Choice big bank switch - big savings and more competition
CHOICE and One Big Switch today welcomed the success of the CHOICE Big Bank Switch, and announced that the campaign to encourage consumer mobility on home loans has concluded.
The CHOICE Big Bank Switch (CBBS), which was Australia’s first ever national bank switch, was part of CHOICE’s Better Banking campaign.
It was launched three months ago and helped spur thousands of Australian mortgage holders to shop around for a better deal on their home loan.
Some highlights of the CHOICE Big Bank Switch include:
• 40,000 people started shopping around for a better deal on their mortgage;
• Over 2,000 people are in discussions with CHOICE Big Bank Switch lenders; and
• According to feedback from participants, many, many more have used the CBBS offers to negotiate a better deal from their current lender.
According to information submitted to the One Big Switch website by CBBS participants, if they switch to the offer they are considering:
• They will on average save $375 a month.
This is a significant saving for many families, and will be a welcome relief on the family budgets of those CBBS participants who decide to switch.
As part of the CHOICE Big Bank Switch, five lenders agreed to give those who signed up to the CBBS an exclusive group discount over the life of the loan.
Just as important many participants used the exclusive and discounted CBBS offers to negotiate a better deal from their current lender.
The success of the CHOICE Big Bank Switch is real evidence that consumers can use power of group switching to cut the cost of their monthly household bills.
CHOICE Director of Communications Christopher Zinn said today: “Thanks to massive community support the CHOICE Big Bank Switch has been a huge success. Many mortgage holders can now look forward to savings of hundreds of dollars a month. Tens of thousands of people have considered switching and in the process demanded more from their banks.
“The achievement is one more step in our Better Banking campaign to help bring more competitive banking products to all Australians. Now we will continue to push for reforms to make banking services more accessible, affordable and transparent, driven by genuine competition.”
Lachlan Harris, Co-Founder of One Big Switch also welcomed the success of the campaign. Mr Harris said today, “We think an average savings of $375 a month is a great outcome. So many families are struggling to keep their heads above water and an extra $375 a month is a great help.”
“The CHOICE Big Bank Switch was an experiment to see if people power could help deal with the rising cost of living. That experiment has been successful, now the challenge is to use the power of group switching to cut the cost of power bills, insurance bills and other essentials.”
“One Big Switch started the ball rolling with mortgages, now we plan to use the power of group switching to help cut the costs of electricity bills next.”
Taking part in the CHOICE Big Bank Switch was entirely free for mortgage holders, and was also obligation free.
Lachlan Harris (One Big Switch) - 0418 946 587
Christopher Zinn - CHOICE Director of campaigns & communications - 0425 296 442