Commission a chance to review options says Regional Australia Bank CEO

Commission findings a chance to review options, says Regional Australia Bank CEO

Regional Australia Bank CEO Kevin Dupé has today applauded the findings of the Royal Commission, saying he encourages consumers to take this as a chance to explore alternatives.

"This is landmark day for the face of banking in Australia. We will see the major banks (and others that will follow) forced into changes that start to put the customer first, but it would be remiss of me to not to remind consumers that a strong alternative is available that has always put the customer first."

Mr Dupé is referring to the customer-owned banking model that returns 100% of profits back to its customers and community – not to financial shareholders, as is the model for the major banks.

"Where you have a model that primarily gauges success on the financial returns to its shareholders, you can see how customer interest may be compromised in decision making."

"In stark contrast, the customer-owned model positions the customer at the centre of decision-making – ensuring value is added to them at each turn through fairer fees, competitive rates and quality services. It really does put people before profit."

The Customer Owned Banking Association (COBA) - the peak body for Credit Unions, Building Societies and Mutual Banks - has come out in support of the stronger governance from the regulatory authorities (recommendation 6.14) saying, "COBA strongly supports the Royal Commission’s recommendations for stronger regulator accountability.

Mr Dupe mirrored these sentiments saying "if the Royal Commission has taught us anything, it has unearthed that it is the adherence to regulation, not the amount of regulation that is the problem. Simply introducing more regulation risks "using a hammer to crack a nut" because it assumes the problems are systemic to the entire industry when they are not. This recommendation will make everyone more accountable."

In recognising the need for greater customer accountability, Mr Dupé says that it is hard to look past the customer owned banking model. "If you bank with the majors and don’t feel you are getting value, my advice is to join a bank where the shareholder and the customer are one and the same."

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Media contact:

Victoria Brown, Brand and Communications Manager, 0432 538 746.

It is requested that Regional Australia Bank is not shortened to an acronym and always referred to in full as Regional Australia Bank.