Public Opposition To Bank Charges Urged

Press, Volume CIV, Issue 30710, 27 March 1965, Page 17

Public Opposition To Bank Charges Urged

The attempt by the trading banks to increase bank charges should be strongly opposed by all sections of the community, says a statement issued yesterday on behalf of the Christchurch Labour Representation Committee by its secretary (Mr N. G. Pickering). The statement says the proposed new charges will mean a steep increase in costs to the small businessman and to other small depositors. The larger businesses, says the statement, would in the main pass the increased charges on to the consumer. “Two Investigations” “The position as it stands now is very interesting, with the trading banks delaying the proposed action for a month after their chief spokesman had assured the public, when announcing the increased charges, that the fullest investigation had taken place, every aspect had been considered, etc., ‘and it was with the utmost reluctance thd banks had to increase their charges,” says the statement.

Now, after opposition from many sections of the community, the trading bank officials find that they can stay proceedings for one month so they can have another investigation. “If the original investigation was as complete as stated, a further investigation can only produce the same result. “Continuing, the statement says that the real reason behind the delay was that the trading banks’ proposals received such a hostile reception from the public, particularly with the sudden increase in depositors to the Post Office Savings Bank and the trustee savings banks. “Also, the unexpected pub-

lie demand for cheque facilities for trustee savings banks, which should be put in operation, came as a shock to the trading bank officials. “Sitting on fence”

“The National Government, as usual, is sitting on the fence over this issue, and the Labour Party in Christchurch is keen to know why the Government has not instructed the Bank of New Zealand to publicly denounce such a savage increase in charges as proposed. “After all, the first Labour Government made the Bank of New Zealand the people’s bank so the public are therefore entitled to expect this bank, through the Government, to act in the public’s interest and not join with the privately-owned banks in their present proposal to Shylock the public.

“The Christchurch Labour Representation Committee calls all fair-minded people to vigorously oppose the increases if proceeded with,” the statement says.