You will require this authorisation if you intend to carry on a banking business in Australia, such as operating as a bank, building society or credit union.
Carrying on a banking business consists of:
- Taking of deposits;
- Making advances of money; and
- Other financial activities.
To conduct a banking business, a body corporate must become an authorised deposit-taking institution, unless it is specifically exempted.
Please consult the Contact Officer for more information
A licence defines the need to obtain recognition / certification and registration to undertake a certain business activity.
To be eligible for this authorisation you must:
- Be a corporation operating in Australia. The Agency cannot consider applications from partnerships or unincorporated entities;
- Demonstrate that your corporation is a suitable applicant with the capacity and commitment to conduct banking business with integrity, prudence and competence on a continuing basis;
- Satisfy the Agency that your corporation has the adequate start-up capital;
- Satisfy the Agency in regard to the composition and functioning of your Board and that you have policies in place to ensure that persons who hold the key positions within the proposed banking business are fit and proper;
- Demonstrate that your proposed (or existing) risk management and internal control systems are adequate and appropriate for monitoring and limiting risk exposures;
- Demonstrate that your information and accounting systems are adequate for maintaining up-to-date records of all transactions and commitments; and
- Satisfy the Agency that your processes and systems are adequate in ensuring compliance with the Agency's prudential standards and other regulatory and legal requirements.
Please consult the Contact Officer for more information regarding eligibility requirements.
Application to Carry on Banking Business - Please consult the Contact Officer for information on forms to be submitted.
Australian Prudential Regulation Authority
Banking Act 1959 (Australian Government)
Banking Regulations 1966 (Australian Government)
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