ST. LOUIS (Dec. 21, 2009) – While more Americans are starting to believe the banking system is stabilizing, consumers remain skeptical of the banking system and are losing trust in their own banks, according to a Maritz Poll on the U.S. economy. The poll, conducted in October 2009, is the third in a series of economic polls conducted by Maritz Research designed to gauge consumers’ changing perceptions of the economy in the wake of the financial crisis. The previous polls were conducted in October 2008 and April 2009. In October 2009, 55 percent of Americans believed the banking system was unstable, an improvement from the 64 percent who felt that way in April 2009 and October 2008. As consumers think about their own banks, however, the poll reveals a worsening trend. Only 64 percent of consumers trust their bank, down significantly from the 78 percent who said they trusted their bank back in April.

In addition to the erosion of trust, U.S. banks are losing significant ground in the areas of respect and customers who believe their bank acts in their best interest. Only 67 percent of consumers believe their bank respects them as a customer, down from 78 percent in April 2009. And, only 51 percent of Americans believe their bank acts in their best interest, according to the poll.

“From my experience, banks are used to seeing customer trust and respect percentages in the low to mid-90s. Banks have worked hard to keep those numbers high by focusing on the customer experience,” said Rich Brose, senior director of strategic consulting for Maritz Research’s Financial Services Research Group. “For trust to erode this much within such a short period of time presents a huge challenge for the industry. Banks must repair their reputations and maintain focus on the customer experience or they run the risk of undoing a lot of the good they have done for their brands.”

Customers’ perceptions of their banks also have been influenced by whether or not their bank received TARP funds. Customers whose banks received TARP funds are much less likely to feel their bank respects them as a customer (47 percent) than those whose bank did not receive TARP funds (71 percent). Likewise, while 68 percent of customers trust a bank that did not receive TARP funds, only 42 percent of customers trust a bank that did receive TARP funds.

“Although some banks accepted TARP funds despite relatively solid fundamentals and to support the purchase of distressed institutions, people seem to be viewing all banks who received TARP funds through the same lens. This is an opportunity for banks to communicate with customers to explain why they received TARP funds,” said Brose.

According to the Maritz Poll, 76 percent of consumers continue to believe that banks are benefitting unfairly from the bailout funds they received. This is consistent with the 79 percent of Americans who held this belief in April 2009. However, fewer believe that tighter regulation is necessary to solve the crisis (48 percent) than did in April 2009 (58 percent).

Executive Bonuses Still a Lightning Rod
When it comes to executive bonuses, 71 percent of Americans believe that bonuses are receiving the proper scrutiny. Eighty-two (82) percent of Americans believe that the government should limit bonuses at banks that receive TARP funds. Moreover, 53 percent of Americans believe that the government should limit bonuses at all banks.

Government Shares the Blame
The number of Americans who believe that the government is doing what is necessary to stimulate the economy is decreasing (31 percent in October 2009, compared to 39 percent in April 2009). Most believe that low interest rates (69 percent), and the first-time homebuyer (65 percent) and energy tax incentives (61 percent) will do the most to stimulate the economy. Belief in the economic stimulus plan has dropped from 54 percent in April 2009 to 46 percent in October 2009.

Economy As Bad As It Gets?
Last October and again in April 2009, more than 70 percent of Americans believed the economy was going to get worse before it got better. In this latest Maritz Poll, 47 percent believed it would get worse, while 31 percent said it was “as bad as it’s going to get and will only get better” and 23 percent said “the worst is behind us.”

Americans remain angry that the economy is in crisis. Eighty percent were angry we found ourselves in crisis in October 2008 and that percentage has held constant in October 2009. Even more people are afraid that their personal finances will never fully recover from this crisis (56 percent) than at the same time last year (48 percent). In addition, people’s confidence in being able to realize the American dream of “providing a better life for the next generation” remains low at 37 percent in October 2009, compared to 41 percent in April 2009.

About Maritz® Poll
Maritz® Poll is a national consumer opinion survey conducted periodically by Maritz Research. This recent online Maritz Poll surveyed 2,666 Americans and was conducted October 8 through October 14, 2009. It was the third in a series of polls. The first wave was conducted October 30, 2008 to November 3, 2008 and surveyed 2,190 respondents in the US. The second wave was conducted march 31, 2009 to April 5, 2009 and surveyed 2,435 Americans. Margin of error for the poll is +/-3 percent.

About Maritz Research
As one of the world’s largest marketing research firms, Maritz Research, a unit of Maritz LLC, helps many of today’s most successful companies improve performance through an actionable understanding of their customers, employees, and channel partners. Founded in 1973, Maritz Research offers a range of strategic and tactical solutions concentrating primarily in the automotive, financial services, hospitality, telecommunications and technology, retail, and pharmaceutical industries. The company has achieved ISO 9001 registration, the international symbol of quality. Maritz Research is a member of CASRO and official sponsor of the American Marketing Association.