AMP Bank is celebrating 20 years on Monday, and it’s an anniversary that’s closely tied to an important time in the history of AMP itself.

In 1998 when AMP demutualised and listed on the ASX, it needed to offer members the ability to convert their holdings into cash.

As a result, AMP Bank (then AMP Banking) was formed as an Authorised Deposit-Taking Institution (ADI), taking over the existing loan book of former subsidiary, PriorityOne.

One thousand Founding Member Accounts – for former Mutual members – are still on the loan book, but they weren’t the only new accounts for AMP Bank. The Investment Builder and AMP Achievement Share Account were both offered to help customers achieve their goals. As a bank inside a wealth manager, AMP Bank’s focus – to help customers with their goals for life and enabling them to build wealth – remains the same.

AMP might have been awarded an ADI for the first time in 1998, but its legacy of banking goes further back. In 1959 AMP took a majority shareholding in Discount Corporation of Australia Pty Ltd, which was renamed AMP Discount Corporation in 1964. In 1984, AMP and Chase Manhattan Bank of New York joined to open Chase AMP. This was during the original inception of then Labour Party Treasurer Paul Keating’s six banking pillars policy.

In 1991, Chase Manhattan purchased AMP’s share in Chase AMP. The same year, AMP launched PriorityOne, which had a mortgage and loan-taking product offering. PriorityOne was later incorporated into AMP Banking when the ADI was granted in 1998.

It might have always been a small bank, but AMP Banking punched above its weight – even if this didn’t immediately show up in the numbers.

Internet banking became available very early on. In 1999 AMP Banking was incorporated into Coles Myer’s multi-brand alliance, and opened retail kiosks around the country.

In 2000, AMP Banking launched a cash management account which provided transparency of fees by allowing customers to choose their fee structure. That same year, AMP Bank was ranked fourth fastest-growing asset book in Asia in the AsiaWeek Financial 500.

One thing has always remained consistent - AMP Bank's aim to become the bank of choice for advisers and brokers

The AMP Bank team has always performed highly, evidenced in part by the number of previous managing directors who have gone on to become AMP CEOs. Craig Dunn and current CEO Craig Meller are on the honour list.

Current Group Executive Sally Bruce has been with the Bank for three years, during which time it has become an earnings powerhouse for AMP.

Talent aside, one thing has always remained consistent for AMP Bank - its aim to become the bank of choice for financial advisers and brokers. This year, AMP Bank was voted number one for broker satisfaction, making it the Australian Mortgages Council broker bank of choice.

The AMP Bett3r account was launched in 2016 to help Australians to manage their cashflow – a key goal for many customers. The Bett3r account, which is in fact three accounts in one, automatically allocates a customer's money into Pay, Save and Spend, based on their payment commitments and goals.  

AMP Bank has survived some challenging periods. The global financial crisis in 2008 hit second-tier lenders hard, and AMP Bank wasn’t an exception. With global financial markets on hold, the Bank developed its retail deposit business to support the funding of the loan book. The Bank survived, and went on to prosper, winning Your Mortgage Bank of the Year in 2012 and four MOZO Experts Choice awards in 2016. And for the highs and lows, challenges and accomplishments, AMP Bank holds a very special place in the heart of AMP.    

About AMP Bank

AMP Bank is a key pillar of AMP’s strategy as one of three key growth investment areas for the group. It is a critical contributor to AMP’s purpose of helping people own tomorrow. The Bank helps AMP customers with a wide set of financial goals, earlier in life, and with interactive and engaging products.

AMP Bank’s strategy is anchored on being the intermediated bank of choice, providing brokers and advisers a superior experience through highly regarded banking propositions.