While the rising cost of customer remediation at Commonwealth Bank grabbed the headlines yesterday, the bigger issue for the bank may be the long-term impact on revenue of its "Better Customer Outcomes" program.Yesterday the bank announced that operating income was down 4 per cent in the March quarter, compared with the average of the September and December quarters. That followed a 2 per cent fall in operating income in the December half.The fall in revenue is due, in part to the Better Customer Outcomes program, which is a mix of regulatory requirements and voluntary initiatives. It includes a change to the calculation of interest on credit cards, removal of ongoing wealth management service fees, everyday bank fee changes, overdrawn approval fee changes and the ATM fee removal.On an annualised basis, these pricing changes are currently worth A$415 million of foregone income. And they are ongoing.A similar theme may emerge as a drag on profit at National Australia Bank, which on Friday outlined plans to eliminate or simplify hundreds of fees.On top of voluntary measures there are even more punishing, if more or less one-off, hits to CBA's bottom line.On the remediation side, the bank made additional provisions of $714 million in the March quarter, adding to the $282 million of provisions it booked in the December half.The latest provisions included $334 million for aligned advice remediation and program costs, $72 million for wealth customer remediation, $152 million for business banking customer remediation and $156 million for other program costs (including regulatory responses).The bank says: "While these additional provisions are estimates that may change, the bank believes it has adequately provided for currently known banking and wealth customer remediation." The latest provisions take the total cost of the bank's customer remediation program and regulatory update to $2.2 billion.As a result of the March quarter provisions, unaudited cash profit for the quarter is down 28 per cent, compared with the average of the September and December quarters.Taking the $714 million provision out of the equation, cash profit of $2.4 billion for the quarter was down 9 per cent on the average of the previous two quarters.Arrears on personal loans, credit cards and home loans were all higher during the quarter. Home loan arrears (past due by 90 days or more) rose from 67 basis points in the December half to 71 bps in the March quarter.The bank also announced yesterday that David Higgins would retire as a non-executive director on December 31. Higgins joined the CBA board in 2014 and was chair of the remuneration committee and a risk committee member.