APRA revokes Volt’s authorised deposit-taking institution licence

The bank first announced its closure in June.

The Australian Prudential Regulation Authority has revoked Volt Bank Limited’s authorised deposit-taking institution (ADI) licence under the Banking Act 1959. 

Volt completed its return of deposits process in July, after announcing its intention to exit the banking industry in June. 

“Volt Limited (formerly known as Volt Bank Limited) (Volt) has decided to exit its banking business, and no longer holds any customer deposits. Where instructions were received from customers, Volt has returned their deposits as directed. A small number of customers did not give Volt directions, and these deposits have been transferred to National Australia Bank Limited. These customers can elect to leave their funds there or transfer them to another bank of their choice,” Volt said in its corporate website.

ALSO READ: Grab, Singtel-led digital-only bank GXS debuts in Singapore

The return of deposits began on 29 June when Volt announced its decision to cease being a bank and hand back its ADI license to APRA. The neobank struggled to raise enough funds to sustain its business causing its shutdown.

Volt is Australia’s first neobank.