Australian Central Credit Union Limited, trading as People's Choice, is an Australian

credit union A credit union, a type of financial institution similar to a commercial bank, is a member-owned nonprofit organization, nonprofit financial cooperative. Credit unions generally provide services to members similar to retail banks, including depo ...

based in

Adelaide Adelaide ( ) is the capital city of South Australia, the state's largest city and the fifth-most populous city in Australia. "Adelaide" may refer to either Greater Adelaide (including the Adelaide Hills) or the Adelaide city centre. The dem ...

South Australia South Australia (commonly abbreviated as SA) is a state in the southern central part of Australia. It covers some of the most arid parts of the country. With a total land area of , it is the fourth-largest of Australia's states and territories ...

. It is one of Australia's largest credit unions, with branches located in South Australia,

Northern Territory The Northern Territory (commonly abbreviated as NT; formally the Northern Territory of Australia) is an states and territories of Australia, Australian territory in the central and central northern regions of Australia. The Northern Territory ...

and

Victoria Victoria most commonly refers to: * Victoria (Australia), a state of the Commonwealth of Australia * Victoria, British Columbia, provincial capital of British Columbia, Canada * Victoria (mythology), Roman goddess of Victory * Victoria, Seychelle ...

, offering loans, credit cards, transaction and

savings Wealth is the abundance of valuable financial assets or physical possessions which can be converted into a form that can be used for transactions. This includes the core meaning as held in the originating Old English word , which is from an I ...

accounts, mortgages and insurance.

History

People's Choice traces its origins to 1949 and since then has evolved through a number of mergers including with the Northern Territory Credit Union. In August 2009, Australian Central Credit Union and Savings & Loans announced plans for a merger which was completed in December 2009. Savings and Loans Credit Union commenced in 1949 as the South Australian Public Service Savings and Loans Society. By the time of the merger with Australian Central Credit Union, Savings and Loans had merged with a number of smaller credit unions. Including, SAGASCO Employees' CU, Warwick Co-Operative CU and the SAATB CU. In 1992 regulations under the Credit Union Act required that the words "credit union" were present in the official title, a number of options including Premier, capital and Horizon were discussed, at a Special General Meeting in 1994 the name Savings and Loans Credit Union (SA) Ltd was approved. In 2005 Savings and Loans merged with the NSW NRMA Employees' Credit Union, and in 2008 Austral Credit Union merged with Savings and Loans Credit Union. Members then voted to change the name of the new organisation to People's Choice Credit Union which was adopted on 18 July 2011. In November 2014, People's Choice Credit Union acquired TIO's banking division from the

Northern Territory Government The Government of the Northern Territory of Australia, also referred to as the Northern Territory Government, is the Australian territorial democratic administrative authority of the Northern Territory. The Government of Northern Territory wa ...

, transferring accounts and deposits of approximately 8,000 customers to People's Choice. In August 2021, People's Choice Credit Union entered into discussions with

Heritage Bank Heritage Bank Limited is Australia's second largest mutual bank. Its head office is located in Toowoomba, Queensland. The bank has over 62 branches and mini-branches in southern Queensland and New South Wales and sells home loans via a netw ...

about a potential merger, and in April 2022 both companies announced that they planned to merge. Members gave their approval on 16 November 2022. The new combined organisation will adopt the legal name of Heritage and People's Choice, and operate under the banking licence currently held by People's Choice. The merged organisation will remain member-owned and will continue to operate under the People’s Choice and Heritage brands for an interim period, before adopting a single new brand in 2024.

Structure and regulation

People's Choice is a credit union, a member-owned structure where its customers are also shareholders.

Funding

People's Choice completed a $650 million offering of residential mortgage-backed securities (RMBS) in 2019. The offering was launched at $500 million but was extended to $650 million after receiving $1.4 million in bids. Light Trust 2019-1 was priced at 102 basis points above the one-month Bank Bill Swap Rate.

Indexing data

People's Choice has developed an index of housing affordability and liveability to help people looking to buy a house. The People's Choice of Housing analyses suburbs to determine whether a financial institution is likely to lend to a couple on ordinary income and expenses interested in a median-priced home in that suburb (serviceability), the cost of buying that home (affordability). It also provides a series of factors summarizing whether people are likely to want to live in that suburb (liveability).

References

External links

* {{Banking in Australia Companies based in Adelaide Credit unions of Australia