Mutuals hold their ground
(18 November 2010 – Australia) A report has found that Australia’s credit unions and building societies are continuing to provide a valuable source of competition for the nation’s major banks.
According to KPMG’s Building Societies and Credit Unions 2010 survey released earlier in the week, over the last financial year credit unions have achieved retail growth of 9 percent against 7.9 percent growth for the broader market.
Abacus chief executive Mark Degotardi said the report also found that the mutual sector’s place in the Australian financial services sector is well-deserved.
"Major bank customers can vote with their feet and move their banking to a credit union or building society. Mutual financial institutions are strong, secure and offer great rates across a range of products," he said.
KPMG’s Martin McGrath said credit unions and building societies offer healthy competition against other lenders in the highly competitive home-mortgage and retail deposit markets.
Abacus chief executive Mark Degotardi said the report also found that the mutual sector’s place in the Australian financial services sector is well-deserved.
"Major bank customers can vote with their feet and move their banking to a credit union or building society. Mutual financial institutions are strong, secure and offer great rates across a range of products," he said.
KPMG’s Martin McGrath said credit unions and building societies offer healthy competition against other lenders in the highly competitive home-mortgage and retail deposit markets.
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