Bendigo Bank to Shutter 10 Branches, Leaving Regional Towns Without Banking

Bendigo Bank plans to shut down 10 additional branches throughout Australia. Communities across Victoria, Queensland, and Tasmania will be affected by these branch closures scheduled between August and October 2025. Some of these places will be left with no bank at all.

That’s not just news, it’s a real concern for many of us living in smaller communities. We rely on our local branches for everyday banking, personal help, and even a friendly face. When a branch shuts down, it’s not just a business decision. It changes how we live, shop, and stay connected.

The bank says more people now use digital services. That may be true, but what about the elderly or those without the internet? What happens to local businesses that deal with cash every day? These are the questions we ought to be raising.

We’ll study what’s going on, the reasons behind it, and what it means for everyday people. Let’s take a closer look at the numbers and the human cost behind them.

Closure Timeline & Affected Towns

Victoria

Geelong Central: Closes August 1, 2025. Customers are being directed to the Geelong West and Corio branches for continued service.
Ballarat Central: Shuts by October 31, 2025.
Bannockburn: Closes September 26, 2025, leaving the town with no local bank.
Korumburra: The last branch closes on August 29, 2025, making it the town’s final local branch
South Melbourne: Closes August 1, 2025.
Yarram: Shuts down by late October (around 26 September for Yarram, timing needs a slight note)

Queensland

Malanda and Tully North: Both are set to close mid‑September (Sept 26, 2025).

Tasmania

Kings Meadows in Launceston is scheduled to close on August 1, 2025.
Queenstown: Shuts September 26, 2025, losing its only local bank.

Why the Bank Is Shutting Branches

Bendigo Bank says the move aligns with shifting habits. Over-the-counter visits have dropped sharply. The bank wants to reinvest in digital services while ensuring remaining branches are well-resourced.CEO Richard Fennell stated that balancing physical presence with online growth is key: The bank supports approximately 2.7 million customers and operates the second-largest regional branch network.

Impact on Communities

Seniors and the Digital Divide

Elderly residents and those without good internet will feel the pinch most. In Queenstown, customers will face a 2½-hour drive for in-person banking. In Korumburra, the nearest bank is over 15 km away, while Bannockburn’s nearest is in Geelong, about 20 km distant.

Local Business & Cash Transactions

Small businesses that rely on deposits and cash access will face new challenges. Yarram’s local hotel manager, Paul Cipolla, noted that even simple issues like faulty cards will become a major headache.

Jobs at Risk

The Finance Sector Union (FSU) reports that around 32 jobs, mostly in small towns, will be lost or redeployed. Many were existing full-time roles, plus part-time staff who serve as essential community touchpoints.

Reactions from Unions, Government & Locals

The FSU slammed the closures as a “slap in the face” from a bank that prides itself on regional roots. They are pushing for banking to be regulated as an essential service, backed by a 2023 Senate inquiry.

Local officials echoed the sentiment. Bannockburn’s mayor said the closure felt abrupt and disruptive, with many unhappy residents voicing their frustration. Korumburra’s “Save Our Bank” group has lobbied both Bendigo Bank’s managing director and local MPs, and is even working to create a community-owned bank.

On the federal stage, major banks (ANZ, NAB, CBA, Westpac) agreed last year to freeze regional closures until at least mid-2027, but Bendigo Bank opted out. The government is also considering penalties for banks that fail to maintain a baseline of service.

What Bendigo Bank Offers as Alternatives

Bank@Post: In-person services are now available at 3,500+ post offices, allowing up to $2,000 withdrawal or $10,000 deposit daily.
Digital channels: Online, mobile, and phone banking still operate normally.
Redeployment: Bank staff are being offered roles in other branches or departments.

But locals worry these measures fall short. A Queenstown official noted the branch already had reduced hours and services even before the closure news broke.

Context: A Wider Trend and What It Means

Since 2017, more than 41% of bank branches in regional Australia have closed down. Since 2020, around 180 bank branches have closed across Queensland, significantly impacting its regional areas. Major banks like Westpac have committed to postponing branch closures and increasing support for banking services at post offices.

Treasury is now proposing a rural bank levy, a baseline service obligation or fee system, to preserve regional access. Some smaller banks (e.g., Bankwest, MyState) have gone fully digital, boosting the shift.

Looking Ahead: Possible Paths Forward

Stronger regulation: If the government’s service baseline plan is enacted, banks might be forced to keep branches open.
Community banks: Groups in Korumburra and elsewhere are considering setting up local banks.
Increased Bank@Post usage: Post offices may become the default face-to-face option.
Digital literacy programs: Boosting online skills among seniors could ease the shift, but training would be needed.

We’re watching a crossroads: balancing economics and efficiency with the social needs of towns. The real test? Whether banks, governments, and communities can find a fair path forward.

Final Thoughts

Bendigo Bank’s decision echoes a national story. Digital change is marching on, but its impact hits hardest in smaller towns. When a branch closes, it’s more than an ATM losing power; it’s a community losing connection. The coming months will be critical. Will we see effective government action? Stronger local banking models? For those left behind, the stakes are very real.

Disclaimer:
This content is made for learning only. It is not meant to give financial advice. Always check the facts yourself. Financial decisions need detailed research.