The Commonwealth Bank of Australia (CBA) has racked up an AU$2 billion half-year net profit but its customer service still isn't up to scratch.

Chief executive Ralph Norris today admitted he was still disappointed by the bank's customer service, with long queues in branches the most common complaint.

Customers are also unhappy about an increase in fees for Internet banking that CBA implemented last year.

"In the area of customer service, our scores do remain disappointing," Norris told journalists.

Yet at the same time, Australia's second largest bank managed to grow its net profit by 18 percent during the first half of 2005/06, boosted by strong growth in its business loans.

It was also helped by a three-year transformation program called Which new Bank, which is delivering its financial benefits ahead of schedule.

But the benefits to customer service are slower to emerge.

After a cost of nearly AU$1.4 billion so far and the loss of about 3,500 jobs, CBA's internal measure for customer service is exactly the same as it was when Which new Bank began.

Norris said this was partly due to having to re-train bank tellers to use their new computer system.

"I'm pleased to say that while it's very early days, we are starting to see a bounce back," he said.

Norris will next month announce CBA's new strategy to follow Which new Bank once it wraps up in September.

He has also been reviewing the fee structures of the bank's products, including its transaction accounts.

He refused to rule out the bank lifting its fees, but has made one commitment to customers: "We will not be, for the forseeable future, increasing our ATM fees."

Rival bank Westpac caused a furore last month when it lifted the fee it charges customers for using non-Westpac ATMs to AU$2.00 from AU$1.50.

"We will be very mindful of what our obligations are to our customers," Norris said.

CBA has also flagged that it will launch its own version of a low interest rate credit card, now that it has seen the success of its rivals in this market.