Reputational concerns that were once paramount are less critical – witness the million-dollar penalties routinely imposed on some of the global banking giants; yet, they continue to grow. Efficiency rules Fee-based income has overtaken net interest margin income. Customers enjoy efficient transactions, but find themselves unequipped to make the best possible financial decisions with regard to their banking needs.
It is perhaps significant that bank regulators, who were until recently content with bank licensing and applying prudential regulations while encouraging competition, are now focusing on preparing customers to deal with the banks.