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We are now officially Gateway Bank Ltd.

What will change now that we are Gateway Bank Ltd?

There will be minor changes, but these will not impact or disrupt the services you receive from us.

  • Our name has changed to Gateway Bank Ltd and our constitution will be updated to reflect the new name, but our mutual status will remain.
  • Our logo has changed to include the word ‘Bank’. You will notice this on al communication you receive from us, such as your account statements, emails, marketing material, and on our website.
  • Our web address is now www.gatewaybank.com.au
  What are the benefits?

Being a Mutual Bank will help us improve our competitive standing, support our future growth and sustainability as well as assist us to provide more competitive services, products and all-round value.

As a bank, we are potentially able to:

  • Gain access to more cost-effective funding in wholesale markets from a more diverse range of sources such as local governments, superannuation funds and not-for-profit organisations, which typically restrict their dealings to banks only. 

  • Compete on a more level playing field by leveraging greater public awareness and understanding of what a bank does and offers, allowing us to capture more market share in order to achieve better efficiencies and value for Members.

  • Strengthen our reputation as a trusted financial institution. Many people perceive banks to be safer than credit unions. Thus, trading as a bank will boost our public perception; helping us to attract new Members and secure the business’ ongoing success and reach its future growth targets.

Ultimately, we now have the strength of a bank but with the service, value and support that can only come from being a member-owned and member-focussed financial institution.

  Does this mean we will be demutualising?

Absolutely not. We have retained our mutual status and continue to uphold the values and principles upon which we were founded.

Since 1955, we have been helping Members achieve their financial hopes and dreams and this will not change. As a mutual bank, we remain owned by our Members who each have one equal vote. We will continue to reinvest our profits back into our systems and products to provide you with an even better banking experience. 

  What’s the difference between a credit union, a mutual bank and a retail bank?

Under Australian law, credit unions, mutual banks and retail banks are referred to as Australian Authorised Deposit-Taking Institutions and all are regulated by the Australian Prudential Regulation Authority (APRA).

However, mutual banks and credit unions share far more similarities than retail banks. A mutual bank is a credit union that has gone through the process required to use the word ‘bank’ in their trading name.

Here we list out the similarities and differences between each:

 
Credit Unions
 
  • Often service communities and/or industry employees but can also be open to anyone.
  • They are 100% owned by members. One member share equals one vote on credit union constitutional matters.
  • Profits/surplus is reinvested to support competitive products and services.
  • Many credit unions still offer limited banking services. Not all credit unions provide credit cards, home loans, online savings accounts, foreign exchange, etc.
 
Mutual Banks
 
  • Often service communities and/or industry employees, but can also be open to anyone.
  • They are 100% owned by members. One member share equals one vote on Mutual Bank constitutional matters.
  • Profits/surplus is reinvested to support competitive products and services.
  • Mutual banks generally offer standard consumer banking services such as home loans, online savings accounts, foreign exchange, etc.
  • Can use the word ‘bank’ in their trading name.
 
Banks
 
  • Banks are owned by shareholders who may or may not be customers. 
  • Large banks are publicly listed on the stock exchange where individual or institutional investors purchase multiple shares with varying voting numbers and rights attached to the shares.
  • A portion of bank profits is returned to shareholders as dividends. 
  • Banks strive to maintain or increase the value of the bank’s share price and return a strong dividend to shareholders. 
 
  Will will now start acting like a Big Bank?

No. We have retained our mutual status and continue to uphold the values and principles upon which we were founded. Unlike a bank, which is usually owned by large institutional investors and other shareholders, we will continue to remain member-owned and member-focussed. That means we will continue to operate in the best interests of our current and future Members, delivering the same great service and value that we have always provided.

  Have other credit unions made this change?

Yes, the opportunity to change to a bank has already been successfully taken up by several other credit unions. Some examples include Teachers Mutual Bank, Police Bank, QT Mutual Bank and BankVic. All these mutual banks continue to be member-focussed. Our Board has carefully assessed the experiences and learnings of other credit unions before making its recommendation. Our Directors are satisfied that changing to Gateway Bank will benefit our Members now and in the future.

  Will this name change alter the future business strategy of the organisation?

Our business strategy is constantly evolving to ensure we’re in the best possible position in the current market. While we do plan to the best of our ability, we also have to remain flexible and agile. 

While our business strategy will adapt, ultimately, our underlying ethos and overall vision for Gateway will remain the same. We retain our mutual status and continue to uphold the values and principles upon which we were founded. 

  If so, what will be the future business direction/strategy?

As Gateway Bank, we are in a better position to evolve the business, grow and continue to increase our market share. The future business strategy will position us to take full advantage of the new opportunities this name change will present to us, while allowing us to continue to offer competitive and innovative lending and deposit products to our Members. 

  Will fees and charges increase as a result of the name change?

No, the name change will not result in an increase to current fees nor will we implement additional fees and charges. As in any business, fees and charges change in response to economic market conditions. We will continue to provide the same value and service as we have always done. 

  Will the name change affect access to accounts and services?

No, the name change will not inconvenience you in any way. Everything has remained the same. There will be no change to your membership structure or your day-to-day banking arrangements. You will still have access to the same accounts and services that you currently use.