Bank’s loan book rising
Ford’s credit society driving new future
THE Geelong Bank increased its home loan book by almost eight per cent in the first trading period under its rebranded name.
Formerly known as FCCS, the 45year-old organisation is quietly stepping out of the shadows of its roots as a credit society for Ford employees, launching its new name in November last year.
Chief executive Vivien Allen said the customer-owned bank had targeted growth in the first homebuyer market in 2018-19.
“We were looking for growth in excess of seven per cent and we have exceeded that,” Ms Allen said.
“Going forward our challenge is to keep that loan book growing but also attract deposits and look after the members.”
The bank’s loan portfolio grew by 7.92 per cent and its deposits portfolio by 6.97 per cent in the past year.
Keeping the loyalty of longstanding credit society members has been a priority of the organisation which has had to combat a slide in numbers as Ford withdrew from manufacturing, eventually stopping production in October 2016.
And it has also had to fight the assumption that because Ford had stopped production, it would close.
“What I am happy to say is that over the last two years, we have worked really hard and retained our members,” Ms Allen said.
She said having stemmed the flow, the bank was aiming to increase its deposit accounts by five per cent next year.
Like manufacturing industries in the city, it is having to find other markets in order to grow and the rebrand is central to that strategy.
Following extensive market research, and a timely change in legislation, Ford Co-operative Credit Society Limited started trading as Geelong Bank last year, creating a brand that resonated strongly with focus groups and “tells people what we do”.
While a bank by name, the organisation remains customer owned with account holders paying $10 to become a shareholder which gives voting rights.
Ms Allen said the future strategy for the bank involved leveraging that it was customer owned, continuing to invest in technology to allow a small team to better service members, and to spread the word.
The Geelong Bank, based in Gheringhap St, is government guaranteed and regulated by ASIC and APRA and so is an approved deposit taking institution. It is overseen by a board of eight directors.
To find out more about the Geelong Bank’s banking services go to www.geelongbank.com.au.