If it feels like it’s getting tougher to keep customers loyal, that’s because it is. Research in 2025 reveals that “67% of cusotmers will leave a bank or credit union because of an attitude of indifference from an employee.” This isn’t about poor service. It is about customers not feeling see or valued, and it’s triggering a quiet but costly churn that most c-suite leaders in financial institutions can’t afford to ignore. Why indifference drives away clients?
Attitudes Shape Loyalty and Attrition
The Financial Brand recently reported that community banks and credit unions are facing a loyalty crisis as digital competitors lure away customers with warmer, more attentive service. The article outlined three toxic attitudes holding back traditional institutions, with indifference being the silent killer of customer loyalty. “Customers leave not because of one bad experience, but because of a series of indifferent ones,” notes their 2025 coverage. If branches feel transactional, customers just move on; often without ever complaining.
Satisfaction Scores Signal Opportunities and Risks
J.D. Power’s 2025 Credit Union Satisfaction Study sheds more light on the issue: members who feel appreciated and recognized by staff report dramatically higher loyalty and satisfaction levels than those who do not. The study found that ‘personal connection’ remains a significant driver for retention, outweighing even digital convenience for many customer segments. With credit unions still outperforming traditional banks in satisfaction, the research highlights the importance of authentic, caring employee interactions.
The Customer Experience Edge
Customer Experience Dive’s April 2025 analysis revealed that credit unions continue to outperform retail banks in customer satisfaction thanks to a stronger emphasis on personal service and relationships. The article pointed out that members (customers) who feel their concerns are genuinely heard and addressed remain advocates, even when faced with competitive offers elsewhere.
Retention Shapes Customer Experience
Employee retention is more than just a sentiment, it’s a critical factor that impacts a financial institution’s success and shapes customer/member experience. High turnover rates have ripple effects, often leading to transactional rather than personal interactions. These tend to amplify the attitude of indifference that drives customers/members away.
Building a Culture That Wins Hearts and Retains Clients
To combat a culture of indifference, financial institutions must be purposeful in righting the ship. Taking clear steps to reshape the culture to one that wins hears of clients and gains loyalty is possible. Here are a few steps:
- Train staff to move beyond transactional interactions and show real interest in customer’s/members’ needs.
- Recognize customers/members by name and personalize conversations.
- Encourage feedback and make it visible when suggestions are acted upon.
- Celebrate loyalty milestones with a small token of appreciation such as a pin, sticker, or handwritten note.
Side stepping indifference and building loyalty that breeds retention in 2026 and beyond will come down to one thing: making every client feel like they matter. Don’t be the financial institution in your community where indifference drives away customers.
To learn more about FSI’s client support and training program to help your organization create a strategic plan to combat indifference, contact us to learn more.
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