Volt Bank was an Australian consumer
neobank
A neobank (also known as an online bank, internet-only bank, virtual bank or digital bank) is a type of direct bank that operates exclusively online without traditional physical branch networks. The term "challenger bank" is used in the UK to re ...
, the first such bank to be issued with a
restricted ADI licence by
APRA. In June 2022, the bank announced it would permanently close its deposit-taking business and voluntarily return its banking licence, citing funding issues.
Headquartered in Sydney, Australia, the bank was founded in 2017 and was granted a full licence to operate as an authorised deposit-taking institution (ADI) on 21 January 2019. Volt used BSB 517000.
Business
Volt’s banking platform is located in the cloud using the Temenos T24 core banking, Financial Crime Mitigation and Analytics, Salesforce and Microsoft Azure.
Volt Bank also has industry partnerships with PayPal, Cotton On and Collection House.
The bank publishes a mobile app, Volt Labs App, through which customers hold discussions and give feedback on the bank's products and services. The bank is planning to begin serving small businesses in 2020.
History
The banking regulator, APRA, created the restricted ADI (RADI) licensing framework to encourage new entrants and competition to the existing banking system.
Volt Bank was issued with a RADI licence on 7 May 2018, the first organisation to obtain one under the new licensing framework. In doing so, it became the first completely new institution to be licensed as retail bank in the Australian market since
Australian Bank
Australian Bank (ABL) was an Australian retail bank that operated between 1981 and 1989. It was established by Perth businessman Garrick Agnew (its first chairman) and Sydney-based Mark Johnson (its first CEO). Johnson was also a co-founder ...
in February 1981.
On 29 June 2022, in an email to its customer base, Volt announced their intention to cease their deposit-taking business and return their banking licence, the second neo bank to do so, following
Xinja
Xinja is an Australian fintech company and former bank. Xinja was granted a full banking license by the Australian Prudential Regulation Authority in 2019. Xinja Bank was the second Australian neobank to be made an authorised deposit-taking i ...
. Accounts held with Volt will be closed on 5 July 2022.
[https://voltbank.com.au/]
See also
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Banking in Australia
Banking in Australia is dominated by four major banks: Commonwealth Bank, Westpac, Australia & New Zealand Banking Group and National Australia Bank. There are several smaller banks with a presence throughout the country, and a large number of o ...
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List of banks in Australia
The following is the list of banks in Australia, as well as restricted ADIs, credit unions, friendly societies and subsidiaries and branches of foreign banks in Australia. Financial institutions in Australia are supervised by the Australian Pru ...
*
Digital banking
Digital banking is part of the broader context for the move to online banking, where banking services are delivered over the internet. The shift from traditional to digital banking has been gradual and remains ongoing, and is constituted by diffe ...
References
External links
Volt BankAPRAAPRA - Authorised Deposit-Taking Institution
{{Banking Industry in Australia
2017 establishments in Australia
Banks established in 2017
Neobanks
Defunct banks of Australia
Banks disestablished in 2022
2022 disestablishments in Australia