The one change that would introduce major competition would be the introduction of portable everyday accounts (similar to the impact mobile number portability had on telco competition). It's eminently doable and was on the table a few years ago but seems to have disappeared without trace.
Of course it would seriously impact the profitability of the banking sector (see how telco profitability has been slammed over the last decade) and the banks are clearly better lobbyists than the telcos (except for SingTel Optus which seems to have the ear of the ACCC).
Having said that, your argument isn't particularly strong. I've had my everyday banking with one of the 4 pillars for decades but it hasn't stopped me signing up with a new bank recently and transferring all of my high interest funds over. The signup process took less than 24 hours and I'd transferred over all funds within a week. I'm now getting a great rate for minimal effort.
I've kept my old account so impact to existing direct debits etc. is zero although whenever I set up new billers I'm doing it from the new bank.
As far as CBA is concerned I don't see value at this level but I hold indirectly through a couple of LICs so I guess that's a hold.
CBA Price at posting:
$104.78 Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)