Comment
A human face for the banks?
Increased bank fees and branch closures have been a sore issue for older people in recent years, but the ANZ bank’s April announcement on free over the counter transactions for seniors may be turning the tide, says Helen Scott, information manager at Council on the Ageing (Australia)
Technology has dehumanised banking, and the personal relationships customers have had via their money with the banks, in bank branches. Banks recognise this, although it is rarely reported, and are driven by the reality that electronic transactions are a fraction of the cost of face-to-face. In addition, competition has put pressure on banks not to subsidise unprofitable customers.
Experience overseas suggests that customers do not want a remote relationship. Online-only banks are not attracting the customers they need, and Bank of Montreal for example folded its Internet subsidiary in 1999.
The ANZ bank’s decision on the 20 April to offer unlimited fee-free over the counter transactions for customers aged 60 and over from their ANZ personal transaction and deeming accounts from 1 July 2001 marks a momentous decision by a major Australian bank that banking needs to satisfy their customers as much as their shareholders.
The ANZ also proposes a Customer Charter, the appointment of a senior level customer Advocate and greater funding for their community relations programme.
COTA has long argued for older people to be exempt from penalties for not using electronic banking. While more and more older people are becoming ‘techno-literate’, there are still problems for many – especially the very old, frail aged or disabled – in using new technology. It is good to see ANZ recognise this and acknowledge that face-to-face banking is a preferred option.
We hope the other banks follow the ANZ example with free over the counter services. What is needed is a charter of social obligations and standards for banks.
COTA is working with the Australian Bankers' Association and the Human Rights and Equal Opportunity Commission on an Industry Action Plan to develop best practice industry standards for electronic banking facilities. This co-operative approach will help provide more accessible banking services for older people and people with disabilities in future.
COTA urges banks to build on existing successful partnerships, to publicise their services for older people, and develop practical, innovative, grass roots education and access programmes.
