Bendigo and Adelaide Bank has welcomed news that it will be able to compete for
deposits on the same basis as larger competitors in the Australian banking sector.
The news comes after Federal Treasurer Wayne Swan announced the end of the
Federal Government Guarantee on large deposits – effective from March 31, 2010.
According
to the Managing Director of Bendigo and Adelaide Bank, Mike Hirst, removal
of the Guarantee would enable the bank to complete clearly on the basis of
service and value.
“The removal of the Government Guarantee on large deposits
means our customers can once again experience the market leading-service from
Bendigo and Adelaide Bank without temporary market forces distorting the price
they can receive,” Mr Hirst said.
“In particular, the councils and large businesses
that may have felt compelled to chase lower-cost guarantees at larger banks
can return safe in the knowledge that market conditions are returning to normal.
“The removal of the Government Guarantee is further evidence that the Australian
financial services sector has emerged from the global financial crisis in good
shape,” Mr Hirst said.
Bendigo and Adelaide Bank has not used the Government
Guarantee on Wholesale Funding to raise funding in international markets.
“We
have been able to provide a strong alternative to the major banks through this
period with the fantastic support of our large and loyal customer base,” Mr
Hirst said. |