“If we continue as we are now, the likely result will be reduced reliability, slower response times, and a general decline in the overall quality of cash-in-transit services – posing a real risk to the future viability and reliability of this service. That’s why we’ve approached the Commerce Commission.

NZBA said RBNZ should seek to align its prudential capital requirements as closely as possible with international standards and comparable jurisdictions.

Reserve Bank of New Zealand – Te Pūtea Matua (more…)

The banking association took issue with the monopoly, saying the merged armoured van cash company had already started exercising “behaviour that would not be expected in a workably competitive market”.

The NZBA spokesperson said the association’s members had differing views on the merits of each of the three models. “We think the industry is already delivering better access to transaction accounts.”

“If we continue as we are now, the likely result will be reduced reliability, slower response times, and a general decline in the overall quality of cash-in-transit services – posing a real risk to the future viability and reliability of this service.

Roger Beaumont, chief executive of the Banking Association, told the committee: “This bill is based on a serious misunderstanding. It ignores the fact that banks make credit decisions based on commercial reasons, not on the basis of murky moralising.”

NZ Banking Association chief executive Roger Beaumont said RBNZ’s proposal was a step in what he saw as the right direction, likely with differing impacts on each of the various sector players.

“We’ve tried to keep the calculator as user-friendly as possible. We hope uptake is strong and that users find it helpful.”

“We are delighted to launch the calculator in association with Interest,” Beaumont said in a media release. “Our banks compete strongly in the home loan market, and we support providing borrowers with clear information to help make one of the most important financial decisions of their lives.”