ANZ given ultimatum
Pay up or lose services at Australia Post
ANZ customers could be barred from banking at post offices amid a standoff between the bank and Australia Post.
The bank has so far refused the terms of a new offer by Australia Post to continue providing banking services to ANZ customers at the nation’s post offices.
ANZ’s existing contract with Australia Post is due to expire in three months.
Under a new contract offered by Australia Post chief Christine Holgate, ANZ would help fund the cost of providing the banking services.
If the bank does not agree to the new terms within three months, ANZ customers will no longer be able to bank at Australia Post.
According to Australia Post, 6000 ANZ customers – many of them small businesses – use post offices for banking every day across the nation.
ANZ has been contacted for comment.
While ANZ customers who don’t have a local bank branch have been able to use post offices for their banking, Australia Post has told the banks it is sick of subsidising the service.
Ms Holgate said she was still hopeful of getting a deal with ANZ.
Yesterday Ms Holgate revealed Westpac and National Australia Bank had each signed historic agreements that would help guarantee the future of local branch banking services, through post offices, in communities across Australia. The Commonwealth Bank agreed to the deal last week. Coles managing director Steven Cain is thrilled with the success of the Little Shop campaign which has helped boost the supermarket’s sales figures
Each bank has agreed to pay about $22 million a year, as well as transaction fees, for access to 3500 post offices. The value of the transaction fees has not been disclosed.
It means Australia Post is now at least $66 million better off each year.
The CBA deal is for five years while the Westpac and NAB deals are for three years.
It is believed Australia Post is driving home the point to ANZ that with no long-term commitment, the lender must still contribute to the investment required in post office banking.
ANZ’s retail distribution manager Paul Presland said the bank wanted to come to a ‘”fair” new agreement.
“At this stage we have unfortunately been unable to come to a new agreement that is reasonable for both organisations,” Mr Presland said.