Customer expectations in Australia’s financial sector have undergone a seismic shift in 2025. The Royal Commission’s aftershocks, rapid digitalisation, and a series of landmark policy reforms have forced banks and lenders to reimagine what it means to be ‘customer-first’. But what does this mean for everyday Australians? And how are financial institutions responding to these new demands?
The Digital Transformation: From Branches to Apps
In 2025, digital banking is the norm, not the exception. More than 90% of Australians now prefer to manage their finances online, according to recent data from the Australian Banking Association. Mobile apps have become the new branches, offering everything from instant loan approvals to AI-powered budgeting tools.
- 24/7 access: Customers expect to access their accounts, transfer funds, and apply for credit at any time, from anywhere.
- Personalised experiences: Banks are leveraging big data and AI to deliver tailored product recommendations and proactive alerts, such as reminders to avoid late fees or suggestions to refinance mortgages as rates shift.
- Cybersecurity focus: With digital expansion comes increased risk. Banks are investing heavily in biometric authentication, real-time fraud detection, and customer education to keep accounts secure.
For instance, CommBank’s 2025 app update integrates Open Banking APIs, allowing customers to view all their financial accounts—across different banks—in one dashboard. This level of transparency and control is now a baseline expectation.
Policy and Regulation: The Customer Protection Revolution
Following the Banking Code of Practice overhaul and the introduction of the Consumer Data Right (CDR), 2025 has seen a raft of new customer protections. The Australian Competition and Consumer Commission (ACCC) now enforces stricter guidelines around fee transparency, dispute resolution, and data privacy.
- Fee transparency: Banks must clearly display all fees before a customer opens an account or takes out a loan, reducing bill shock and improving trust.
- Open Banking: Customers can securely share their data with accredited third parties, making it easier to compare products or switch providers with minimal friction.
- Real-time dispute resolution: New regulations require banks to resolve most customer complaints within five business days, a significant improvement over previous timelines.
These regulatory changes mean that switching banks or negotiating better terms is easier than ever. For example, a customer unhappy with a savings account’s interest rate can use CDR to instantly port their transaction history to a competitor, who may offer a tailored deal within minutes.
Restoring Trust: The Human Touch in a Digital Age
Despite the digital boom, Australians still value genuine, human service. In response, banks are investing in hybrid models: blending AI-driven automation with access to real people when it matters most.
- Dedicated relationship managers for complex needs, such as home loans or small business finance.
- Virtual branches with video chat support for customers in regional and remote areas.
- Community initiatives, including financial literacy workshops and local sponsorships, to demonstrate social responsibility.
For example, NAB’s “Bank@Home” program allows vulnerable customers to book video appointments with specialists, helping them navigate hardship arrangements or major life changes without leaving home.
What This Means for Australian Consumers
The upshot for Australians is clear: 2025 is the year of the empowered customer. With new tools, protections, and service models, you can demand—and expect—better from your financial providers. Whether you’re shopping for a mortgage, managing investments, or simply looking for a fee-free everyday account, the balance of power is shifting firmly in your favour.
