One of the most successful and enduring innovations of Australian banking -Bendigo’s Community Bank program– turned 25 on Monday.
Since the launch of the first community-owned branch in the Victorian town of Minyip in June 1998, the program has expanded into a national network servicing more than 300 once under-banked towns and suburbs across Australia.
Community Bank is now big business, collectively managing A$20 billion in loans and more than $31 billion in deposits.
It has also delivered millions in returns for the communities in which the locally-owned branches operate, with almost $300 million of bottom line profits ploughed back into sports clubs, health programs and welfare groups since 1998.
Staff and customers of the combined Rupanyup and Minyip Community Bank last Thursday turned on a huge spread of sausage rolls, jam scones and pink lamingtons to celebrate the milestone.
Bendigo Bank CEO Marnie Baker said the strength of the shared value model proved that Australians will back alternatives to the banking oligopoly if provided with quality products and service backed by a trusted financial institution.
“I want to thank our Community Bank customers for their support, our team members for delivering quality service, local shareholders for backing their communities and all the passionate locally based directors for their hard work and dedication,” Baker said.
“I also want to acknowledge the board of Rupanyup/Minyip and the local community for their hard work and the important role they played in piloting this unique model, showing communities nationwide what can be achieved when we work together towards shared goals.”
The first person to open a savings account through the program was Minyip resident Michelle Clark who deposited $10 on 26 June 1998.
“The day the bank opened was so exciting, it was such a tremendous feeling,” Clark said.
“We could see the need for a bank in our community, put together a working group and started knocking on doors.
“We believed in what we were doing, made it happen and never looked back.”