K62 Finance

NAB backflips on outrageous credit card cash ban

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Original article by Charlotte Grieve
Brisbane Times – Page: Online : 1-Mar-22

It was recently revealed that the National Australia Bank was getting staff to encourage customers to use options other than cash payments in NAB branches when making credit card payments. It denied that the policy amounted to a ban on cash payments in branches, but internal training documents suggest otherwise. However, following an angry reaction from NAB customers and staff, the NAB has done a backflip on its credit card cash ban, which had been described as "outrageous" by the Finance Sector Union.

CORPORATES
NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, FINANCE SECTOR UNION

Mobile banking apps and the internet are more satisfying for customers than branch visits or phone banking

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Original article by Roy Morgan
Market Research Update – Page: Online : 1-Mar-22

The new Roy Morgan Satisfaction with Banking Channels Report shows the CBA recording the highest customer satisfaction levels for branch visits, internet banking and mobile banking – using an app on a mobile phone or tablet – among the big four banks. The report also showed mobile banking and internet banking as the service channels with the highest customer satisfaction. As of December 2021, CBA was the strongest performer of the big four with the highest customer satisfaction across three of the service channels including mobile banking (90.8%), internet banking (87.8%) and branch banking (83.5%). The CBA had customer satisfaction of 76.3% for phone banking. There was little to split its competitors, with ANZ coming in second overall with 89.2% (mobile), 86.6% (internet), 83.2% (branch) and 76.6% (phone). Westpac followed with 87.9% (mobile), 86.1% (internet), 82.1% (branch) and the highest of the big four for phone banking (79.4%). NAB rounded out the big four with 89.8% (mobile), 86.5% (internet), 81.5% (branch) and 77.3% (phone). This new data comes from Roy Morgan Single Source, Australia’s most comprehensive consumer survey, derived from in-depth interviews with over 60,000 Australians each year.

CORPORATES
ROY MORGAN LIMITED, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, WESTPAC BANKING CORPORATION – ASX WBC, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB

CBA unveils $2bn share buyback

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Original article by Joyce Moullakis
The Australian – Page: 13 & 24 : 10-Feb-22

The Commonwealth Bank of Australia has posted a 2021-22 interim cash profit of $4.75bn, which is 23 per cent higher than previously. The result was boosted by strong growth in mortgage and business loans and a decline in bad debts. However, the bank’s net interest margin fell by 17 basis points to 1.92 per cent. Shareholders will receive a fully franked interim dividend of $1.75 per share, while CBA will repurchase $2bn worth of its shares. CEO Matt Comyn has flagged the possibility of returning more capital to shareholders.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA

Economists give Lowe a pass for 2021, except for one thing

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Original article by Ronald Mizen
The Australian Financial Review – Page: 3 : 7-Jan-22

A survey of 23 economists regarding their views on the performance of the Reserve Bank in 2021 has seen RBA governor Philip Lowe score 72.5 per cent for his leadership. The RBA scored 76 per cent on management of monetary policy, while its communication of policy and intentions scored 66 per cent. The only area in which the economists felt that the RBA failed was in regards to its termination of its policy to suppress the yield on three-year Treasury bonds, which received only 41 per cent support.

CORPORATES
RESERVE BANK OF AUSTRALIA

New Covid variant could hit RBA’s plans to taper

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Original article by Ronald Mizen
The Australian Financial Review – Page: 8 : 22-Dec-21

The minutes of the Reserve Bank of Australia’s monthly board meeting for December show that the central bank remains upbeat about the outlook for the economy. The RBA does not expect the new Omicron variant of COVID-19 to "derail" the nation’s economic recovery. However, the variant may affect the RBA’s timetable for winding back quantitative easing.

CORPORATES
RESERVE BANK OF AUSTRALIA

ASIC warning: no crypto safety net

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Original article by John Kehoe, Michael Read
The Australian Financial Review – Page: S3 : 23-Nov-21

Australian Securities & Investments Commission chairman Joe Longo has urged retail investors to be cautious when it comes to putting money into cryptocurrencies, as he doubts that many understand what they are investing in. He admitted to the 2021 Super & Wealth summit that ASIC has very little power to intervene in cryptocurrency assets as many are probably not financial products. Fidelity portfolio manager Kate Howitt told the summit that assessing the value of crypto is difficult because it is an asset that does not have a cash flow stream.

CORPORATES
AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, FIDELITY INVESTMENTS AUSTRALIA LIMITED

Australia’s cash hoard grows 20pc to almost $100 billion

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Original article by James Eyers
The Australian Financial Review – Page: 17 & 20 : 17-Nov-21

Data from the Reserve Bank of Australia shows that $50 and $100 banknotes now comprise 73 per cent of banknotes in circulation, and 94 per cent by value. The RBA adds that demand for lower-value banknotes has been ‘subdued’ during the COVID-19 pandemic. The total value of Australian banknotes in circulation has risen to nearly $100bn since the start of the pandemic, and the RBA estimates that Australians are storing between $50bn and $75bn of this amount in cash rather than in financial institutions. The RBA concedes that low interest rates may be a key driver of this "hoarding". The trend may also reflect the strength of the black economy.

CORPORATES
RESERVE BANK OF AUSTRALIA

NAB & CBA lead business banking satisfaction but biggest increase over the last year is by ANZ

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Original article by Roy Morgan
Market Research Update – Page: Online : 10-Nov-21

New research from Roy Morgan shows that small business owner banking satisfaction for the four major banks was at 69.9% in the 12 months to September 2021, down 0.4% points from a year ago. Although virtually unchanged on a year ago, small business owner banking satisfaction for the four major banks is up 1.2% points from February 2020 (68.7%), prior to the onset of the COVID-19 pandemic. Satisfaction with National Australia Bank increased by 3.3% points from a year ago to 71.6%, and NAB now has the highest business owner banking satisfaction of the four major banks. Just behind NAB is the Commonwealth Bank, with a business owner banking satisfaction rating of 70.4%. However, the largest increase in satisfaction was achieved by the ANZ, up 5.1% points to 70.0%. Westpac is in fourth position with small business owner banking satisfaction of 66.9%. These are the latest findings from interviews with 2,443 small businesses owners in the 12 months to September 2021, as part of the Roy Morgan Business Owner Satisfaction Monitor regarding their level of satisfaction with the financial institution they deal with.

CORPORATES
ROA INTERNATIONAL, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, WESTPAC BANKING CORPORATION – ASX WBC

ACCC green-lights Afterpay megadeal

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Original article by James Eyers, Jonathan Shapiro
The Australian Financial Review – Page: 20 : 6-Nov-21

The Australian Competition & Consumer Commission has advised that it will not oppose the acquisition of ‘buy now, pay later’ provider Afterpay by US-based Square. The proposed $39bn deal will now be put to a virtual special meeting of Afterpay’s shareholders on 6 December, and chair Elana Rubin has urged them to support the transaction. The deal has also been approved by US antitrust regulators, and it is expected to be cleared by the Foreign Investment Review Board ahead of the shareholders’ meeting.

CORPORATES
AFTERPAY LIMITED – ASX APT, SQUARE INCORPORATED, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD

‘Disappointing’: Big four banks to skip financial crime inquiry

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Original article by Charlotte Grieve
The Sydney Morning Herald – Page: Online : 8-Nov-21

Labor Senator Deb O’Neill says it is "disappointing" that none of the big four banks have taken up an invitation to appear before a Senate inquiry into the effectiveness of Australia’s anti-money laundering regime. O’Neill was the instigator of the inquiry, which is looking at issues such as expanding the AML regime to cover professions such as lawyers and accountants, along with the effectiveness of the Australian Transaction Reports & Analysis Centre, which is the regulator of the AML regime. The big four banks – the Commonwealth Bank, Westpac, the ANZ and the National Australia Bank – will instead be represented at the inquiry by the Australian Banking Association.

CORPORATES
AUSTRALIAN LABOR PARTY, AUSTRALIA. ATTORNEY-GENERAL’S DEPT. AUSTRALIAN TRANSACTION REPORTS AND ANALYSIS CENTRE, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, NATIONAL AUSTRALIA BANK LIMITED – ASX NAB, WESTPAC BANKING CORPORATION – ASX WBC, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ