Mutuality Overview

The term “Mutuality” describes the unique structure of credit unions, mutual building societies, mutual banks and some friendly societies. The basic principle being that its members, who are also its customers, own the organisation.

Membership of these organisations is non-transferable and has no “traded value” (as in share price). Each member has an equal and important vote in the direction and governance of the mutual, no matter how much business or dollar value they may have with the organisation. Members and their communities also share the benefits of ownership through better interest rates, fairer fees and premium service.

Australian mutuals are diverse; ranging in size from national organisations to smaller community or sector-based institutions. All offer a community-based and highly valued range of financial and banking services. And while aspects of mutuality may vary, Abacus' member organisations are united in their focus on benefits to their members.

Credit unions, mutual banks and mutual building societies are Authorised Deposit-taking Institutions (ADIs) under the Banking Act, Financial Services Licences, and comply with extensive Australian government regulation.

A different kind of banking. Credit unions, mutual building societies and mutual banks deliver genuine care and commitment to our communities and members. The core values of our mutual organisations are based on cooperation, moral integrity, trust, financial prudence and social responsibility.