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Why Would Banks Partner With An Impartial Mediator Like Craggle

Australian Banks have a robust approach to acquire new Home Loan customers and they are steadily improving the ability to retain their existing Home Loan customers. So why would they partner with an impartial mediator like Craggle to acquire and retain Home Loan customers?

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Test Australian Banks have a robust approach to acquire new Home Loan customers and they are steadily improving the ability to retain their existing Home Loan customers. So why would they partner with an impartial mediator like Craggle to acquire and retain Home Loan customers?

Firstly – a recap on Craggle’s approach to mediating fairer deals. When an existing home loan customer is looking for a better rate, they can choose to sign up to Craggle (in as little as 3mins!). Craggle then gives the customers existing bank the chance to retain them with a better rate; whilst also sourcing new bank refinance offers out in the broader market. The customer is presented with both options to choose from depending on their preference.

Forward thinking banks who have begun using impartial mediators have found several benefits with this approach, which include:

  1. Improve the bank's reputation: There’s no denying the impact the Banking Royal Commission had on the trust between customers and their banks, and in the four and a half years since the findings were handed down – there has been little improvement on trust. In fact, the trust gap continues to widen with 95% of customers believing that a bank puts profits before their customers.

This is where forward thinking banks use an impartial mediator to help bridge the trust divide. By doing so a bank is acknowledging to customers that they truly value their Home Loan business and would be happy to retain them as the customers seek to save money! Clearly a customer signing up to Craggle in the first place is an indicator of perhaps underlying trust issues with their existing bank but not all should be lost – particularly if the bank is willing to come to the party.

  1. Reach fair outcomes quickly and efficiently: Given the size of a bank’s customer base, it’s easy to see how they might struggle to deliver fair outcomes for every individual customer. And while banks have the capability to deliver a digital solution to this process, the element missing is (again) customer trust.

Bank’s can turn to an impartial mediator’s technology like Craggle to not only achieve a fair outcome but does so in a quick way! 87% of Australians look at quick resolutions more favourable than longer ones, and so banks are motivated to achieve a fair outcome at pace.

By partnering with Craggle, forward thinking banks are demonstrating a willingness to resolve dissatisfaction in a fair and impartial manner and support the notion that they are a responsible and trustworthy institution.

  1. Preserve and strengthen the relationship between the bank and its existing customer: Given the widening trust gap between customers and their banks, forward thinking banks are exploring all options to ensure their customers feel as though they have been treated fairly. With 82% of Australians trusting an impartial mediator to deliver a fair outcome, banks can leverage this trust and challenge themselves to truly act in fairness.

When a customer is satisfied with their bank, it goes a long way to strengthen the relationship. A strong relationship between customer and bank has shown that customers are 70% more to take up an additional product or service offering with that bank, and they are also 83% more likely to introduce new customers to the bank.

As you can see, there is a real benefit for both Home Loan customers and banks to use an independent mediator like Craggle to assist in negotiating fairer rates and helping to repair broken relationships.

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The Craggle Team

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