Company Archives

20 November 2007 - Media release: PSIS surpasses main banks.

PSIS outperformed all of the main banks for customer service, phone or branch banking and internet banking, in two independent surveys released in November.

In an independent national survey of over 12,000 people, PSIS was ranked first for phone or branch banking, for the second year running. Both PSIS and TSB each scored a 98 percent satisfaction rating. Respondents mentioned they like the friendly personal service provided.

PSIS topped the internet banking category, obtaining a 99 percent satisfaction rating for internet banking.

In the latest Nielsen Consumer Finance Monitor, 88 percent of PSIS customers rated our service as excellent or very good. Overall we ranked the second highest in the market for customer service, just behind TSB.

PSIS chief executive, Girol Karacaoglu, says PSIS was established to help people, and the results of these latest surveys are testament that this philosophy still lives on today.

"At PSIS we place a strong emphasis on developing personal relationships with our customers and their families. We're proud to put people before profits," says Dr Karacaoglu.

12 November 2007 - Media release: PSIS now offers a KiwiSaver scheme in conjunction with AXA

PSIS has teamed up with AXA*, a leading provider of superannuation and investment services, and one of the six default providers selected by the Government to deliver a simple and easy-to-manage KiwiSaver scheme.

PSIS product manager, Grant Pritchard, says choosing to partner with AXA was an easy choice.

"AXA can provide our customers with the expertise and global strength they deserve. They're part of the AXA Group, the 15th largest company in the world. They also have a wealth of expertise, with over 15 years experience of managing superannuation and savings schemes for the Government."

Saving for your retirement often takes a back seat, especially when you're trying to make ends meet for day-to-day living. But with KiwiSaver, saving for your retirement is now a lot easier.

You can choose to save as little as 4% of your total salary or wages before tax into a KiwiSaver scheme if you're working for an employer, or arrange to make direct payments into a KiwiSaver scheme if you're not.

AXA's KiwiSaver scheme is now available to PSIS customers.

To find out more about how KiwiSaver can help you prepare for a better future, or to join the AXA KiwiSaver scheme drop in and see us, call 0800 554 554, or visit www.psis.co.nz

* The AXA KiwiSaver scheme is managed and promoted by National Mutual Corporate Superannuation Services Limited trading as "AXA New Zealand", part of the Global AXA Group.

PSIS distributes the AXA KiwiSaver scheme to its customers and receives fees from AXA in respect of customers who become members of the scheme. These fees are payable by AXA. PSIS is not a promoter of the scheme. Investments in the scheme are not guaranteed. Further details can be found in the Investment Statement for the scheme.

17 September 2007 - Media release: PSIS Wanganui gets a new branch and a new look

PSIS opened the doors of its new upgraded and relocated Wanganui branch today.

The financial services co-operative is upgrading and expanding its network of branches throughout New Zealand, and strong growth at its Wanganui branch has made relocation a necessity.

Girol Karacaoglu, CEO of PSIS said today: "The new branch reflects the PSIS approach to customer service. Our style is personal, friendly and informal. We want our branches to be family-friendly and make our customers feel welcome."

PSIS announced last year that its primary focus is on families and family banking. It will continue to emphasise personal service but a renewed focus will be on satisfying the needs of families and ensuring all branches and products are user-friendly and offer the best family service possible.

PSIS does not do business banking - its sole driver is to look after its customers and this has consistently been reflected in the repeatedly high ratings it has achieved in independent customer satisfaction surveys. In the most recent survey, announced in December 2006, PSIS was one of the top-performing financial services institutions, with an approval rating of 98 percent.

PSIS Wanganui Branch manager, Paul Butler, said "We're thrilled that we've moved into bigger and brighter premises. The branch will now have a real presence in town."

The new branch is more customer-focused with dedicated areas for customers to come in and talk in private about their personal finances.

"PSIS's approach has always been about providing personal face-to-face service to customers. Our approach is particularly welcomed in the regional centres such as Wanganui, where most of our new customers come through referrals from our existing customer base," Mr Butler said.

PSIS Wanganui branch is now located at 148 Victoria Ave.

30 April 2007 - Media release: 2006/07 Branch Manager & Branch of the Year awards

PSIS was pleased to announce the Branch and the Branch Manager of the Year today.

Wanganui branch successfully obtained the title of 'Branch of the Year' for 2006/07, while the Branch Manager of the Year award went to Paul Savage from Dunedin.

PSIS chief executive, Girol Karacaoglu has been highly impressed with the outstanding performance displayed by the award winners over the last year.

Wanganui has had a very strong year, despite various challenges, including trying to fit into premises they had outgrown.

"Wanganui branch has had another great year, bringing a new definition to the words consistency and high performance. The team do a great job at building relationships with customers. Wanganui never cease to amaze with the strength of their presence in the community and with customers," says Dr Karacaoglu.

PSIS branch manager Paul Butler is very proud of his teams performance.

"The selection of Wanganui for the Branch of the Year is down to the hard work and commitment of the whole team to putting the customer first and providing personal service. They're thrilled and motivated by the recognition they've received from the rest of PSIS and are looking forward to celebrating the award," says Mr Butler

Gisborne branch was runner up and Onehunga were close behind in third place.

Selection for Branch Manager of the Year for was based on a wide-range of criteria including branch performance, staff leadership and performance, and customer relationship orientation. Mr Savage excelled on all of these.

"The commitment and performance from Mr Savage over the last year has been nothing less than outstanding. He has consistently achieved results through his leadership qualities and positive attitude towards his customers," says Dr Karacaoglu.

"This has filtered down to his branch staff, who gain from Mr Savage's leadership. This has ultimatly led to what matters most - happy customers," he says.

Mr Savage is one of the longest serving branch managers in the organisation, starting at the branch as branch manager in 1991.

"After 17 years at the Dunedin Branch, I have really come to understand my staff and our customers. This is really important as both our staff and customers are the essence of what PSIS as a co-operative stands for," says Mr Savage.

16 April 2007 - Media release: PSIS Rotorua gets a new branch and a new look

PSIS opened the doors of its new upgraded and relocated Rotorua branch today.

The financial services co-operative is upgrading and expanding its network of branches throughout New Zealand, and strong growth at its Rotorua branch has made relocation a necessity.

Branch manager, Jon Palmer, said "We're thrilled that we've moved into bigger and brighter premises located in a more convenient part of town for customers."

The new branch is more customer-focused with dedicated areas for customers to come in and talk in private about their personal finances.

"PSIS's approach has always been about providing personal face-to-face service to customers. Our approach is particularly welcomed in the regional centres such as Rotorua, where most of our new customers come through referrals from our existing customer base," Mr Palmer said.

PSIS Rotorua branch is now located at the corner of Eruera and Amohia Streets.

19 December 2006 - Media release: PSIS appoints two new Board Members

PSIS announced today the appointment of Joanna Perry and Sam Robinson to the PSIS Board.

Ms Joanna Perry joins PSIS after spending 17 years as a partner at KPMG, which she left earlier this year to pursue other business interests. In her time at KPMG she was audit engagement partner for some of New Zealand's leading companies, as well as KPMG's National Technical Partner and chairman of KPMG's Auckland/Wellington Management Board.

She is also a director of Kiwi Income Property Trust, chairs the Financial Reporting Standards Board and is a member of the Securities Commission.

"I'm really looking forward to working with the other Board Members and thinking about the very different and interesting challenges and dynamics of a co-operative financial institution," Ms Perry said today

Mr Robinson joins the Board having been the chair of Richmond until the successful takeover by PPCS. Prior to this he had seen Richmond through several acquisitions and mergers.

Currently he is a director of Port of Napier, Farmlands, AGMARDT (a Crown owned trust), Agriquality (Crown SOE), and Centralines, the Central Hawkes Bay power company.

He is also a successful farmer, running 10,000 stock units on 1030 hectares. His farming career has also had many highlights, including Hawke's Bay Farmer of the Year in 1986 and the AC Cameron Award for leadership and excellence in farming in 1995.

"There is a strong history of co-operatives in the agricultural sector in New Zealand, which has given me an understanding of the co-operative philosophy and I am really looking forward to working with a bank owned by its customers," Mr Robinson said.

Announcing the appointments today, David Gascoigne, chairman of the PSIS Board, said: "Both new directors bring to PSIS a wide range of skills and an engagement with the community and the business sector that will add enormous value to the board's deliberations. We have a continuing commitment to deliver a low-risk, sustainable business for our member shareholders that will allow us to keep providing excellent value products and services."

16 October 2006 - Media release: PSIS launches family banking

Today PSIS, the financial services cooperative, is officially claiming the territory that rightly belongs to it: family banking.

Over the past 18 months PSIS has been talking to customers, non-customers, and staff from right across the country, exploring how best to articulate the PSIS philosophy and how it could best connect with New Zealanders today.

PSIS chief executive Girol Karacaoglu said today: "What everyone told us was that we need to help people, that we exist to provide practical ways for families to prosper, and that we need to actively target families.

"In many ways it was a very simple answer but its clarity and simplicity is what makes it perfect. It is exactly what we intend to do - to target and help families to prosper."

PSIS is not launching a nationwide television advertising campaign - it will be a very localised campaign in the local branch communities and will manifest itself in what the organisation does, how it behaves and what it offers families.

"Rather than just being another marketing campaign, it has a true resonance with our philosophy and approach and we, among all our competitors, can truly lay claim to this section of our community," Mr Karacaoglu said.

Looking after its customers' interests is the sole driver of PSIS and this has consistently been reflected in the repeatedly high ratings it has achieved in independent customer satisfaction surveys. In a survey announced as recently as last week PSIS was at the top with an approval rating of 98 per cent.

Going forward PSIS will continue to emphasise personal service but a renewed focus will be on satisfying the needs of families.

"Family banking is about helping families at various stages of development, recognising that their needs change as they move through life. It's also about recognising the special qualities of a family - how it looks after its members, it forgives small indiscretions, and it sticks together through all events life throws at it. By joining or staying with PSIS, our customers become or remain members of the PSIS family," Mr Karacaoglu said.

PSIS has already begun reviewing all its branches and products to ensure that they are all user-friendly and offer the best family service possible. Branches will be more involved at a community level - where families relate with their neighbourhood.

Already PSIS offers lower transaction fee exemptions than current banks, and the best children's accounts.

"The struggle to find relevance for a cooperative in 2006 is over. We have a single focus that no other bank can credibly have," Mr Karacaoglu concluded.

04 September 2006 - PSIS Library Week colouring competition - a chance to win $100!

Please note: This competition has now closed.

PSIS are proud supporters of Library Week 2006 which is organised by LIANZA, the Library and Information Association of New Zealand Aotearoa. Each year during Library Week, there is a mass book reading of a favourite children's book. This year the book "Down the Back of the Chair" by Margaret Mahy will be read on 20 September at libraries and participating schools around the country.

To help celebrate Library Week, PSIS is offering children the chance to win $100 in a PSIS Dollars and Sense Account, just by using their imagination and drawing a picture of the crazy things they find down the back of their chair at home. It could be their cat, a skateboard or even a dinosaur!

To enter, simply click here (PDF 67KB) to download the Colouring Competition entry form, attach it to your child's drawing, then sign and return it to any PSIS branch.

Hurry! Entries close 31 October 2006.

For competition terms and conditions see the entry form or contact any PSIS branch.

01 August 2006 - Media release: PSIS sponsors Library Week 2006

PSIS is the proud sponsor of this year's National Library Week, which runs from 18-24 September. Read the media release (PDF 87KB) to find out more.

25 July 2006 - Media release: PSIS launches Two Factor Authentication for Internet Banking

Internet banking fraud is a reality and PSIS is one of the first personal banking organisations to use a system that enables them to make doubly sure that a customer is who they say they are over the Internet.

The financial services organisation has introduced a new two-factor authentication system, called SafeKey, that provides an extra layer of protection. The customer's identity will be verified in two ways - something they know (password) and something they have (a SafeKey token).

From today a SafeKey token, a small device you can put on a key ring that has an LCD display with a changing series of codes, will be available to all PSIS customers who use Internet Banking.

PSIS chief executive, Girol Karacaoglu, said today: "The SafeKey code is input, along with the customer's username and password, whenever they login to Internet Banking. The one-time codes are synchronised with our computer systems, so we know the code belongs to the customer."

"The new service is optional but we hope all our Internet Banking users will take advantage of this extra security measure," Dr Karacaoglu said.

A similar token is already offered in New Zealand by ASB and BankDirect, however, PSIS is making the service available to all Internet Banking users, there is no charge for the initial token and PSIS is not charging a monthly fee.

The Hon David Cunliffe, Minister for Information Technology, officially launched the service today at a function at PSIS House. Other guests included the National Manager of the New Zealand Police's Electronic Crime laboratory, Consumers' Institute and enthusiastic users of PSIS's Internet Banking service. A PSIS customer and Victoria University student, Lisa Lankshear, was the first person to use the SafeKey at the launch function.

The Minister said: "The introduction of strengthened security for Internet customers through authentication was a very important and necessary step. Internet Banking is increasingly becoming a preferred way for New Zealanders to manage their financial affairs."

The Minister congratulated PSIS on yet again being an early adopter of new technologies.

Dr Karacaoglu said: "We have introduced SafeKey as part of our commitment to making banking as convenient and secure as possible for our customers. In our 77-year history we have always been progressive and at the forefront of technological developments to offer new and improved services. PSIS was founded to safeguard the living standards of the public service by providing low-cost financial services at a time when there was a reluctance on the part of main-stream banks to lend on favourable terms. It also made loans to women a long time before other financial organisations."

"Not only has PSIS been socially progressive it was also one of the first to provide Telephone Banking, first to provide retail shopping over the phone, first to provide TXT Banking, and is still the only banking services provider to offer Electronic Transfer Withdrawal (ETW) providing cleared funds to an external bank account on the next business day."

Dr Karacaoglu predicts PSIS's SafeKey system will find immediate acceptance with the 60% of PSIS customers who are 45 years and younger.

PSIS may be small in relation to the big banks, but it is because of our size that we can act quickly to take on new ideas that improve banking services for our customers," Dr Karacaoglu said.

21 June 2006 - Media release: PSIS Reaches $1 Billion Milestone

PSIS is in very good shape. It is continuing to grow, as is evident in the 2005/06 results, and it is continuing to work diligently to meet the needs and expectations of its customers now and in the future.

Announcing the end of year results, PSIS chief executive Girol Karacaoglu said he credited customer satisfaction for its higher than expected $10.6m pre-tax profit.

"We have extended and refreshed our branch network and now have 32 branches open nationwide, and we are continuing to develop and revitalise our financial products and services," Dr Karacaoglu said.

"The success of these efforts has been reflected not only in our repeatedly high ratings in independent customer satisfaction surveys, but also in the increases in our total deposit and loan accounts, up 14.5% and 19.3% respectively. These both well exceed growth in the market for household lending and retail deposits.

Further evidence that we are getting it right are the recently-awarded Cannex Five Star ratings for four of our deposit accounts and the national acclaim our children's savings accounts have received.

We are growing but we are growing within our guiding principles, which recognise that we are proudly New Zealand owned, and that being a co-operative means we are owned by our customers and we exist for their benefit.

The confidence our customers have shown in us is underlined by the fact that as recently as May 2006 we achieved a milestone and reached $1 billion in total assets.

The growth in operating profit for 2005 is particularly pleasing when we had predicted a dip in profit as a result of significant costs involved in positioning PSIS for the future. Management and staff have put considerable work in not only improving our products and services, and the branch network, but also into our risk management.

PSIS's capital adequacy on a risk-adjusted basis (using the Reserve Bank formula) is 18%, more than double the 8% minimum required for registered banks, and we have reserves of $90m. The board has a conservative lending policy, which is reflected in impaired loans expense as a proportion of loan advances being only approximately a third of the average for savings institutions (source KPMG survey Financial Institution 2006). Another significant aspect of PSIS's risk containment is that we are only in the personal banking business and do not offer business banking.

Our planning and our actions are always guided by our cooperative values and PSIS is in an enviable position among financial institutions of being able to return profits to its shareholding customers through better service and better pricing of products, including our fees.

Another highlight of the year was the invitation to be part of the Government's Non-bank Financial Services Review as an adviser. This enabled us to provide encouragement and input into setting industry standards for reserves and capital adequacy like the ones PSIS already has in place.

In the year that has just ended we made a number of decisions that will place us in an even stronger position to build on our performance and develop future growth for the benefit of our customers." Dr Karacaoglu said.

Key end-of-year results for 31 March 2006 were:

Capital adequacy (using Reserve Bank formula) 18%, well above the 8% minimum required for registered banks.
Total assets up 14.7% to $987m
Deposits up 14.5% to $829.4m
Loans up 19.3% to $827.1m
Pre-tax operating profit up 3% to $10.6m

16 November 2005 - Dollars and Sense Colouring Competition - ends 16 December

Please note: This competition has now closed.

Colour and win $100!

Right now your child could win $100 to help them reach their savings goal with our Dollars and Sense Colouring Competition. Simply download the Colouring Competition entry form, pass it onto your child to colour, then sign and return it to any PSIS branch.

1 July 2005 - Media release: PSIS's new Constitution put into practice

PSIS has held its first elections under a new revised Constitution. Chair of PSIS, David Gascoigne, said today: "The previous system harked back to PSIS's foundations as a financial services provider for public servants, and was considered no longer appropriate now that all New Zealanders can become a customer with PSIS."

PSIS's 127,000 customers, who each hold one non-transferable share in the co-operative company, own the financial services provider.

"Under the new system, all our customers have the opportunity to nominate a candidate, and therefore provide a wider pool of talent for the Board. What was particularly encouraging from this first election was the quality of the candidates presented to shareholders and the number of customers who took the time and effort to cast a vote.

"The new constitution has been embraced by our customers and provides for a more transparent and democratic process," Mr Gascoigne said.

Previously the board appointed half of the Directors, and the other half were nominated for a shareholder vote by a number of service organisations such as the New Zealand Nurses Association.

Shareholders voted serving Directors Rob Crozier and Tina Symmans back on to the Board at the Annual Meeting held in Wellington on 29 June.

Rob Crozier has been a PSIS Director since 1988, and a customer since 1975. An experienced director, he comes from an academic background and is the former General Secretary of the Association of University staff.

Tina Symmans has an extensive background in marketing, communications and strategic planning, and has previously led Contact Energy's human resources, legal and communications teams as Director Corporate Services. She has been a PSIS Director since 1997.

2 June 2005 - Media release: Happy customers make the difference to PSIS annual result

PSIS credits customer satisfaction for its higher than expected $8.6m after tax profit.

PSIS Chief Executive, Girol Karacaoglu said: "PSIS is a unique organisation among New Zealand's financial institutions because of its co-operative values and its single-minded focus on customer service - which comes from those customers being the shareholders.

"PSIS is proof that you can be a highly successful and profitable organisation by doing the right thing by your customers," Dr Karacaoglu said.

"Over the past 12 months we have been focusing intensely on positioning PSIS for the future through improving our products, service and distribution channels. For that reason we anticipated our profits might dip this year, however we once again experienced sustained growth.

"PSIS did well in 2004, thanks to its loyal customers and the impact of a market that is increasingly favouring organisations that value people and not just profits. The power of good customer service is that two-thirds of all new customers in the last 12 months have come to PSIS through referrals from our existing customers," Dr Karacaoglu said.

The level of service achieved by PSIS is demonstrated in the results of an independent banking survey which in 2004, for the third year in a row, rated PSIS top in customer service. The survey found that 100% of PSIS customers rated the financial services organisation's performance as good or very good.

Other highlights of the year included the continued expansion of the branch network, bringing the total branches nationwide to 31, the introduction of TXT Banking and the launch of the book, "Over half a million careful owners - A 75-Year History of PSIS, 1928 - 2003".

Key end-of-year results for 31 March 2005 were:

Net profit after tax: $8.6m (last year $7.6m)
Total assets: $860.0m, up 13.3%
Deposits: $724.6m, up 11.0%
Loans: $693.2m, up 18.0%
Total reserves: $79.0m, up 12.3% (the equivalent of shareholder funds)
Capital adequacy on a risk adjusted basis (using the Reserve Bank formula): 18%, well above the 8% minimum required for registered banks.

25 March 2005 - Media release: PSIS offers at call interest rate of 6.75% p.a.

Financial services co-operative PSIS has released details of the new top interest tiers on its full access, everyday at call account.

PSIS's Smile on Call account makes a strong statement to the market, paying a top interest rate of 6.75% p.a. on balances over $100,000.

Unlike some other call accounts available in New Zealand, Smile on Call offers high interest and full access through ATMs, eftpos, cheque, internet, telephone, text and branch banking.

PSIS Chief Executive Dr Girol Karacaoglu says that the mini makeover is in response to customers who are looking for an everyday account that offers full access while still paying excellent interest.

"Not everyone wants to be tied into a term to get a competitive interest rate," he says. "Smile on Call is a modern cheque account suited to the way many people choose to manage their finances."

PSIS has seen many changes to the way people bank since it first started in 1928. Last year, PSIS was the first to offer the ability to check balances and transfer funds between accounts using text messaging.

"PSIS may be small in relation to the big banks, but it is because of our size that we can act quickly to improve banking services for our customers," Dr Karacaoglu says.

The new interest tiers and rates come into effect on 26 March 2005.

More details about Smile on Call:

There is no monthly account fee.

Interest is calculated daily and paid monthly. Interest rates are subject to change. The tiers and interest rates (new tiers shown in red) are:

$5,000 - $14,999	4.25%pa
$15,000 - $49,999	5.25%pa
$50,000 - $99,999	6.50%pa
$100,000+	6.75%pa

Account holders who maintain a minimum monthly balance of $5,000 in their Smile on Call account are exempt transaction fees on all their PSIS accounts.

10 March 2005 - Media release: 'Over half a million careful owners': A 75 Year History of PSIS

A book to chart the 75 year history of PSIS was released today at a ceremony attended by many of those who have contributed to its success over that time.

PSIS Chairman, David Gascoigne, who has been a board member since 1982, said at the launch: "PSIS is one of the longest serving financial organisations in New Zealand, and it is one of the few that has remained New Zealand-owned."

PSIS was established in 1928 as a co-operative organisation, to help New Zealanders working in the public service access low-cost financial services.

It was an initiative of the PSA to improve the living standards of public service employees during difficult times, including poor salaries compared with private sector levels and a reluctance on the part of mainstream lenders to provide finance at affordable interest rates. Today, any New Zealander can be a customer of PSIS.

The book reveals PSIS as a progressive organisation that has been much more willing to help than most financial services organisations. Not only did PSIS lend money to public servants when others were reluctant to do so, it also made loans to women long before other financial organisations.

Gordon Boyce, the author of the book, said at the launch: "In the latter part of the 20th century, co-operatives have not fitted easily into a business environment driven by an emphasis upon market forces and profits. However, there is a sea change in this early part of the 21st century in the way in which consumers are wanting to relate to the businesses that provide them with goods and services."

"Increasingly, consumers want to deal with companies that they can trust to put the customer's interests before profits. It is in this environment that we are seeing a renewed interest in co-operatives and why this history of the first 75 years of PSIS is so timely," Mr. Boyce said.

The launch of the book follows a recent announcement that for the third year in a row, an independent survey found PSIS customers are more satisfied with the service they receive than customers of any other bank.

"What this tells us is that PSIS is as relevant now as the day it started. Its success is due to the founding principles, and in the commitment to those principles by the men and women who have supported and managed PSIS since it started," Mr Gascoigne said.

"The book, Over half a million careful owners, shows how PSIS has not only survived, it has thrived. Of course, over the years it has had its share of troubles. And, at their worst, they were serious. But throughout these, it has stayed true to its values and the principle that as a co-operative, PSIS exists for the benefit of its customers, who are the shareholders in the company," Mr Gascoigne said.

"PSIS today goes forward with a strong balance sheet and strong sense of business purpose, and with an underlying resolve to adhere to the values that have stood it in such good stead for its first 75 years," Mr. Gascoigne concluded.

The book is available for purchase through PSIS branches, or by emailing headoffice@psis.co.nz.

7 March 2005 - Media release: PSIS two-factor authentication plans well advanced

Financial services co-operative PSIS confirmed today it is actively working on two-factor authentication for its Internet Banking site.

While the security systems banks have around the online banking sites are extremely robust, PSIS Chief Executive Dr Karacaoglu explains, an area of increasing vulnerability is around criminals capturing passwords and login details to gain access to an individual's accounts.

PSIS welcomes the recent coverage of this issue, as it is important for consumers to be aware of how their behaviour may increase the risk of online fraud.

PSIS found during recent research that customers were not really aware of the risks, despite the information provided by PSIS and many other sources, and were reluctant to take up enhanced security measures. He suggests that improving security requires a team effort on behalf of banks and their consumers.

Customers can minimise the risks by having up-to-date security software installed on home computers, keeping browser and operating system software up to date, not using Internet cafes for online banking and never downloading files or attachments that they are not completely sure about.

However, he also acknowledges that there are clever criminals constantly looking for ways around security measures. "That is why PSIS has decided to introduce a two-factor authentication system," he says. "We are well advanced in our plans."

"You'll type in a unique number from a digital token as well as your password each time you login to Internet Banking," Dr Karacaoglu explains.

"The number from the token will provide a second level of confirmation that the right person is logging on," he says. "Even if someone steals your login details, they can't use them to access your information or money without the token."

Last year, PSIS introduced enhancements to Internet Banking that allow customers to disable the setting up of payments to an external bank account, as a way of minimising this risk. Additionally, customers can specify a daily limit on the amount that can be paid out online to external bank accounts.

PSIS has also prepared a new guide on Internet Banking Security, which provides simple advice on what the risks are and how customers can keep themselves safe. It will post a copy of the guide to all its Internet Banking customers this month.

1 December 2004 - Media release: PSIS Upper Hutt doubles street presence

A steady increase in customers has made it necessary for financial services co-operative PSIS to expand their Upper Hutt branch on Main Street.

"We've been bursting at the seams for some time" said branch manager Brent Palmer. "When the Holiday Shop moved out next door, we jumped at the chance to expand and offer a better banking experience for our customers."

The branch is also one of the first to have been given a makeover with PSIS's new look. The new décor and layout of the branch is designed to reflect PSIS's personality, Mr Palmer says.

"Our style is personal, friendly and informal. It's fresh and modern, but you won't see the latest trends or the flashiest colours. We want our branches to make our customers feel welcome," he says.

PSIS has been in Upper Hutt since the 1970s, but the organisation itself has been around for 75 years. Originally set up to provide low cost finance to public servants, today PSIS offers full personal banking services to all New Zealanders.

There are branches nationwide, and full access through internet and telephone banking and the ATM/EFTPOS network. PSIS also launched a market leading TXT Banking service in September.

"Our 75 years of service not only makes us one of the longest serving Kiwi financial organisations, we are also one of the few that has remained New Zealand-owned" Mr Palmer says.

"We want more people to know about us and what we offer. One philosophy that has never changed is that we put people before profits. Our staff know they are here to help people through life, not to simply meet targets."

"We hope members of the Upper Hutt community will take the opportunity to meet the team and me in our superb new look branch."

The PSIS Upper Hutt branch is located at 151 Main Street.

15 November 2004 - Media release: PSIS Expands Branch Network

The opening of the new PSIS Papanui branch in Christchurch brings the financial services co-operative's community branch network to a total of 31.

To celebrate the opening of the new branch, PSIS decided to give a gift to its new community. Papanui Branch Manager, Faye Foster said: "Keeping children fit and healthy is important so we have decided to donate sports equipment to four of our local schools as a nice way to mark the occasion."

Today Faye and her team delivered more than $1100 worth of sports equipment to Cotswold Primary, Bishopdale Primary, Isleworth School and Harewood Primary.

Stirling Sports was able to help the branch donation go further by offering the schools a significant discount.

In welcoming the new branch, PSIS chief executive Dr Girol Karacaoglu said PSIS has undergone many changes since it was established as a co-operative organisation to help New Zealanders by providing high quality, low cost financial service. "One philosophy that has never changed is that we put people before profits. Our staff know they are there to help, not to sell.

"Our 75 years of service not only makes us one of the longest serving Kiwi financial organisations, we are also one of the few that has remained New Zealand-owned," Dr Karacaoglu said.

Today PSIS offers full banking services to all New Zealanders, with access through Internet, telephone, ATMs, EFTPOS and text banking as well as branches nationwide. Today's addition to the network follows the October opening of another new branch in Botany Downs, Auckland.

"PSIS has entered an exciting phase of growth and development. We're opening new branches and have added the TXT Banking service. We are continuing to find new ways to make banking as accessible and convenient as possible for ordinary New Zealanders. PSIS has always been both socially progressive and at the forefront of technological advances," Dr Karacaoglu said.

"Giving something to the community by way of celebrating our opening is in keeping with the PSIS philosophy of putting people before profits, Dr Karacaoglu said."

2 November 2004 - Media release: And the winner is...PSIS TXT Banking

PSIS TXT Banking has won the Mobile Internet category in the 2004 TUANZ (e)vision Awards.

The awards recognise excellence in New Zealand's interactive and media design industry. In announcing Run The Red, the company that developed the banking platform, as the winner, the judge said TXT Banking was a "beacon service" for the entire industry.

Dr Girol Karacaoglu, CEO of PSIS said: "We introduced text message banking in September this year, as part of our commitment to making personal banking as convenient and accessible as possible to New Zealanders. In our 75 years of banking we have always been progressive and been at the forefront of technological developments."

PSIS was one of the first to provide Telephone Banking and is still the only banking services provider to offer Electronic Transfer Withdrawal (ETW) providing cleared funds to an external bank account on the next business day.

"TXT Banking has found immediate acceptance with our technologically savvy customers and pick up has exceeded our expectations, this has particularly been the case with our rural customers," Dr Karacaoglu said.

What it means for those who have registered is that if an EFTPOS transaction is declined in a shopping situation, customers can quickly check all their account balances, or instantly transfer money into their current account, avoiding considerable embarrassment and inconvenience.

Customers with loans and Term Deposits can use TXT Banking to view their balances, current interest rates and maturity dates.

PSIS has developed a service which can be used by all customers with text-capable mobile phones - it is not limited to one network.

"PSIS may be small in relation to the big banks, but it is because of our size that we can act quickly to take on new ideas that improve banking services for our customers," Dr Karacaoglu said.

14 October 2004 - Media release: PSIS comes to Botany Downs

The opening of the PSIS Botany Downs branch this week brings the financial services co-operative's community network to a total of 30 branches.

In its 75 year history PSIS has been committed to a face-to-face, personal service for its customers.

In welcoming the new branch, PSIS chief executive Dr Girol Karacaoglu says PSIS has undergone many changes since it was established as a co-operative organisation to help New Zealanders by providing high quality, low cost financial services. "One philosophy that has never changed is that we put people before profits. Our staff know they are there to help, not to sell."

"Our 75 years of service not only makes us one of the longest serving Kiwi financial organisations, we are also one of the few that has remained New Zealand-owned," Dr Karacaoglu said.

Today PSIS offers full banking services to all New Zealanders, with access through internet, telephone, and text banking as well as branches nationwide.

"PSIS has entered an exciting phase of growth and development opening new branches, and launching its new TXT Banking service. We are continuing to find new ways to make banking as accessible and convenient as possible for ordinary New Zealanders. PSIS has always been both socially progressive and at the forefront of technological advances," Dr Karacaoglu said.

8 September 2004 - Media release: PSIS launches TXT Banking and celebrates 75 years

Financial services co-operative PSIS is launching a new service for people who like to be in control of their finances.

Anyone who has had an embarrassing "transaction declined" experience at the front of a queue of impatient shoppers will recognise the value of the service to be offered to PSIS customers.

PSIS celebrated the introduction of the new service at a special morning tea in Wellington today to mark the financial services provider's 75th anniversary. Among the guests were some of PSIS's longest standing customers - Mrs Joy Ross, whose husband opened their account in 1928; and Mr Ernie Sellens, who has had a current account since 1935.

"We have introduced text message banking as part of our commitment to making banking as convenient as possible," says PSIS chief executive Girol Karacaoglu. "In our 75 years of banking we have always been progressive and been at the forefront of technological developments to offer new and improved services. PSIS was founded to safeguard the living standards of the public service by providing low-cost financial services at a time when there was a reluctance on the part of main-stream banks to lend on favourable terms. It also made loans to women a long time before other financial organisations."

"Not only has PSIS been socially progressive it was also one of the first to provide Telephone Banking, first to provide retail shopping over the phone, and still the only banking services provider to offer Electronic Transfer Withdrawal (ETW) providing cleared funds to an external bank account on the next business day."

Dr Karacaoglu predicts PSIS's TXT Banking will find immediate acceptance with its technologically savvy, urban-based customers and he believes it will attract new customers keen to take advantage of the benefits provided by TXT Banking.

If an EFTPOS transaction is declined in a shopping situation, customers using TXT Banking can quickly check all their account balances, or instantly transfer money into their current account, avoiding considerable embarrassment and inconvenience.

Customers with loans and Term Deposits can use TXT Banking to view their balances, current interest rates and maturity dates.

PSIS has developed a service which can be used by all customers with text-capable mobile phones - it is not limited to one network.

"PSIS may be small in relation to the big banks, but it is because of our size that we can act quickly to take on new ideas that improve banking services for our customers," Dr Karacaoglu says. "Our customers have quickly adapted to our Internet Banking and Telephone Banking facilities, we're sure the market is now ready for this additional service."

23 August 2004 - Internet Banking customer update - Changes to Bill Payments

Technology developments like the Internet have changed the way we manage our lives, but have also offered new opportunities for fraudsters. PSIS has introduced two new features to Internet Banking, to limit the risks associated with using the online service.

Because online services like Internet Banking have extremely robust security, most recent scams have been focussed on obtaining customers' login details, which can be done in a number of ways. The main area of risk is associated with a fraudster accessing a customer's Internet Banking and making a Bill Payment to an external bank account. PSIS has not been a target for any scams, however we want to be proactive in this area to minimise any risks. Information on recent scams used to obtain login details can be found on http://www.antiphishing.org.

At PSIS we know that many of our customers enjoy the flexibility and convenience of Internet Banking, so we've made some improvements to the way the Bill Payments function works.

We're introducing a daily Bill Payments threshold. From 23 August 2004, Internet Banking users will have a default $10,000 limit on the amount that can be transferred out of their accounts each day using the Bill Payments function. Customers can nominate a lower daily threshold to further minimise the risk - for example, if all you ever pay is household bills, you may feel more comfortable with a lower daily limit of a few hundred dollars.

The establish bill payees function can be disabled. Currently you can Establish Bill Payees online using Internet Banking, either by selecting a pre-registered payee (such as utility companies, insurance providers and credit cards) or by entering a known external bank account number. You can choose to turn off the Establish Bill Payee function from your Internet Banking profile altogether, so that if anyone fraudulently obtained your login details, they could not establish an external account to transfer money out to. If you choose this option it will also disable your ability to transfer funds to another PSIS customer's account (this too has been identified as a possible area of fraud). Disabling the Establish Bill Payee function is a sensible option to consider if you have any doubts about the security of the computers you use to access Internet Banking.

Bill payees can still be established by your branch. To turn the Establish Bill Payee function back on after it has been disabled, you will need to advise your branch in writing.

Important information for users of Bill Payments

If you are a registered Internet Banking user, your daily default limit for making Bill Payments will be set to $10,000 from August 23rd 2004. This includes transfers to other PSIS customer accounts. You will still be able to transfer funds in excess of $10,000 using PSIS' Telephone Banking facility.
If you have established, amended or deleted a bill payee online using Internet Banking in the past 12 months, you will continue to be able to do so.
If you have not established a bill payee online using Internet Banking in the past 12 months, this function will be automatically disabled on August 23rd 2004. If you want to re-establish this function, please advise your branch in writing.

If you regularly make payments totalling more than $10,000 per day, talk to your branch about alternative methods of payment. Your branch can arrange a External Transfer Withdrawal (ETW) which is an electronic payment to an external bank account.

To disable the Establish Bill Payee function at any time or specify a lower daily bill payment threshold, simply call, visit or email your branch.

If these changes to the Bill Payments function cause any inconvenience, we apologise. We feel this is a sensible action to take to minimise the risk of fraud - both to you and to PSIS. For more information, please contact your branch.

10 July 2004 - Media release: PSIS Wanganui Tops the Country

Wanganui's PSIS has beaten off challenges from 28 other PSIS branches to take out the highly prized title of PSIS Branch of the Year.

The financial services branch topped the country in a broad range of criteria ranging from volumes of deposits and loans through to staff and customer satisfaction.

Branch manager Paul Butler says the award is highly coveted and branches work consistently towards it throughout the year.

"We had fierce competition from Papakura which won the title for the past two years and from Levin which has been runner up twice," Paul says.

He believes he and his team were successful because of the significant growth PSIS has experienced in their share of the Wanganui personal banking market.

Paul believes the Wanganui branch's growth is because of its adherence to PSIS's values-based approach to banking. "Our customers in Wanganui really seem to appreciate our approach, which is to build relationships that help everyday people through life", he says. "It's largely thanks to our customers we have achieved this award. We are feeling very positive about our future growth in this community".

"We are a co-operative, which means we are owned by our customers. And we focus on personal rather than business banking. We like to know our customers by name - they're not just a number and we want to make sure they feel valued by PSIS."

The Wanganui branch recently completed a thorough renovation which Paul says is a huge improvement for customers and staff.

"Wanganui is one of the first of PSIS's 'new look' branches and a further sign of how important Wanganui is to PSIS," Paul says.

1 July 2004 - Internet Banking security update - Internet Explorer vulnerability

PSIS is aware of recent scams exploiting a vulnerability in the Internet Explorer browser. While we do not want customers to worry unnecessarily, we do believe customers who use Internet Explorer for Internet Banking or other activities should know about the problem.

The PSIS website has not been a target for this scam.

Like many recent internet scams, this one involves compromising users to obtain their login details, rather than attacking the internet banking site itself.

This time fraudsters are using a known vulnerability in Internet Explorer to retrieve a user's login information without the user realising. Because it works from within an infected computer, it can capture login information before it is encrypted.

Microsoft has not yet released a solution for Internet Explorer and we recommend anyone using Internet Explorer to keep an eye on developments.

This vulnerability doesn't affect Macintosh users or users of other browsers.

5 August update:

Microsoft has released a software 'patch' to fix this Internet Explorer vulnerability. It can be installed by running 'Windows Update' to download the latest updates. Further information can be found on Microsoft's website.

4 June 2004 - Media release: Satisfied Customers Help PSIS Grow

PSIS continues its path of sustained growth with another excellent result. For the year ended 31 March 2004, the financial services co-operative has announced a pre-tax profit of $10.8 million, up 7.6% on the same period in the previous year.

PSIS Chief Executive, Girol Karacaoglu said: "Our success has been built on our distinctive strengths: the quality of the PSIS people, a strong sense of our values as an organisation and a culture that focus on the customer first. We have a clear goal of sustainably building our business through providing great value, low cost personal banking services to our customers."

The improved pre-tax profit has come from sturdy growth in deposits and loans and increased product sales, positioning the co-operative well for the future with strong reserves and assets growth.

"One of the factors behind our result is our ability to meet customers' ever increasing expectations. We are a relatively small organisation which means we can have relationships with our customers that larger organisations can only dream about.

"Our decision-making processes are faster and we can move quickly in response to our customers' and market needs.

"In the year ahead we want to maintain and improve upon our customer satisfaction. We will be opening more branches and committing to more staff training. We want to keep on improving our products and make it easier for people to manage their everyday finances with us.

"To do this we will be investing more in our business and our people. As a result we do not anticipate repeating the level of this year's profit growth but we will prudently manage our capital expenditure and investment in our business within our existing resources."

"As a co-operative where our customers are also our owners, we have every incentive to provide them with a fair fee structure, a wide range of products and excellent service. We know the best way to look after future profits is to look after our customers," Mr Karacaoglu said.

Other highlights from the annual results were:

Key end-of-year results for 31 March 2004:

Pre-tax profit up 7.6% to $10.8m
Pre-tax return on average total assets 1.52%
Net profit after tax up 9.3% to $7.6 million
Total assets increased 14.6% to $759.1 million
Deposits increased 15.4% to $653.0m
Loans increased 21.3% to $587.3m
Total reserves up 12.4% to $70.3 million
Capital adequacy (using Reserve Bank formula) 18%. This is more than double the 8% minimum required for registered banks.

21 April 2004 - Internet Banking and Security

Recently a couple of New Zealand based banks have been targeted by email scams, which are designed to get hold of sensitive information such as log on details for internet banking. Most scams involve the fraudsters setting up a false website to look like the bank's own one, and directing customers (usually via a 'spam' e-mail) to log on. The fraudsters then use the details to log on to the real site, and make transactions in the customer's account such as transferring funds out.

Has PSIS been affected?

PSIS has never been affected by internet banking scams or email fraud, and we take online security extremely seriously. Our Internet Banking site uses secure servers to protect your details while you are online. You'll notice that when you are in the Internet Banking part of our website, the address starts with "https:", rather than the usual "http:", and that a padlock appears in the bottom right hand corner of your screen. This shows that you have established a secure encrypted session to your banking information.

We won't ever ask you for your password

PSIS will never request your Internet Banking login details from you via e-mail or telephone. Normal internet e-mail (such as Microsoft Outlook) is not a secure facility and should not be used to communicate sensitive information with PSIS such as account details.

Tips to keep your Internet Banking secure

Don't access your accounts from public computers (e.g. in libraries or internet cafés), as you cannot be sure about their security standards.
Don't tell anyone what your Internet Banking password is. Treat it with the same care you would for the PIN number for your PSIS card.
Always access the PSIS website by typing in the address www.psis.co.nz. You can bookmark it under your 'Favourites' folder in your browser. Never follow an e-mail link to the site.
Always log off when you finish your Internet Banking session by clicking "Exit" on the left of the screen. You will be automatically logged off after 10 minutes of inactivity, however you should always make sure you log off before you leave your computer.
Change your password regularly. To do this, log on to Internet Banking, and go to the 'Personalisation' page.
If you think you may have given someone else your password by mistake, change your internet banking password immediately, and talk to your branch if you have further concerns.
Make sure you have security software for your computer, such as an antivirus program, and keep it up to date.

If you have further questions about Internet Banking, visit the Help with Internet Banking section of our website (you'll find it in the Contact Us section) or call your local PSIS branch.

9 October 2003 - Media release: PSIS Expands Community Branch Network

One of New Zealand's longest serving Kiwi financial organisations, and one of the few which has remained New Zealand-owned, PSIS has now committed to an expansion of its community branch network.

The first of these officially opens on October 9 in Onehunga.

In a banking environment where many of the big players are moving away from face-to-face customer service, PSIS "puts an emphasis on its customers as people," Chief Executive Girol Karacaoglu says.

Onehunga is also the first PSIS branch to sport a "new look", designed to reflect PSIS' personality, Dr Karacaoglu says.

"Our style is welcoming, friendly and comforting. You won't see the latest trends or the flashiest colours. We want our branches to make our customers feel at home," he says.

Dr Karacaoglu says PSIS has undergone many changes since its inception 75 years ago when it was established as a co-operative organisation to help New Zealanders working in the public service by providing low-cost financial services.

"Our 75 years of service not only makes us one of the longest serving Kiwi financial organisations, we are also one of the few that has remained New Zealand-owned."

Today PSIS offers full banking services to all New Zealanders, including internet and telephone banking, home loans and insurance. It also recently opened two new accounts especially designed for young savers.

"We want more people to know about us and what we offer," Dr Karacaoglu says. "One philosophy that has never changed is that we put people before profits. Our staff know they are there to help, not to sell."

He says his staff were absolutely delighted that for two years in a row 100 percent of PSIS customers rated PSIS's overall performance as good or very good in an independent banking survey.

"As we quote from the Cheers theme in our advertising, 'sometimes you wanna go where everybody knows your name; and they're always glad you came' - that's the kind of welcome people will find at PSIS. We look forward to introducing further branches in the year ahead"

The PSIS Onehunga branch is located at 155 Onehunga Mall. A community opening will be from 10am - 2pm, Saturday, October 11.

PSIS Limited is a co-operative company and is not a registered bank.

Customer Updates Archives

General updates, notices and changes that may affect you as a PSIS customer prior to 2007.

PSIS on the Community Archives

PSIS involvement in the local community prior to 2007.

Interest rates and fees are subject to change. An Investment Statement and the current Disclosure Statement are available from any branch of The Co-operative Bank or can be downloaded here. For all lending products, The Co-operative Bank lending and insurance criteria, and fees apply. If a home loan is greater than 80% of the property's value, a low equity interest rate premium, will apply.