meta_id 3211094

On June 4, 2026, the Reserve Bank of New Zealand (RBNZ) announced it will permit all licensed deposit-takers to use the word "bank" in their names from late 2028. This decision loosens restrictions on usage of the terms "bank," "banker," and "banking" that have previously been tightly controlled. The RBNZ made this decision following consultation conducted in 2025, during which it received 12 submissions on the matter. The change will take effect when the Deposit Takers Act 2023 (DTA) comes into force on December 1, 2028. Previously, only entities meeting specific regulatory criteria could use these terms, creating barriers for other licensed deposit-takers seeking to use such language in their corporate names. The industry has responded positively to the RBNZ's decision, with representatives including Daniel McGrath of the New Zealand Banking Association welcoming the regulatory shift. This change reflects a broader regulatory approach to harmonise naming conventions across the deposit-taking sector and reduce competitive disadvantages faced by non-bank deposit-takers in the market. The decision recognises that licensed deposit-takers meeting prudential requirements should have greater flexibility in how they present themselves to consumers and the market. The implementation date of late 2028 provides the industry with sufficient time to prepare for the transition and update corporate documentation and branding as necessary. Licensed deposit-takers seeking to adopt "bank" terminology in their names should prepare for implementation ahead of the December 1, 2028 effective date of the DTA.