GBS serving clients with distinction 140 years on
GRAHAMSTOWN Building Society, founded in 1877, with its head office in Grahamstown, converted to a mutual bank in 1994, becoming GBS Mutual Bank.
This year, the bank achieves a milestone in celebrating its 140th anniversary, making it one of the oldest banking institutions in South Africa.
GBS Mutual Bank is well-placed in terms of capital, liquidity and reserves to face the challenges that lie ahead.
With commercial banks entering the home loan market in the 1990s, hence increasing competition, the need to expand GBS Mutual Bank’s presence and product range became vital. After expanding in Cape Town in 1996, a branch was opened in Port Elizabeth in 2007 and Port Alfred a year later.
GBS Mutual Bank has built its reputation and business on a solid foun- dation of honesty, integrity and an ethos that places value in its clients and staff – above all else.
“GBS Mutual Bank continues to pride itself on personal service and doing the right thing” managing director Anton Vorster said.
Karin Muller, who had previously spent 25 years in the financial sector, was appointed senior business development officer in April 2006 with a view to establishing and growing the mortgage loan book in Port Elizabeth and a branch was opened a year later. It has been conducting business from premises at 77 Pickering Street, Newton Park, since October 2009.
The staff complement includes Desiree Mouton (business development officer) and Tanya Tarr (administration).
General manager for marketing Kirk Breetzke directs the strategy of the branch and, with his vast experience and intimate knowledge of the Port Elizabeth market, the future looks promising.
The branch’s focus remains on continued growth in mortgage loans and a range of investment products.
Loans and advances in Port Elizabeth have grown an impressive 244% in the last decade and 56% in the last five years.
Investment growth has been even more impressive with growth of 276% in 10 years and 115% in the last five years.
Breetzke said: “The GBS is very pleased with the increased level of activity in the Port Elizabeth area. The GBS brand is now becoming well known and we look forward to continued support from the business fraternity”.
The Port Elizabeth branch offers a full range of financial services, as do the head office in Grahamstown and its branches in Cape Town and Port Alfred. These include:
Mortgage finance – commercial, residential and development mortgage finance;
Investments – diverse range of products offered; and
Asset finance – vehicle finance and rentals (office equipment, etc).
The bank continues to provide its clients with secure investment opportunities and competitive loans, maintaining a liquidity holding well in excess of the statutory requirements.
Vorster said: “Part of the strength of GBS Mutual Bank lies in its conservative approach to its lending activities which are mainly mortgage loans against the security of immovable property and asset-based finance loans”.
The growth of the GBS has been impressive: On converting to a Mutual Bank in 1994, GBS Mutual Bank’s assets stood at R167-million, increasing to R500-million in 2006, reached the R1-billion mark in 2014, and now stands at R1.3-billion.
During this time, profits have also risen steadily, albeit not in a straight line, and this year the bank had record profits in excess of R10-million and reserves exceed R10 0-million.
Please feel free to visit the bank at 77 Pickering Street, Newton Park, Port Elizabeth, or the website at the following website address: www.gbsbank.co.za. The Port Elizabeth Branch telephone number is (041) 365- 4062.