Background
On 29 June 2022, Volt Bank announced that it intends to return all funds to depositors and ultimately relinquish its licence to operate as an authorised deposit-taking institution (ADI).
The Australian Prudential Regulation Authority (APRA) noted it would closely monitor the process to ensure funds were returned to Volt Bank depositors in an orderly and timely manner.
APRA also noted that Volt Bank’s depositors remain protected by the Financial Claims Scheme (FCS). The FCS is a government-backed safety net for deposits of up to $250,000 per account holder.
Read the statements from Volt Bank and APRA.
Volt Bank return of deposits successfully completed
On 25 July 2022, APRA noted that Volt Bank had completed the process of returning deposits to its customers.
At the time of Volt’s announcement, 5730 customers held deposit accounts with Volt with a total value of $107 million. Following Volt’s announcement, most of the Volt deposits were transferred by customers to other banking institutions.
Volt has now completed the process by voluntarily transferring the remaining 441 accounts, with a total deposit value of $113,073, to the National Australia Bank (NAB).
APRA closely monitored the return of deposits process, and formally approved the transfer of deposits to NAB using its powers under the Financial Sector (Transfer and Restructure) Act 1999 and Banking Act 1959. Volt will hand back its ADI licence formally to APRA in the next few weeks.
You can find the statement from APRA here.
APRA revokes Volt’s ADI licence
On 1 September 2022, APRA announced it had revoked Volt Bank Limited’s (Volt) authorised deposit-taking institution (ADI) licence under the Banking Act 1959.
You can find the statement from APRA here.
Next steps
Volt customers whose deposits have been transferred to NAB can elect to leave their funds there or transfer them to another bank of their choice. Customers seeking more information about their deposits, or the transfer of deposits process, should contact NAB on 1300 144 661 or, if dialling internationally, +61 2 9692 3150.
Lodging a complaint
If you wish to lodge a complaint about the Return of Deposits process, you should direct your complaint in writing to Volt Bank.
Volt Bank can be contacted by email at customercare@voltbank.com.au.
