ST. PAUL, Minn. (5/18/10)--In Minnesota, credit unions have been insulated from the negative public opinion against financial institutions stemming from recent financial industry distress. The results of a new Minnesota Credit Union Network (MnCUN) survey indicate that 20% of bank customers in Minnesota think credit unions are more attractive than other financial institutions. The survey found that 40% of the state’s consumers trust banks less than they did before troubles occurred in the financial industry. The survey explored Minnesotans’ current attitudes toward credit unions and banks, reasons for choosing a primary financial institution, and general knowledge of and preferences toward the services credit unions and banks provide, MnCUN said. Other findings include:
* Roughly 30% of Minnesotans find credit unions more appealing, considering recent financial industry problems; * About 82% of Minnesotans trust credit unions about the same as in previous surveys and 13% trust them more in light of the financial industry’s problems. Comparatively, 43% trust banks less and 56% trust them about the same because of issues in the industry; and * Credit union members are twice as likely to recommend their credit unions to others as bank customers are to recommend their banks.
“With this study, we wanted to obtain an objective view of how Minnesotans currently view primary financial institutions--regardless of whether those views are positive or negative--so that our member credit unions have clearer insight into how they can better address the needs of their current members and potentially attract new ones,” said Mark D. Cummins, MnCUN president/CEO. “These findings tell us that the value credit unions bring to consumers really resonates with Minnesotans.” About 400 Minnesotans were randomly selected and interviewed via telephone for the survey between Feb. 25 and March 17. Padilla Speer Beardsley, an independent research and communications consulting firm, conducted the study and analyzed the results on behalf of MnCUN, while Information Specialists Group, a polling group, conducted the phone interviews.