A new banking hub launched today in Martinborough is being described as the possible future of banking in small New Zealand towns.
“Since March banks have been working proactively with customers who were financially impacted by Covid-19. Banks will continue to work with affected customers, including the relatively few who still have fully deferred loans.”
New Zealand Bankers’ Association chief executive Roger Beaumont said interest rates were at historic lows. “That’s good news for households and businesses looking to borrow. The flip side is that investors, including people who rely on interest income, get a lower rate of return on bank deposits.”
FIRST Union supports the trial of banking hubs in four New Zealand regions as the country seeks to maintain face-to-face services amid the COVID-19 pandemic, retain jobs in banking, and ensure that rural areas don’t lose vital infrastructure.
ANZ, ASB, BNZ, Kiwibank, TSB, and Westpac are all taking part in the year-long trial being coordinated by industry body the Bankers’ Association.
“I am delighted to see that this unique partnership of six banks looking at innovative ways to support smaller communities is ready to go,” said Roger Beaumont, the chief executive of the New Zealand Bankers’ Association.
Treasury and the Reserve Bank of New Zealand
A trial of Regional Banking Hubs to test the demand for basic banking services in regional communities will begin in November.
The trial, which includes ANZ, ASB, BNZ, Kiwibank, TSB and Westpac, will run in four regional centres: Twizel, Martinborough, Stoke and Opunake. Three of the sites will have community partners, who will host the Hub and provide staff services.
The Hubs will be based around a Smart ATM that provides for deposits and withdrawals. Other basic transactions will be available on tablets and phones, with staff to assist. Staff will not be able to provide financial advice or assist with individual bank products such as home loans, but can help direct customers to phone or internet banking.
The year-long trial was set to begin in May but was delayed by Covid-19.
“I am delighted to see that this unique partnership of six banks looking at innovative ways to support smaller communities is ready to go,” says New Zealand Bankers’ Association chief executive Roger Beaumont.
“During the Covid-19 lockdowns, banks helped thousands of New Zealanders get better at using online and mobile banking. Those customers aren’t looking back. However, we know that some customers still prefer face-to-face banking and that’s what this Banking Hub trial is designed to test.”
The six participating banks have voluntarily chosen not to close regional branches since the trial was announced in September 2019. This commitment will continue until the end of the year. From 1 January 2021, the six participating banks will not close any branches or ATMs within the boundaries of the district councils hosting the Hubs, for the remainder of the 12 month trial.
The Banking Hub locations, community partners and launch dates are as follows:
Twizel: The ANZ branch on Market Place will be converted to Twizel Banking Hub for a year. Opens 17 November.
Martinborough: Martinborough Banking Hub will be hosted in the Waihinga Community Centre in partnership with Destination Wairarapa. Opens 27 November.
Stoke: Stoke Banking Hub will partner with Hardy St Pharmacy (John’s Stoke Pharmacy) in Putaitai Street. Opens 3 December.
Opunake: Opunake Banking Hub will be hosted in the Opunake Library Plus, in partnership with South Taranaki District Council. Opens 7 December.
ENDS
The New Zealand Bankers Association announced that a new banking hub will open on December 3 in the John’s Stoke Pharmacy building at Putaitai St.
Banks will start a trial of shared regional banking hubs in November, using an old ANZ branch, a library, a community centre and a pharmacy.