Teachers Mutual Bank, UniBank, Firefighters Mutual ban cryptocurrency lending


Loans for buying cryptocurrency are today banned by one of the nation’s biggest mutual banks and affiliates amid concerns the highly speculative and volatile billion-dollar market is not in its members “best interests”.

Teachers Mutual Bank, UniBank and Firefighters’ Mutual Bank on Monday announced that they will “not lend when the purpose involves cryptocurrency”, the toughest measure to be taken by an Australian lender in the high profile sector.

Other lenders, both locally and overseas, have imposed bans on the use of credit cards to buy cryptocurrencies, limited the use of credit cards or refused to use income from cryptocurrenices as security for a loan.

Steve James, Teachers Mutual chief executive, said its ban was “a proactive, responsible lending measure” rather than responding to a surge in borrowing applications from cryptocurrency investors.

Fears about volatility and consumer risk results in lending ban.

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s