At the end of the 2010/11 financial year, mecu can look back at another highly successful year, and together with our customers we can look to the future with great excitement.
A record profit allowed us to return $31 million to our customers in interest rate and fee benefits, while at the same time we have now accumulated over $287 million in reserves, which is owned by our customers. These reserves serve to ensure that mecu remains one of the strongest mutually owned financial institutions in Australia. Our success is due to the ongoing support of each and every one of our customers, and we thank you for your support.
Announcing bankmecu
We’ve also been planning for mecu’s future.
In November 2010, the Federal Treasurer, Wayne Swan announced a series of banking reforms, including the opportunity for the largest credit unions to apply to use the term ‘bank’ in their name. We’ve looked closely at this opportunity, and after researching the idea with our customers and others in the community, we made an application to the Australian Prudential Regulation Authority (APRA) to adopt the term ‘bank’.
We heard that people who haven’t grown up with credit unions often struggle to understand what they are and what it means to be a credit union member, so instead they choose to bank with a bank. mecu customers also understood that our long-term success relies on being able to attract new and younger people to bank with us.
APRA has now approved our application, and from 1 September we will start referring to ourselves as a customer owned bank. We will also adopt a new business name, ‘bankmecu’. Whilst this is a change in language, it is not a change to our cooperative ownership, culture, commitment to personal service or responsible approach to banking. We remain accountable to our customers, because you are also the owners of bankmecu.
Farewell Phylip Doughty
As we embark on a new chapter in our proud 50+ year history, we will also do so with a new leader. On 31 August, after more than 25 years as Chief Executive Officer, Phylip Doughty will pass the baton to Damien Walsh, our current Deputy Chief Executive Officer. On behalf of the Board, I’d like to recognise and thank Phylip for his leadership and dedication to building one of Australia’s strongest credit unions and forging this new path for mecu’s long-term future growth and success as a customer owned bank.
Peter Ford
Director