Investment Security

A sound return and peace of mind.

When you invest your hard-earned money, you're looking for both a sound return and peace-of-mind.

So while striving to provide competitive and attractive products and services, we've also made a commitment to offer you quality, safety and security.

When making the decision to invest, the following facts may help answer some of the questions you may have:

Financial Claims Scheme

Australian Government guarantees customer deposits

In the unlikely event that a bank, building society or credit union becomes insolvent, the Australian Government may activate the Financial Claims Scheme, which enables quick access to deposits that are protected under the Scheme. The Scheme is also referred to as the Australian Government guarantee on deposits. Under the Scheme, certain deposits are protected up to a limit of $250,000 for each account-holder at any bank, building society or credit union that is authorised by the Australian Prudential Regulation Authority (APRA). These institutions are known as authorised deposit-taking institutions (ADIs).

Auswide Bank Ltd ABN 40 087652 060 (Australian Financial Services Licence 239686) is an ADI authorised by APRA.

What is the Financial Claims Scheme?

The Financial Claims Scheme (FCS) is an Australian Government scheme that provides protection and quick access to deposits in banks, building societies and credit unions in the unlikely event that one of these financial institutions fails.

Under the FCS, certain deposits are protected up to a limit of $250,000 for each account holder at any bank, building society, credit union or other authorised deposit-taking institution (ADI) that is incorporated in Australia and authorised by the Australian Prudential Regulation Authority
(APRA).

The FCS can only come into effect if it is activated by the Australian Government when an institution fails. Once activated, the FCS will be administered by the Australian Prudential Regulation Authority (APRA).

In an FCS scenario, APRA would aim to pay the majority of customers their protected deposits under the Scheme within seven calendar days.

How is the FCS limit applied?

The FCS limit of $250,000 applies to the sum of an account holder's deposits under the one banking license.

Therefore, all deposits held by an account holder with a single banking institution must be added together towards the $250,000 FCS limit, and this includes accounts with any other banking businesses that the licenced banking institution may operate under a different trading name.

For the purposes of determining the FCS limit, Auswide Bank confirms that it is a single banking institution and operates no other licenced banking institutions under a different trading name   

Where can I get further information on the FCS?

Information on the FCS is available on the FCS website – www.fcs.gov.au.

Click here for a summary of Financial Claims Scheme.

Click here for a list of Auswide Bank accounts covered by the Financial Claims Scheme.

Supervision and Regulation

Australian Prudential Regulation Authority:

As an Australian bank – Auswide Bank Ltd is a type of Authorised Deposit-taking Institution (ADI) - a corporation authorised under the Banking Act 1959.

ADIs include Australian building societies, banks and credit unions which are all subject to the same Prudential Standards.

The Australian Prudential Regulation Authority (APRA) is the body responsible for prudential supervision - that is the promotion of safety and soundness by these institutions.

APRA provides a consistent approach to the supervision of both banks and building societies including capital adequacy standards.

Capital is the cornerstone of an Authorised Deposit Taking Institution's strength. The maintenance of adequate capital reserves can engender confidence in the financial soundness and stability of the institution by providing continued assurance that the ADI will continue to honour its obligations to depositors and creditors.

APRA Infoline: 13 10 60
APRA Website: www.apra.gov.au

Australian Securities and Investments Commission:

Another body responsible for protecting account-holders and shareholders is the Australian Securities and Investments Commission (ASIC).

ASIC protects consumers from misleading and deceptive conduct, and also regulates matters affecting incorporation, corporate governance and disclosure.

ASIC Infoline: 1300 300 630
ASIC Website: www.asic.gov.au

ASIC has issued Auswide Bank with an Australian Credit Licence and an Australian Financial Services Licence (Number 239686).The Licences are required under the National Consumer Credit Protection Act 2009 and the Financial Services Reform Act 2001 respectively.

As a credit licensee, Auswide Bankn must engage in credit activities efficiently, honestly and fairly, maintain organisational competence and manage conflicts of interest.

As a financial services licensee, Auswide Bank is required to have adequate financial resources for the performance of our activities; maintain competence, skills and experience to provide financial services and provide adequate systems for training and supervision of our representatives.

Australian Stock Exchange Limited:

As a listed company on the Australian Stock Exchange Limited (ASX), we are required to meet strict reporting and disclosure requirements.

Our shares have traded on the ASX since 1994.

Disclosure

We provide on-going disclosure and reporting required by various regulatory bodies. These reports are available on our Corporate website.