Teachers Mutual Bank is hoping to kill two birds with one stone, with the launch of its new digital-only brand Hiver.
Teachers will use Hiver to implement a new digital banking platform from its core banking supplier UltraData and iron out the bugs before switching existing customers over to the new platform.
And it is hoping that the positioning of Hiver will attract a younger cohort than currently banks with its existing brands: Teachers Mutual Bank; UniBank; Firefighters Mutual Bank; and Health Professional Bank.
Carolyn Murphy, chief digital banking officer at Teachers, said the new platform would be simpler and faster than the group’s current platform, with features like digital onboarding to streamline processes.
It will have some new products. The Hiver Saver Account will have a competitive savings rate as well as full transaction capability, removing the requirement to move funds between a savings account and a transaction account.
At launch on Thursday, the base rate on the account will be 50 basis points and the bonus savings rate 25 bps, which is earned if the customer makes at least one deposit a month and no more than one withdrawal.
Murphy says customers want a more “frictionless” banking experience and products like the Saver Account , which is not available through the other brands, will deliver that.
The transaction account will have a 1 per cent cash back reward for spending on basics, such as transport.
Teachers is also promoting Hiver as an ethical bank. It will conform to all the ESG standards in place with other Teachers brands, including accreditation with the Responsible Investment Association Australasia.
Teachers Mutual Ltd remains a bonded mutual bank, which means that membership of its banks is restricted to teachers, nurses, firefighters and other essential services workers.
Murphy said one of her aims was to bring a sense of community to Hiver. Customers will be asked to nominate organisations to be included in the bank’s community investment program.