Qudos Bank has engaged with its Ascot members and the wider community to provide clarity on its upcoming merger with Bank Australia. At a recent information session, executives assured members that the merger would enhance services, expand the branch network, and maintain job security, while also allowing members to vote on the proposed transition.
Qudos Bank’s Legacy and the Need for a Merger
For over 65 years, Qudos Bank has served its members as a trusted, customer-owned financial institution. However, as the banking sector becomes increasingly competitive, smaller institutions face growing regulatory requirements and the need for greater investment in technology to enhance customer experience.
Recognising these challenges, Qudos Bank has proposed a merger with Bank Australia. The merger aims to strengthen both institutions.
Member Engagement in Ascot
During an information session held in Ascot on 24 February, Qudos Bank Chief Executive Officer Brendan Wright and Bank Australia Managing Director Damien Walsh addressed local members. He provided insights into the merger’s benefits and answering key questions.
A key aspect of the merger is its commitment to preserving existing services. Members were reassured that there would be no branch closures. Qudos Bank members will gain access to an expanded branch network, increasing from five to 15 branches across New South Wales, Victoria, Queensland, and the ACT. This includes locations in each state’s central business district, offering greater accessibility.
Additionally, the merger will allow for lower fees and charges on certain products and services from day one.
Job Security and Future Growth
One of the primary concerns addressed was employee job security. Qudos Bank confirmed that there would be no job losses for non-executive employees. Furthermore, the new entity will maintain 100% Australian-based customer support teams, ensuring that all operations continue to be handled locally.
Key Benefits for Qudos Bank Members
According to Qudos Bank, the merger with Bank Australia is a proactive strategy that will provide:
- Increased financial and operational capacity to support members.
- Lower fees and charges on select products and services.
- Expanded branch network, including CBD branches in Sydney, Melbourne, Brisbane, and Canberra.
- Enhanced investment in digital banking for an improved customer experience.
- Greater investment in cyber security and fraud prevention to protect members.
- No changes to existing accounts, loans, deposits, or banking services.
- No direct changes to interest rates as a result of the merger, apart from standard adjustments based on market conditions.
Why Bank Australia?
Bank Australia was selected as the preferred merger partner due to its shared history as a customer-owned bank with a strong financial track record. The bank has demonstrated sustainable growth while maintaining competitive products and personalised service.
Both banks operate under 100% Australian-based customer support, reinvesting profits into better rates and fairer fees for members. Bank Australia also has a strong track record in community and environmental initiatives and has received multiple awards from Finder, Canstar, Money Magazine, Mozo, and other financial rating agencies.
Timeline and Member Vote
The merger is still subject to regulatory approval and a member vote, with the following key dates:
- Early 2025: APRA (Australian Prudential Regulation Authority) reviews the merger application.
- March 2025 (Subject to Approval): Member Information Booklet released, detailing the full terms of the merger.
- April 2025 (Subject to Approval): Member vote takes place at a Special General Meeting (SGM), with online voting available through a third-party platform.
- 1 July 2025 (Subject to Approval): If approved, the merged entity will officially begin operations.
Qudos Bank is encouraging members to participate in the vote. Their approval is essential for the merger to proceed.
Stronger Together: A Future-Focused Customer-Owned Bank
Brendan Wright assured members that the merger would bring long-term advantages. The combined entity will be one of Australia’s largest customer-owned banks with nearly $20 billion in assets and serving 300,000 members. The merger is expected to strengthen competitiveness within the Australian banking sector, increasing financial stability and investment in customer services.
Published 28-Feb-2025
