- Beaumont says the phase two hubs were welcomed by their communities. However, the trial did not indicate a significant demand for these physical services with hub usage lower than many comparable regional branches or ATMs.
- “For those reasons, we believe regional New Zealand is better off if banks maintain their current branch networks for three years, instead of closing regional branches and replacing some of those branches with an alternative, such as hubs.”
- The New Zealand Banking Association has been trialling hubs providing a smart ATM – putting operations for all banks at one location. The Association says it showed locals preferred to still use a single brand bank – rather than the hub.
- New Zealand’s five largest banks will extend their current commitment not to close regional branches for the next three years, as part of the conclusion of the regional banking hubs trial. “Banks understand their importance as part of the fabric of regional New Zealand,” says New Zealand Banking Association chief executive Roger Beaumont. “That’s why our... Read more »
- But the association also said while banks will support their customers, lending to businesses is usually riskier than housing, which is why companies, including farmers, tend to pay higher interest rates than homeowners.
- Together with the New Zealand Banking Association, New Zealand’s retail banks are working towards a new Confirmation of Payee system, which is one way they aim to reduce the number of payments made to fraudulent bank accounts and help people avoid making payments to the wrong account.
- In its own submission, the NZ Bankers Association, representing the major banks, said the increase in capital requirements were “a significant factor” in interest rates being higher on average for farm loans than for residential mortgages.
- “Rolling out confirmation-of-payee is not as simple as flicking a switch. Broadly speaking there are two main phases involved. First, we need to build a solution and ensure it works technically with our current payments system and complies with banks’ privacy and confidentiality obligations. Once we have that, banks then individually need to implement changes... Read more »
- The New Zealand banking sector says it now has a preferred provider for setting up confirmation of payee, a key part of its response to the burgeoning problem of scams.
