Pledge campaign
What is an indicative pledge of support?
A. This is an indication of the level of support you would be prepared to give to a branch when it comes to raising share capital.
The pledge will also ask for an indication of whether you would be prepared to bank with your local branch.
Pledges of support are not binding.
The aim of this process is to determine the level of community buy-in. It is ideal to have as many people as possible from your community to indicate not only an interest in becoming a shareholder, but also in banking with a branch.
Feasibility campaign
How does the feasibility study work?
A. The local committee will appoint an independent consultant to undertake the study. Individuals, traders and business people will be asked to complete a survey form, calling for the level of banking business they would be prepared to bring across to a branch.
Is the study confidential?
A. Yes. Only the consultant has access to the banking information you provide to the survey. This information is not available to Bendigo Bank or the local committee.
What is the outcome of the survey?
A. From the aggregate data presented to the committee by the consultant, the committee will develop a business plan. It is from this business plan that a decision to proceed with a prospectus will be made, resulting in the establishment of your branch.
Prospectus campaign
Can I own shares in my Community Bank® branch?
A. If you decide to invest in establishing a branch, you will be able to purchase shares in a local company limited by shares formed to operate a Branch of Bendigo Bank.
How do I purchase my shares?
A. Before forming the company, your local steering committee will seek indicative pledges of financial support. By making such a pledge, you will be indicating your interest in becoming a shareholder of the local committee. Once the committee decides to open a branch, it will form a company which will issue a prospectus. Your application for shares will be made via the prospectus.
How many shares can I buy?
A. Shares will be issued at $1.00 per share. Typically, local companies seek to issue between 400,000 to 600,000 shares. This number is dependent on the individual community. Applications should be for a minimum of 500 shares, or a greater number in multiples of 100. No individual or company can hold more than 10 per cent of the total shares issued.
Banking with your Community Bank® branch
How safe is my money and my privacy?
A. Depositors are protected by Bendigo Bank, which meets the prudential requirements of the Australian Prudential Regulation Authority (APRA). Bendigo Bank makes all of the credit decisions and protects individual client privacy.
branch staff are bound by Bendigo’s confidentiality requirements. Directors of the local company have no access to account information and are provided only aggregate financial data on branch business volumes.
Why bring my banking to a Community Bank® branch?
A. To establish certainty of banking in your community. By banking with your branch, you are directly supporting your community. Banks make profits from the differences in interest rates between deposits and loans, called a ‘margin’. Whenever you save or borrow, the bank earns a margin, which of course usually goes straight to head office. However, with a branch, your community directly shares this margin income. Any profit the branch makes after deducting operating expenses can then be ploughed straight back into supporting local businesses and community needs.
Who controls the local side of the operation?
A. The local company. Bendigo Bank performs all of the ‘back room’ banking functions. The local company employs and pays branch staff. Although staff are not employees of Bendigo Bank, they do receive extensive training and support from Bendigo Bank.
Does a Community Bank® branch offer full banking services?
A. branch offers all services that you would expect from a bank.
- Personal savings and investments
- Business banking
- Commercial finance, leasing, financial planning
- Superannuation, Internet and phone banking.
Do you offer business banking?
A. Bendigo Bank offers a complete and flexible range of business banking products and services.
Will an ATM be installed?
A. Your community company will decide whether it can afford to invest in an ATM for the branch. Bendigo Bank will provide the company with the costs involved, then it will be up to the community company to decide if it is viable.
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