RACQ sells its retail banking book to Bendigo Bank and transfers 100,000 members
RACQ has ditched banking, selling its retail bank to Bendigo Bank, including its $2.7bn loans book as 100,000 members will be transferred. This is what customers need to know.
The RACQ will sell is retail lending and deposit business to Bendigo and Adelaide Bank as it simplifies its operations, giving members the opportunity to be part of a nationwide network of one of Australia’s fastest growing financial institutions.
Bendigo Bank will acquire RACQ Bank’s book of $2.7bn in loans and $2.5bn in deposits, subject to regulatory approvals.
RACQ managing director David Carter said the sale is the right outcome for about 100,000 of its banking members given the scale, technology and investment capabilities that Bendigo Bank has to deliver leading banking solutions and improved digital experiences.
He said ASX-listed Bendigo Bank was a trusted brand and an industry leader in providing innovative banking solutions including the unique Community Bank model and Australia’s first digital bank, Up.
“While RACQ Bank has achieved quality growth since its inception in 2016, for us to deliver the best banking experience for our members, significant ongoing investment is needed to meet the growing demand for digital banking, maintain a competitive position and meet regulatory requirements,” Mr Carter said.
“We concluded that it was in the interests of our members to find a better banking solution to meet their needs over the longer term.”
Mr Carter said on completion of the transaction, RACQ Bank members will access Bendigo Bank’s broad range of savings and transaction accounts, credit cards, home loans, and personal lending solutions.
“Bendigo Bank also has a large physical footprint with more than 70 branches across Queensland, a network of mobile lenders and virtual servicing capabilities, ensuring our members can continue to bank in a way that suits them,” he said.
All bank members are also guaranteed to keep their membership with RACQ for 12 months post completion.
On top of RACQ Bank customers, all of the organisation’s 1.7 million plus members will have the opportunity to take up Bendigo Bank’s products and services if they choose through a referral agreement.
RACQ Bank will continue trading under its existing brand until the transaction is complete.
The deal does not impact on any other RACQ services.
“In the meantime, it’s business as usual for RACQ Bank as we continue to focus on supporting our members. This includes opening new bank accounts and helping members with new lending,” Mr Carter said.
Bendigo Bank’s chief executive Richard Fennell said he expects RACQ Bank members will be welcomed into the fold from the second half of calendar 2026.
“RACQ Bank’s strong member focus complements Bendigo Bank’s longstanding purpose to feed into the prosperity of its customers and the community,” he said.
“We look forward to RACQ Bank members joining our bank and enjoying the same personalised service and quality products as our 2.9 million customers.”
RACQ President and Chair Leona Murphy said the sale together with the organisation’s strategic partnership with insurer IAG, enabled them to simplify its business operations and invest in its 2032 strategy.
“We’re undergoing a technology transformation, investing in a modern, secure, AI-enabled platform to deliver more personalised member experiences,” she said.
“At the same time, we’re exploring new products and services for our members, focused on scaling our solar and battery business, expanding our mobility and automotive services and growing our presence in travel.
“In addition, we’re scaling the work we do in our communities through a new dedicated fund to the value of at least $100m.”
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Originally published as RACQ sells its retail banking book to Bendigo Bank and transfers 100,000 members
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