If you’ve spotted a MyState Bank branch in Hobart or noticed the name alongside Auswide Bank in Queensland, you might have wondered what exactly is going on with these two regional lenders. In February 2025, they completed a merger that created one of Australia’s larger regional banking operations — and the implications for customers and investors are worth understanding.
Headquarters: Hobart, Tasmania · Formed: 2009 · Account Fees: No monthly keeping fees · ATM Fees: No withdrawal fees · Government Guarantee: Balances protected
Quick snapshot
- Tasmania-based lender merged with Queensland’s Auswide Bank (Small Caps)
- $755 million merger completed 19 February 2025 (Small Caps)
- 272,000 regional customers across Australia (IT News Australia)
- Merger completion status — completed as of February 2025
- Closing down rumours — bank remains operational under four brands
- Branch-level service changes pending integration
- 2009: MyState Limited formed from merger
- August 2024: Merger announced with binding agreement
- 19 February 2025: Merger completed, Auswide delisted
- FY2028: Integration scheduled for completion
- Core banking consolidation within 18–24 months
- Full operational integration by 2028
- Four brands (MyState Bank, Auswide Bank, SelfCo, TPT Wealth) initially retained
Key attributes of the merged banking entity are summarised below.
| Attribute | Value |
|---|---|
| Parent Company | MyState Limited |
| Location | Hobart, Tasmania |
| Formation Year | 2009 |
| Key Product | Glide Account |
| Fees | No monthly or ATM fees |
| Merger Completion | 19 February 2025 |
| Customer Base | 272,000 |
| Loan Book | $12.5 billion |
| Total Deposits | $9.6 billion |
| Branches | 23 (7 Tasmania, 16 Queensland) |
| Integration Timeline | By 2028 |
| Credit Rating | BBB+ / Stable (Fitch Ratings) |
Who is MyState Bank owned by?
MyState Bank is a wholly owned subsidiary of MyState Limited, an ASX-listed company headquartered in Hobart, Tasmania. The parent entity traces its roots to Connect Credit Union, which was created from the merger of the Teachers, Police and Nurses Credit Union and Savings & Loans before evolving into a state-focused regional lender.
Ownership structure
Following the February 2025 merger with Auswide Bank, MyState Limited shareholders retain 65.9% pro forma ownership of the combined group, with former Auswide shareholders holding the remaining stake. The transaction was valued at $755 million, with a purchase price consideration of $261.5 million determined by the MyState share price and conversion ratio.
- MyState Limited: ASX-listed holding company
- Auswide Bank: Now an indirect wholly owned subsidiary of MyState
- Auswide was delisted from the Australian Securities Exchange effective immediately after merger completion
- Conversion ratio: 1.112 new MyState shares per Auswide share
Parent company details
Brett Morgan continues as CEO of the merged entity, while Sandra Birkensleigh, previously chair of Auswide, became chair of both the holding company and the bank subsidiary. Fitch Ratings maintained the BBB+/Stable/bbb+ ratings for both entities after merger completion.
What was MyState called before?
MyState Bank’s history reflects a series of mergers and rebrands that trace back to Tasmania’s credit union movement. The bank has undergone several name changes as it expanded from a public mutual into an ASX-listed regional lender.
Historical name changes
- Connect Credit Union: Original name formed from the merger of Teachers, Police and Nurses Credit Union and Savings & Loans
- MyState Financial: The name adopted as the institution grew beyond credit union roots
- MyState Bank: Authorised by APRA in October 2014 following APRA authorisation to operate as a bank
- MyState Limited: Current listed entity name on the Australian Securities Exchange
Merger origins
MyState Limited formally formed in 2009 following the merger of Tasmanian Perpetual Trustees and MyState Financial. In 2011, the company expanded into Queensland by purchasing the Rock Building Society for $68.3 million AUD — a strategic move that foreshadowed the 2025 merger with Auswide Bank.
A Tasmanian lender that began as a credit union for teachers, police officers and nurses now operates under four brands across Australia and holds $12.5 billion in loans — a remarkable trajectory from mutual origins to listed regional bank.
Who is MyState merging with?
MyState Bank completed its merger with Auswide Bank, a Queensland-based regional lender, on 19 February 2025. The deal created one of Australia’s larger regional banking operations, combining Tasmania and Queensland market presence under a single holding company.
Merger announcement
The merger was announced in August 2024 with a binding scheme implementation agreement. After receiving regulatory approvals, the transaction closed in February 2025, with Auswide immediately delisted from the ASX and becoming a wholly owned subsidiary of MyState.
- Merger announced: August 2024
- Merger completed: 19 February 2025
- Transaction value: $755 million
- Auswide delisted: Effective immediately after completion
Auswide Bank details
Auswide Bank was a publicly listed regional bank headquartered in Queensland with a network of 16 branches in that state. The merger reduced MyState’s asset concentration in Tasmania from around one-third to 20% by diversifying the loan book geographically.
The merged group achieved $10.4 million in annualised synergies as at 31 December 2025, but the full $20–25 million annual target remains targeted for FY2028 — meaning customers could see further product or service changes as cost savings are realised.
What are the benefits of using MyState?
MyState Bank has built its customer appeal around a straightforward fee structure: no monthly keeping fees and no ATM withdrawal fees at any ATM in Australia. The bank positions these features as core advantages against larger competitors.
Fee structure advantages
- No monthly keeping fees on transaction accounts
- No ATM withdrawal fees at any ATM across Australia
- Government guarantee protects customer deposits under the Financial Claims Scheme
- Digital banking via mobile app with Backbase platform
Glide Account features
The Glide Account serves as MyState’s flagship transaction product, designed for everyday banking without fee friction. The bank uses TCS BaNCS for its core banking system and Backbase for digital banking capabilities.
For customers who want fee-free everyday banking from a Tasmanian-rooted lender, MyState’s fee structure remains a genuine differentiator — though the merged entity’s ability to maintain this offering will depend on whether integration costs eat into margins.
Is MyState Bank closing down?
MyState Bank is not closing down. The bank continues to operate under four brands — MyState Bank, Auswide Bank, SelfCo, and TPT Wealth — following the merger completion. Any suggestions of closure appear to be confusion stemming from the Auswide delisting or routine service disruptions.
Rumor status
- No announcement of closure for MyState Bank or any of its brands
- Auswide Bank delisted from ASX but remains operational as a subsidiary
- Branch network of 23 locations continues to serve customers
- Integration scheduled through 2028, not a wind-down
Service updates
The bank has reported temporary service outages in the past, consistent with regional banking infrastructure challenges. These disruptions do not indicate closure plans — the merger integration actually signals expanded operations, with annualised synergies of $10.4 million already achieved by December 2025.
The implication: customers should expect ongoing operational improvements rather than service reduction as the integration progresses through 2028.
Upsides
- Fee-free banking model maintained post-merger
- Larger regional lender with 272,000 customers
- Geographic diversification reduces Tasmania concentration
- BBB+ credit rating maintained by Fitch Ratings
- 23 branches across Tasmania and Queensland
- Digital banking platform investments continuing
Downsides
- Integration costs of $29 million through June 2028
- Complex four-brand structure may confuse customers
- Core banking consolidation creates short-term uncertainty
- Combined market share remains modest at 0.5% nationally
- Operational integration not scheduled for completion until 2028
- $261.5 million purchase price creates post-merger balance sheet complexity
Timeline
Three significant milestones shaped MyState Bank’s evolution from a Tasmanian credit union to a merged regional lender spanning two states.
| Period | Event |
|---|---|
| 2009 | MyState Limited formed following merger of Tasmanian Perpetual Trustees and MyState Financial |
| 2014 | APRA authorised renaming to MyState Bank; expansion into Queensland via Rock Building Society acquisition |
| August 2024 | MyState announced binding merger with Auswide Bank under scheme implementation agreement |
| 19 February 2025 | Merger completed; Auswide delisted; Sandra Birkensleigh became chair; combined entity operational |
| FY2027 | Target date for full $20–25 million annual cost synergies realisation |
| 30 June 2028 | Integration completion; final $29 million in merger costs recorded |
The implication: MyState’s 15-year transformation from a state-focused mutual to a merged regional bank reflects the broader consolidation pressure on Australia’s smaller lenders. Whether the fee-free model survives the integration will be the key question for existing and prospective customers.
What sources say
Four named perspectives from industry observers and institutional sources provide context on the merger’s significance.
The merger reduces MyState’s asset concentration in Tasmania from around one-third to 20 per cent — a significant geographic rebalancing for a lender that built its identity on the Apple Isle.
— Banking Day (Australia’s regional banking specialist publication)
Almost one-third of the $20-25 million in pre-tax cost savings will consist of IT costs — the technology integration is where the real savings are hiding.
— IT News Australia (technology and infrastructure analysis)
The combined entity has a national market share of only 0.5 per cent, less than the market share of the largest mutual banks — size alone does not solve the competitive challenge facing regional lenders.
— Banking Day (regional banking specialist)
Fitch Ratings maintained MyState and Auswide ratings at BBB+/Stable/bbb+ after merger completion — the credit agency sees the combined balance sheet as strong enough to absorb integration costs.
— Fitch Ratings (global credit rating agency)
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mystatelimited.com.au, en.wikipedia.org, mystate.com.au, auswidebank.com.au, mystatelimited.com.au, asic.gov.au
Like fellow Australian regional institutions such as Great Southern Bank, MyState Bank maintains strong local branches and customer-owned structures amid merger discussions.
Frequently asked questions
What is MyState Bank?
MyState Bank is a regional Australian bank headquartered in Hobart, Tasmania, and a wholly owned subsidiary of ASX-listed MyState Limited. Following its merger with Queensland-based Auswide Bank in February 2025, it now serves approximately 272,000 customers across 23 branches in Tasmania and Queensland.
How do I open a MyState Bank account?
Accounts can be opened through the MyState Bank website via the online application process or by visiting a branch. The Glide Account is the primary transaction product, featuring no monthly fees and no ATM withdrawal fees.
Where is MyState Bank located?
MyState Bank is headquartered in Hobart, Tasmania. The merged entity operates 23 branches across Australia, with seven branches in Tasmania and sixteen in Queensland. Additional services are available through digital and mobile banking channels.
What are MyState Bank reviews like?
Customer reviews and satisfaction metrics post-merger are not yet extensively documented in public sources. The bank’s appeal centres on its fee-free structure — no monthly keeping fees and no ATM withdrawal fees — which consistently attracts customers seeking lower-cost everyday banking.
Is MyState Bank safe?
MyState Bank is authorised by the Australian Prudential Regulation Authority (APRA) and regulated as an authorised deposit-taking institution. Customer deposits are protected under the Australian Government’s Financial Claims Scheme. Fitch Ratings has maintained a BBB+ rating with Stable outlook for the merged entity.
Does MyState Bank have mobile apps?
Yes. MyState Bank offers digital banking through a mobile application built on the Backbase platform. Core banking operations run on TCS BaNCS infrastructure. The bank has indicated that core banking consolidation will occur within 18–24 months of the February 2025 merger completion.
What services does MyState offer?
MyState Bank offers transaction accounts (Glide Account), home loans, personal loans, and savings products. The merged group also operates under three additional brands — Auswide Bank, SelfCo, and TPT Wealth — providing wealth management and tailored lending solutions across regional Australia.
Thomas Walsh leads fact-checking, source verification and corrections at Australia Voice.