Saturday 3 December 2011

An Faq On Retail Banking For Individual And Business Clients

By Johnny Arnold


The Canadian retail banking system is among the safest ones worldwide. Over the last three years, it has taken a top position in view of safety. Two of Canada's best-known banks rank in the top 15. There are 8,000 bank branches, with many more ATMs on the territory of Canada.

Since the Canadian government banned large bank mergers, these institutions started to expand and operate on an international level

The five biggest banks in Canada are RBC, TD Bank, Bank of Montreal, Scotiabank, and CIBC. The Royal Bank of Canada has close to 100,000 employees and about 17 million clients globally. Headquartered in Toronto, the bank has 1,209 branches in Canada alone. It has two subsidiaries as well. The RBC Capital Markets has specialized in corporate clients while the Dominion Securities works as an investment brokerage firm. RBC's retail banking segment accounts for less than 23 percent of the bank's revenue. Bank of Nova Scotia is another big bank, offering the full range of investment, corporate, commercial, and retail services. The bank features a variety of financial products, including credit cards, mortgages, electronic banking, Western Union money transfers, and a lot more. Given the diverse products and services offered, Scotiabank prides itself in being one of the largest North American banks.

Checking and savings accounts are still at the core of clients' relationships with retail banks in Canada. A lot of customers also use banks and other financial institutions for services like insurance, investment products, credit cards, and more. A recent study shows that a lot of clients also use banks for borrowing, investment and insurance via an affiliated establishment. It has been found out that 76 percent of top five bank clients have taken out a loan at a banking institution where they hold a savings or checking account, 40 percent have invested in different investment products, and 20 percent have bought some insurance product. Regarding the middle market, about 70 percent of customers have both a deposit and a loan with a bank. Another 27 percent of bank clients have investment products and 16 percent have insurance products. Most banks build a customer base through retail banking but offer other products and services so that clients move all of their holdings and assets with them. This is not difficult to achieve given the high level of safety and security offered by the bank sector in Canada. Banks provide innovative services and reliable products, such as no-fee banking and electronic statements, and thus help expand client relationships with the establishment.

According to the abovementioned study, Toronto Dominion has received the highest marks when it comes to satisfaction. Several factors have been used to measure client satisfaction, including fees, products, transactions, account setup, and problem resolution. Finally, when it comes to mid-size banks, President's Choice Financial has received the highest marks.




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