How satisfied are businesses with their banks when trading internationally?

The survey results found that 76 per cent of respondents use one of the big four banks (CommBank, Westpac, National Australia Bank or ANZ) for international transfers.

CommBank is the bank used by the largest proportion of respondents (35%). ANZ ranks second among the most utilised banks (18%), followed by Westpac at 13 per cent, and NAB at 10 per cent. One quarter (24%) use another bank for international money transfers.

• Commonwealth Bank of Australia (CommBank)
• National Australia Bank (NAB)
• Westpac
• ANZ Bank
• Another bank

CommBank is the preferred bank by businesses in every state – used by 42 per cent of businesses in NSW, 39 per cent in Queensland, 33 per cent in Victoria and 31 per cent in Western Australia – apart from South Australia, where alternative banks are preferred by 42 per cent of businesses.

Victorian, South Australian and West Australian businesses all favour a range of banks, highlighting a more balanced competition than NSW and Queensland, where a large majority favour CommBank. In Victoria, while 33 per cent make international money transfers through CommBank, 24 per cent use ANZ. In Western Australia, the distribution is more evenly spread, with 31 per cent of businesses choosing to do their international money transfers with CommBank. Furthermore, 25 per cent of West Australian businesses do their bank transfers with an alternative bank not listed, and 19 per cent transfer money internationally with either NAB or ANZ.

• Commonwealth Bank of Australia (CommBank)
• National Australia Bank (NAB)
• Westpac
• ANZ Bank
• Another bank

Across the big four banks, CommBank is the preferred bank by businesses of all sizes: used by 37 per cent of micro businesses, 32 per cent of small businesses, 35 per cent of medium-sized businesses and 42 per cent of large businesses.

Large businesses are just as likely to favour a smaller bank not listed, with 42 per cent of respondents selecting this option.

SME banking satisfaction highlights that among medium-sized businesses and micro businesses ANZ is the second most popular bank after CommBank, used by 28 per cent and 16 per cent respectively.

And for small businesses, National Australia Bank is the preferred bank for international money transfers, at 17 per cent, closely followed by ANZ (used by 15%).

• Commonwealth Bank of Australia (CommBank)
• National Australia Bank (NAB)
• Westpac
• ANZ Bank
• Another bank

Costs vary across the big four banks depending on exchange rates, mark ups on those rates, whether transferring in foreign currency or AUD, which country or region you are transferring money to, and whether you are making your transfer online, in a branch or by phone.

[1] www.commbank.com.au/international/foreign-exchange-rates.html

[2] www.commbank.com.au/content/dam/commbank/personal/apply-online/download-printed-forms/ADB1784.pdf?ei=cb-fx-calc-pdf-fees

[3] www.nab.com.au/personal/international-banking/foreign-exchange-rates

[4] www.nab.com.au/personal/international-banking/transfer-money-overseas. In most cases, NAB will pay overseas bank charges on your behalf. In some instances beyond its control, overseas banks will directly deduct these overseas bank charges from the money you send.

[5] www.westpac.com.au/personal-banking/services/currency-converter/

[6] www.westpac.com.au/international-travel/international-transfers/send-money/?pid=iwc:fx:cconv_2203

[7] and [8] www.westpac.com.au/international-travel/international-transfers/send-money/?pid=iwc:fx:cconv_2203

Money Transfer Australia asked respondents whether they were satisfied, somewhat satisfied or not satisfied with their chosen bank’s international money transfer services.

With the smaller listed banks chosen by only 13 per cent of respondents, Money Transfer Australia analysed responses in relation to the big four. Among these, ANZ and Westpac rated highest for customer satisfaction, with 46 per cent and 45 per cent, respectively.

Both ANZ and Westpac offer a $0 transfer fee. When sending money overseas, Westpac charges a fee of $10 for any foreign currency transfers, and ANZ charges $9. When sending money in AUD, Westpac’s fee is $20 and ANZ charges a fee of $18.

• Commonwealth Bank of Australia (CommBank)
• National Australia Bank (NAB)
• Westpac
• ANZ Bank
• Another bank

When it comes to being moderately satisfied, CommBank comes out on top among the big four. Ninety-four (94) per cent of businesses that use CommBank are satisfied (moderately or very) with its international money transfer service – the highest rate of satisfaction among the big four.

This reflects business banking customer service quality, as CommBank offers a $30 fee per transfer via a branch, NetBank, or the CommBank app when funds are debited or credited in AUD. Transactions issued via the NetBank or the CommBank app from an AUD account and converted to foreign currency are fee-free.

Westpac ranks second for overall satisfaction (by 83% of Westpac customers), with 38 per cent somewhat satisfied and 45 per cent very satisfied.

• Commonwealth Bank of Australia (CommBank)
• National Australia Bank (NAB)
• Westpac
• ANZ Bank
• Another bank

Among the big four, business banking complaints were highest for NAB, which saw a dissatisfaction rate of 23 per cent. NAB offers a $0 transfer fee and charges a $30 fee for international money transfers made using the NAB app, NAB internet Banking or a NAB branch if sent in AUD. Transfers sent in foreign currency are fee-free. Any international money transfer made at a NAB branch requires a fee of $30.

ANZ bank came second for business customer dissatisfaction, chosen by 21 per cent of businesses – while CommBank has the lowest dissatisfaction rate, at 6 per cent.

• Commonwealth Bank of Australia (CommBank)
• National Australia Bank (NAB)
• Westpac
• ANZ Bank
• Another bank