6m Aussies ask friends or family for financial advice

According to Roy Morgan’s Single Source survey, around 3.5 million Australians have been asked for financial advice by their friends or family.

The survey found that, of the 16 largest consumer banks, Citibank has the highest proportion of customers (34.5 per cent) that are asked by friends or family for their financial advice, followed by ME Bank with 32.2 per cent.

Bank customers who are asked for financial advice have the potential to gain or lose customers for their institution depending on how they feel regarding their satisfaction with the relationship with their current bank.

The highest proportion of the big four bank customers who are asked for advice is ANZ with 21.2 per cent, followed by the NAB (20.4 per cent), Westpac (19.5 per cent) and CBA (17.9 per cent).

“This research shows that financial decisions for many have the potential to be impacted to a considerable extent by informal advice from friends and family, rather than relying on professional financial planners,” said Roy Morgan industry communications director Norman Morris.

“With 3.5 million people being asked by family and friends for financial advice and 6 million asking them for advice, this network is likely to play a major role in financial decisions.”

Roy Morgan’s Single Source survey is based on in-depth interviews conducted face-to-face with over 50,000 consumers in their homes.

The latest results are based on interviews conducted in the 12 months to September 2018.

Adrian Flores

Adrian Flores is a deputy editor at Momentum Media, focusing mainly on banking, wealth management and financial services. He has also written for Public Accountant, Accountants Daily and The CEO Magazine.

You can contact him on [email protected].