Industry Analysis & Industry Trends
Like the rest of Australia's Finance subdivision, credit unions have been hurt by the financial crisis and a slowing economy. However, their mutual status, prudent lending and heavy reliance on deposits for funding have shielded the industry to a large extent. Following two years of decline, industry revenue rebounded in 2010-11 due to higher interest rates. However, the exit of several industry participants and the expiry of the First Home Owner Boost dampened residential home loan growth and put further pressure on industry revenue. Credit unions were later bombarded with interest rate reductions, and 2012-13 was the industry's worst year in a decade. As a result of these conditions, industry revenue is forecast to decline at a compound annual rate of 6.0%... purchase to read more
Industry Report - Industry Locations Chapter
Credit unions have close to 782 branches throughout Australia. Some of the large credit unions are expanding their branch networks beyond traditional locations. For example, before the two entities merged to form People's Choice Credit Union, South Australia-based Savings & Loans expanded into Melbourne, while the Australian Central Credit Union expanded beyond its regional network into metropolitan Adelaide.
Credit unions have entered into agreements with councils to provide services in rural areas. The CreditCare program, a cooperative project between the Commonwealth Department of Primary Industries and Energy and Credit Union Services Corporation, is facilitating some of these agreements... purchase to read more