Adrian Orr. Champion of the people.  

Well, that might be going a bit too far. But the Reserve Bank Governor was speaking my language when he says that dropping the Official Cash Rate, like he did yesterday, is just the start and that the banks have to do their bit too. And I couldn’t agree more.  

He was having a dig at their profit margins. But for me generally, I don't give two hoots how much profits the banks make. Because profitable business are a good thing. Even profitable foreign-owned business.  

But where bank profits do seem obscene is when you consider the way they treat their customers. In particular, existing customers.  

They fall over themselves trying to get new customers, but if you're an existing bank customer - nah, you don't deserve any special treatment.  

Which is crazy, because everyone knows that generally it's easier to hold onto your current customers than get new ones through the door.  

Tell that to the banks, though.  

And, if you’ve got a mortgage with them —if you're an existing customer, like I am— it’s people like us who get ripped-off while the banks try desperately to get new people signed-up.  

Case in point: I don’t know how many times I’ve seen my bank of nearly 25 years running ads for loan rates for new customers way better than what I've been paying.  

And I go into a branch and say, “I've been with them for ages, can I get that same rate please?”

And every time, it’s been, “oh nah, that’s for new customers only”.

It’s like they think they've got you over a barrel. Which they have, because most of us don't do anything about it, do we?  

I know we make threats that we’re going to move to another bank, but I think the banks have done a very good job over the years of making us think that it costs too much to change banks.

And that’s what most of us end up doing.  

In my case, I walk out of the branch thinking all sort of things in my head, writing all sorts of letters in my head telling the bank where to go… but then, you know, suck it up and watch the new customers get the welcome mat at my expense.  

And it shouldn't be that way. If the banks were as really interested in being our partner in life and all that warm fuzzy nonsense they trot out, they wouldn't treat existing customers with such indifference.  

Which is why I think the Reserve Bank Governor is spot-on with his comments.  

To their credit, all the major banks did cut their interest rates after the announcement yesterday that the Official Cash Rate was going down.  

But again, not all customers benefit from that. If you’re on a floating mortgage - yep you’ll benefit. But if you’re on a fixed rate - no change until it’s up for renewal.  

So I’ll give them some credit, but I think the banks still have a long way to go.