More people turning to Mutuals

Figures released yesterday have shown credit unions and building societies have outperformed the major banks in the home loan and household deposit sector this quarter. 

The results are expected to have a positive impact for consumers providing more much-needed competition in the retail banking industry. 

Statistics released by APRA yesterday revealed home loan balances have grown to 10.2 per cent for Mutual’s verses only 8.3 per cent for the banks. 

Mutuals’ household deposits also left the banks in the dust reporting 8.2 per cent in annual growth against the banks’ 6.5 per cent. 

Head of Public Affairs for Abacus, Mark Degotardi says that credit unions and building societies are adding diversity to the banking industry. Degotardi puts the growth down to Mutuals’ community focus, competitiveness and great customer service. 

“Mutuals have only one priority – their members. This means they deliver great value to those members through better products and services. And currently they’re delivering to more than 4.5 million members across Australia,” said Mr Degotardi.