Credit Union's Community Banking Role Recognised

09 February 2006

Australian credit unions’ long history in providing community banking has been acknowledged in Bendigo Bank’s decision to withdraw its application to register the words COMMUNITY BANKING as a trade mark.

“This withdrawal is a recognition by Bendigo Bank that credit unions have been offering member focused and locally owned community banking for nearly 60 years. For credit unions, community banking is not a marketing opportunity or slogan, it defines who we are - member focussed, community owned financial services organisations,” said Adrian Lovney, General Manager, Credit Union Industry Association (CUIA).

Credit unions have been part of their local communities since 1946. Credit unions across Australia offer a different kind of banking to more than 3.6 million members and have more than $34 billion in assets.

“The Bendigo Bank model may be a successful addition to the banking and financial services market, but clearly they’re not they not the first or only one’s offering community banking,” said Mr Lovney.

“Credit unions are proud of their traditional links to the community, which is fundamental to their philosophy, history and mutual structure. As integral parts of the community, credit unions continue to offer choice and competition in the marketplace and return value to their members through better service, fairer fees and support for the local community,” Mr Lovney said.

CUIA and credit unions had opposed Bendigo’s claims to register the term “community banking” with IP Australia. Bendigo Bank withdrew its application following submissions by CUIA and others this week.