Financing communities: the role of community banks and credit unions in re-establishing branches in Australia

Following large-scale closure of bank branches by the major retail banks in the 1990s credit unions and community banks have been active in re-establishing branches in communities across Australia. Credit unions and community banks promote themselves as offering a very different kind of financial service: one much more focused on meeting the needs of local communities. On the face of it, their service to these communities appears to be motivated by very similar objectives. However, examining their current practices against the backdrop of their different histories reveals important differences in their approach to helping communities help themselves.