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Back on the road

6 November Stakeholder Email Image

COVID-19 and the lockdown of domestic and international boarders has created pent up demand for tourism. With international destinations off limits for most travellers still, domestic tourism is set to boom during the end-of-year break.

It seems that many are turning to driving holidays, with a number of customer owned banking institutions recording an increased demand for car loans.

"The pandemic has meant we’ve seen more people relying on their cars than public transport to get from A to B,” says Lucinda Ross, Corporate Affairs Manager of RACQ. “We’ve recorded a 68 percent increase in new car loan applications since the start of the year when compared to the same period, January to August, last year.”

RACQ is not alone. The Mac Credit Union reported a 50 per cent increase of car loans for the period of June to September, while Queensland Country Bank reported an astonishing 291 per cent increase for June to August when compared to the same period last year.

“Members are taking advantage of the cheapest interest rates we have ever seen,” says Dave Cadden, CEO of the Mac, which is based in south-west Sydney.

While offering competitive rates, customer owned banking institutions have been focused on timely support to customers amid COVID-19.

“We are able to get our members on the road quickly and effortlessly relieving some pressure during these challenging times,” says Mr Cadden.

Andrew McArdle, Executive Manager Retail Banking at Queensland Country bank says the institution balanced a ‘business as usual’ approach early on in the pandemic while also launching an Emergency Relief Package’.

“We allocated additional resources to our Contact Centre and online services while maintaining our branch presence. What we experienced in response to this approach was revenue growth across the organisation, including a 100 per cent increase in lending volume with our award winning New Car Loan, proving that putting our members needs first is also good for the business.”

With over 100 years of history providing roadside assistance and motoring services to Queenslanders, RACQ has a holistic approach to all things road-related, from responsible lending to advocacy and educational programs promoting safety in the community.

"We're always proud to support our members in achieving their goals but it’s really important to us that we have conversations with our members and to check they will be able to maintain the ongoing costs of a loan,” says Ms Ross.

“We’d urge anyone considering a large purchase like a car to check the ongoing expenses of maintenance and loan repayments.”

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Media Contacts

Ashley Penny
Corporate Affairs Manager
P: +61 2 8035 8444
M: +61 431 932 950
Email Ashleycontact-arrow

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