Independent Banker - May 2019 - 29

Next: Don't miss your mark when working with the media
move. Some want better mobile tools. Others
experience lifestyle changes and simply need the
cash. Regardless of the reason, the way in which
accounts are closed matters. Customers need
to walk out the door happy and feeling like the
community bank still has their back. Otherwise,
instead of returning months or even years later
Q " What are you planning to do with these
funds? " They may need the money to buy a new
car, for example, or pay for funeral expenses.
Take several moments to reflect upon their situation
and express honest emotion.
" In these accountclosing
situations ...
they've got to be twice
as happy as they are at
the teller window. "
-Emily Sayer, Avannis
for a new mortgage or car loan, they may never
return-or, even worse, they might throw mud on
your bank's reputation every chance they get.
Easy does it
It's a common practice for community banks
to examine the ratio between the numbers of
accounts opened and closed. It helps assess the
bank's health status, says Emily Sayer, national
sales director at Avannis, a Denver-based consulting
company that helps financial service
institutions enhance their customer experience.
But banks can do more. Sayer says the following
tips may stop some customers from leaving,
or, at the very least, prevent them from trashing
your brand either on or off social media.
Don't panic. Many customers have several
accounts. " Closing just one account doesn't mean
they don't love your bank, " Sayer says. " Ask if
there's anything else you can consolidate to make
this work better for them. "
Dig deep. Develop a list of key questions to
help uncover why the customer is leaving. Some
may include:
Q " Why don't you need this account anymore? "
It could be something simple like they were
saving for a trip to Europe and reached their
financial goal. If so, encourage them to keep it
open for other wish-list items.
Q " Are you planning on moving these funds to
a different financial institution? " If they nod,
ask: " What can I do now? " or " What could I
have done better to keep your business? " Sayer
says customers rarely reveal their real reasons
to avoid hurting people's feelings, though.
" What we do know is that 96 percent of customers
do not share their intention to leave
once they have decided to do so, " she says.
Some, however, may reveal shortcomings at
your bank. Understand what went wrong and
find a way to fix it. Apologize and offer to personally
handle their future transactions until
they regain confidence and trust in your bank.
Quick stat
84%
of customers
are satisfied
with regional
and community
banks, compared
with 77 percent
with national
banks
Source: American
Consumer Financial Index
Reconfirm how bank products work. If
they're closing a free checking account, explain
that it's not hurting them financially, and suggest
they keep the account open for a few months in
case things change. However, Sayer says customers
end up closing the account most of the time.
Avoid pushing. If customers are unwavering,
make their closing experience hassle-free.
Shift into relationship mode by talking about the
weather, your job or your family. " Make them feel
like you're the best friend they never had when
they were expecting a confrontational situation, "
says Sayer, adding that such conversations
should never be scripted. " In parting, give them
your business card and ask if it's OK if you touch
base with them in another month or two to see if
their needs are being met. "
Log, track and measure. Hire a third-party
vendor to conduct a post-transaction survey to
reveal painful truths behind account closures,
says Sayer, adding that Avannis offers survey
and benchmarking services to ICBA members at
reduced rates.
Among your goals is to make customers smile
and feel good about this interaction long after
walking out your door. " In these account-closing
situations, " Sayer says, " they've got to be twice as
happy as they are at the teller window. "
Carol Patton is a writer in Nevada.
independentbanker.org Q 29
http://www.independentbanker.org
Independent Banker - May 2019

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