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ISCOVER
Staff Reporter
In a bid to increase its dominance in the banking space, ING DIRECT has announced it will distribute its term deposits through Australia Post outlets.
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The move is an industry first and, according to the bank, will help ING DIRECT to significantly expand its customer reach.
Data from CANSTAR CANNEX found that since January 2008, term deposits have been the fastest-growing segment of the household deposits market, doubling in size to $234 billion, well above the overall market growth.
ING DIRECT Term Deposits will be available through 3,287 Australia Post retail outlets which offer the Bank@Post service.
“Term Deposits are one of our most popular products but given the investment required, we found 67 per cent of customers were more comfortable to open an account in-person,” said ING DIRECT’s director of products John Arnott.
“Without a branch network, Australia Post was the natural partner, we already work with them across several other initiatives so it’s a logical extension of our brand for the convenience of the customer,” he said.
But while Mr Arnott said the bank was happy to distribute its term deposits through Australia Post, ING DIRECT has no plans to distribute mortgages through its new business partner.
