Consumers need to know who owns their bank

Tuesday’s announcement that Commonwealth Bank has increased its ownership of Aussie Home Loans to 80% further illustrates the need for the government to move on ensuring greater transparency when it comes to multi-brand strategies being pursued by the major banks, says bankmecu managing director, Damien Walsh.

“With the Commonwealth Bank set to take a majority stake in Aussie, now is the time to act in the interests of consumers. In fact, a survey of more than 1,000 Australians conducted by bankmecu earlier in the year showed 74% would support requiring banks which are wholly owned by other banks to disclose their ownership in their advertising.”

Walsh says the government set a precedent for helping consumers make informed decisions when it required financial institutions to publish comparison interest rates.

Source: Broker News