging times.
• Credit unions score higher for overall satisfaction on average than banks do: Credit unions scored 74 points higher than the average bank in their satisfaction scores.
• Bank customers are understanding fees more: Bank customers who completely understand their bank’s fee structure increased 5 percent compared with J.D. Power’s study the previous year.
• Areas where banks can improve: Debit cards, unauthorized account activity, fraud and interest rate earned on a deposit product are reasons why problem resolution satisfaction decreased.

Fees are causing some members to leave their credit union

Almost one-third of credit union members under the age of 40 years old (31 percent) said they definitely, or probably will, end their relationship with their credit union due to fees charged during the upcoming 12 months.

Generally, there are ways to avoid most fees at banks and credit unions. Here are some fees and how to potentially avoid them:

• Monthly service fees: There are online-only banks that offer accounts that don’t have monthly service fees. There are also banks with free checking accounts, which allow you to waive monthly maintenance fees by having a certain amount of money credited to your account via direct deposit each month.
• Overdraft fees: Some banks don’t charge overdraft fees. Those who have paid overdraft fees, which average $27.08 according to Bankrate’s 2024 Checking Account and ATM Fee Study, should consider these banks. Consolidating the number of bank accounts you have, and keeping careful track of your transactions, can also help you avoid overdraft fees.
• ATM fees: Some banks have large ATM networks and some other banks reimburse some – or potentially all – fees for using out-of-network ATMs. Consider one of these banks to avoid paying fees for withdrawing your money from an ATM.

Top banks for customer satisfaction by region

Here are the best banks by state or region for banking satisfaction according to J.D. Power’s recently released U.S. Retail Banking Satisfaction Study.

• California: Chase
• Florida: Fifth Third Bank and TD Bank (tied)
• Illinois: Wintrust Community Banks
• Lower Midwest Region: BancFirst
• Mid-Atlantic Region: Capital One
• New England Region: Bangor Savings Bank
• North Central Region: Centier Bank
• Northwest Region: Banner Bank
• New York Tri-State Region: Liberty Bank
• Pennsylvania: Chase
• South Central Region: Capital One
• Southeast Region: United Community Bank
• Southwest Region: FirstBank
• Texas: Frost Bank
• Upper Midwest Region: Gate City Bank

Top credit unions for member satisfaction

Bankrate’s take on how banks can increase customer satisfaction

Three ways that banks and credit unions can increase customer satisfaction include:

• Access to 24/7 customer service
• Properly staffed branches
• Leading-edge digital banking services with the latest technology

Ultimately, bank customer satisfaction comes down to the quality of training that employees receive to assist you with your banking needs.

Choosing a bank or credit union

According to Bankrate’s latest Checking Account Survey, Americans have had their checking account at a bank or credit union for 19 years at an institution that has brick-and-mortar locations. If the time is now to find a new bank or credit union, choose wisely. Research the bank and its products to make sure it’s a good fit for you. And while you’re searching for your next financial institution, check to see if it offers a bank account bonus.

Bottom line

Customer satisfaction increased significantly at banks, when compared to the previous year’s survey, according to J.D. Power’s recent U.S. Retail Banking Satisfaction Study, And, average overall satisfaction scores were much higher at credit unions when compared with banks. If the time is now to switch to a new bank or credit union, research and compare banks to find the best fit for your needs and preferences. Consider factors such as fees, interest rates, digital tools and customer service.