True community banking recognised

18 October 2006

Two Australian credit unions have been awarded $25,000 for their positive impact on the community and the environment.

Fitzroy & Carlton Community Credit Co-operative, which provides low cost financial services to the financially disadvantaged in Melbourne, and mecu limited, which has taken a sustainable approach to every aspect of banking, have been recognised by their peers as outstanding examples of the credit union ethos.

The Cuscal and CUNA Mutual "Making a Difference Award"was announced in Perth today at the Abacus – Australian Mutuals convention for credit unions and mutual building societies.

Announcing the award, Cuscal CEO John Gilbert, said credit unions have been making a difference in their local communities for over 50 years, but have been reluctant to speak publicly about their work.

"Credit unions offer a different kind of banking," Mr Gilbert said."They are not focused on profits but on making a difference to their financial well-being of their members and the communities they serve.

"Social responsibility and community banking are not marketing slogans to credit unions in Australia. They are the way we have been working for over 50 years."

Fitzroy & Carlton Community Credit Co-operative makes a difference every day by providing low-cost financial services targeted at financially illiterate members.

Budget officers assist members to manage their day-to-day finances, and members services are deliberately run at a loss. The focus is on providing hope for the future for members, and not on making money. The majority of staff at Fitzroy & Carlton are volunteers and community groups assist in the credit co-operative's work.

mecu is the first credit union in the world to sign up to the United National Environment Program finance initiative. Everything that mecu does is focused on their aim to become the pre-eminent socially responsible banking provider in Australia.

Without the budget of the major banks, mecu is leading the way in innovation in everyday banking, offering the community a real alternative to the big banks.

CUNA Mutual is a US-based Fortune 500 company dedicated to the credit union sector. CUNA Mutual CEO Mike McCarthy, said the company was honoured to be able to make the award to such deserving credit unions.

"Australian credit unions are world leaders in providing genuine community banking. We are delighted to support their work in this way," he said.

For more information:

For a full list of Abacus members around Australia go to www.abacus.org.au