Bankless in the Bay of Islands
All the banks have now gone from Paihia, although Kiwibank is clinging on with an agency, forcing businesses and the wider community to make alternative arrangements.
Deposits can be made, and cash withdrawn, at the four ATMs in the town, but all other transactions require travelling to Kerikeri, a round trip of 50km, as Charles Parker, who heads Business Paihia, discovered recently.
“I had to get a deposit card for the yacht club I am involved with, and had to go to an actual bank for that because you can’t get it from an ATM,” he said.”
It’s worse for Russell residents, who haven’t had a bank in their town for years. There is a Westpac ATM, but those who are not Westpac customers have to pay to use it. Going to Kerikeri also means paying for the ferry, which even with a resident discount card costs $13.50.
Westpac has pulled out of Paihia altogether, not even providing an ATM.
Security firms are contracted to collect and deliver money for the ATMs that are there, with ANZ using Security North, which has offered Paihia businesses the option of having their deposits collected daily or weekly and delivered to the closest branch.
Security North said it usually charged $22 plus GST, but if 12 businesses engaged them that would drop to $15 plus GST. No Paihia businesses had taken up the offer as of earlier this week.