64 kilometres to the nearest bank: How a small town is scrambling to keep its cash safe

A small Victorian town is bracing for a change that feels like a betrayal.

Locals fear losing the lifeline of face-to-face banking after years of dwindling options.

The cost of accessing basic services could hit tens of thousands of dollars.

The South Gippsland town of Yarram will be left without a bank branch next month when Bendigo Bank closes its doors.

The branch, the last remaining in the town, serves a community that once hosted all of the Big Four banks, with Commonwealth Bank the last major to shut down in 2021.

Phelan was one of the branch’s biggest customers, with his business turning over $25 million last financial year. He moved his accounts to Bendigo Bank after the last major bank closed and encouraged other residents to do the same.

‘[I said] if we all go to the Bendigo, they can’t possibly afford to leave. However, I was wrong,’ he said.

When the Yarram branch closes on 26 September, the nearest Bendigo Bank will be in Traralgon, a 64-kilometre drive that takes about 50 minutes.

While Phelan’s business no longer handled cash, he said some older clients still paid by cheque.

‘When you’re dealing with the farming community, there’s a lot of people that don’t have bloody computers, and if they did have they wouldn't know the first thing about how to get in,’ he said.

‘A lot of these pensioners hear so many things about people being scammed. They’ve got a little bit of hard-earned money, they don't want to open themselves up to get scammed and have the money taken off them.’

Phelan said other local businesses were concerned about having to transport their money through hilly terrain to the Traralgon branch.

The Yarram Country Club has explored hiring an armed cash transfer service to move funds securely, but the cost would be around $20,000 a year.

‘The government needs to step in and say, no more bank closures. If you’re the last one in town, you’ve got to stay there and provide a service,’ he said.

A Bendigo Bank spokesperson shared that the decision to close the Yarram branch and ATM was based on ‘evolving customer preferences, a reduction in business activity and an increase in cost’.

Losing a local bank can turn everyday financial tasks into a logistical nightmare—how far would you travel to keep your money safe?