Yellow Brick Road launches new term deposit option
Yellow Brick Road claims to have stepped up its challenge to the major banks' "oligopoly" after becoming the first non-bank in Australia to offer term deposits.
The financial services firm, which was set up by Mark Bouris, one of the founders of Wizard Home Loans, said it was taking the government's call for competition in the banking sector "to the streets" by encouraging consumers to compare term deposits and select a non-bank option.
Yellow Brick Road Term Deposits, which were launched yesterday (February 7th), are issued by Gateway Credit Union in a partnership described as "the first of its kind in the deposits market".
In addition, Yellow Brick Road said it was using the power of the government guarantee under the Financial Claims Scheme to offer consumers competitive rates and flexible terms for term deposits.
"With the launch of term deposits, Yellow Brick Road is going to sever the big banks' stranglehold on the industry," said Mr Bouris.
"It is clear from the questions raised at the Senate inquiry into banking competition that politicians of all shades recognise that new competition is badly needed. We will fight for the consumer by opening up the playing field to a new level of competition."
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