Big banks in 10-year Australia Post deal

Australia Post has entered new agreements with both the Commonwealth Bank of Australia and the National Australia Bank, which will offer banking services in post offices for the next decade.

The landmark agreements, announced on Wednesday, will enable CBA and NAB customers to bank at more than 3,500 local post offices via the Bank@Post service.

Australia Post said the service allowed for safe and reliable banking for all Australians and small businesses, in particular in regional areas.

It noted the agreements would support the long-term sustainability of thousands of licensed post offices and their owners.

“We know how important the local post office is for so many communities and small businesses – particularly in regional areas,” executive general manager (community and consumer) Nicole Sheffield said.

“The agreements will also allow us to invest further in our post office network, recognising the valuable role our people play in supporting communities across the country.

“Our post offices also play a critical role during natural disasters, emergencies and more recently through the COVID-19 pandemic with access to products and services through lockdowns and travel restrictions.”

CBA group executive (retail banking services) Angus Sullivan said many of the bank’s customers were wanting face-to-face services.

“(I’m) proud that this renewed partnership gives our customers more choice with how and where they bank with us over the next decade,” he said.

“We have a strong relationship with Australia Post and investing multi millions of dollars each year for a decade in the capability, technology and security of Bank@Post outlets builds on our priority to reimagine services and ensure our customers can continue to bank easily, safely and securely whenever they visit a participating Australia Post outlet.”

NAB group executive (personal banking) Rachel Slade said the agreements provided extra support for the bank's remote and rural customers.

Meanwhile, Westpac’s contract with Australia Post has be extended by a further 12 months.

Australia Post said it had begun negotiations with the bank about a possible longer agreement.

Shares in Westpac closed down 0.2 per cent to trade at $25.81, while CBA shares closed down 0.6 per cent to $99.87 and NAB shares closed up 0.4 per cent to $26.22.