Hidden cameras reveal how big banks are upselling you (Marketplace)

Canadians trust they're getting good financial advice from their banks — especially in these tough financial times. But a hidden camera investigation by Marketplace uncovers immense pressure on bank employees to push products and services to meet sales targets, or risk losing their jobs. Seven years after CBC first investigated the pressure to sell, bank employees say their targets are back up and customers are paying the price.

#Banks #Investigation

00:00 - How banks are upselling customers

08:16 - Hidden camera: Testing financial advisors from the Big Five (TD Bank, BMO, CIBC, RBC, ScotiaBank)

17:30 - Who’s looking out for consumers? (Financial Consumer Agency of Canada and Chrystia Freeland statement)

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THE BIG BANK UPSELL

producers/directors
JEREMY McDONALD
MADELINE MCNAIR

research producer
KIMBERLY IVANY

associate producer
MICHELLE MCCANN

reporter
ERICA JOHNSON

editor
SIMON PARUBCHAK

additional editing
AARON TAYLOR
BENNY KOSHY

camera
NORM ARNOLD
DAVID MACINTOSH
JOHN LESAVAGE
RICHARD GRUNDY

audio
MICHAEL KENNEDY

art director
DAVID ABRAHAMS

media management
ASTORIA LUZZI

social media producers
AMARA MCLAUGHLIN
BRITT PURDY

colour correction
KYLE J. SMITH

sound mix
DANY TREMBLAY
MARIANA HUTTEN CZAPSKI

project manager
VICTOR KERR

resource coordinators
MARC CORMIER
DRAGAN MARICIC

news rollout producer
JENNY COWLEY

packaging editor
BENNY KOSHY

packaging producer
LINDA SIBONY

promo producer
GREG SADLER

senior producer
TIFFANY FOXCROFT

executive producer
NELISHA VELLANI

FIRST BROADCAST :March 15, 2024

[OliverMichaeld]

Its worse here, our economy is like a flailing fish, fighting for its life. The normal state of the U.S. economy is actually very bad. Because of this it goes into convulsive spasms fighting to grow any way it can out of desperation. Tricks, gimmicks, rule changes try to stimulate the economy and prevent it from falling but they only bring temporary relief to people since, when you factor in inflation we are declining.

[jez]

One time when I wanted to learn how TFSAs and RRSPs work, I booked an appointment with an RBC financial consultant thinking I would get educated about the basics.. The only thing the guy did during the whole time was try and sell me a specific mutual fund. Didnt bother explaining to me why I should buy it, all he told me was to trust him.. These "advisors" are basically glorified salespeople.

[chrisgeorge]

I was an Account Manager at RBC, everything in this investigation is 100% accurate. I wish you had interviewed me I could have told you stories I witnessed that would make your hair stand on end at what was going on in the bank

[ananas]

This is the kind of journalism this country needs! Bravo!

[slsilver]

I worked at RBC for two years. The sad thing is that bank employees who will do anything to make a sale (including lie, like the guy who said the mutual funds will make at least 10% interest) are the ones who get promoted. RBC was the worst company (and the only bank) I ever worked for. The big banks are evil and must be kept in line by strict monitoring.

[derinaries]

As Canadians, what are we going to do about it? Nothing? That sounds right.

[rebeltty]

I am former bank employee . Selling is everything. It is foundation of banking in Canada that copied from US banking business model . You sell even if you are bank manager . You will never get promoted if you do not sell enough . My co worker worker 30 years in banking and never got promotion and remained as teller . Those who sell will reach branch manager position in 2 or 3 years, I know a guy who jumped to management position and he was only 27 years old started from bank teller 3 years prior . You get huge points after enough meeting quota and targets . My coworker went cruise trip to several countries because of meeting huge sells targets . You have to meet branch manager each week to do performance review which is basically meeting your sales goals . You have to sell even as branch manager . Even if you go to insurance or wealth and corporate division still you are getting this high paid positions cause you are monumental in upselling and cross selling . Bank CEO even bank of Canada recent and past CEO did the same when they were tellers and branch managers etc . This is full blown scam but we must change this . Pressure is immense to sell for employees .

[singhcertain]

hey CBC, you should do an undercover about these delivery companies and their pressure on employees to meet the target. this at times forces driver to drive fast which is dangerous for the driver and the people on the road

[OscarHanzely]

Bank advisors role should be renamed to salesman. Because that's their role and knowledge level.

[jenniferthompson]

Working at CIBC was a nightmare. High pressured sales over and over again.

[RodinThink]

If the Banks broke the law, then the police need to get involved

[sharmeenshawkat]

Speaking from my experience as a former employee of several Canadian banks, we were coached to look for sales even when a client passed away and families are coming to settle their finances! The pressure from top is no joke!

[freddymax]

I worked for one of those organizations. I was let go because I couldn’t meet my targets. The job made me miserable because of the sales pressure. My manager at the time couldn’t care less about treating customers right but cares more about the sales target.

[melissemartel]

I worked at RBC in customer service. It’s the worst job I have ever had. Your bonus is based on your sales. If you have no sales, you dont get much of a bonus for just being good at customer service. I was terrible at sales because I refused to up sale people for stuff they didn’t need. They teach you how to sell to people and pitch products…

[flamhax]

Telling a client they are eligible for a credit limit increase, a line of credit, and a no-income check credit cards are not inherently bad things. The pressure on sales is unfortunate, the lack of responsibility is embarrassing.

[Hodag]

As someone who use to work in one of the big 5 banks, nothing was more soul sucking than selling something to someone who didn't need it. One of the worst things my managers said to me was "it's not your job to do what's right for customers. It's your job to get them to sign up and sell them products"

The biggest issue with the lines of credit and credit limit increases is that yes it's great if its offered by the bank since it wont hurt your credit score as you're not applying for it.

It's that people arent being educated how credit works. People use credit because theh have it but not educated on how to repay it and to maintain credit.

[NA-dxii]

I went to CIBC one time and the lady (supposed financial advisor) wanted me to invest into a mutual fund and when I questioned her why I should choose this over an ETF, she was like what is an ETF? I had to explain her what it is. I mean who is the financial advisor really?

[heyitsgeorge]

I’m not Canadian but I love watching these

[Azel]

This is why becoming financially literate is so important. By the time you know enough to pick a good financial advisor, you no longer need one.

[ojibwaywmn]

In the mid 90s I became a teller for RBC. I lasted about 6 months after training as I didn’t like the expectation to push products to people all the time. I just wanted to do transactions for ppl not become a salesperson.