The Maungaturoto community has instead set up a "money exchange" which allows residents to cash cheques and get money regardless of which bank their accounts are with.
Without $70,000-worth of computers, the local Lotto shop/post centre cannot be a People's Bank.
Vernon Powell, one of the founders of the Maungaturoto Money Exchange, said a People's Bank in the town could damage the successful community organisation. But he was confident the money exchange could compete if one did move in.
The exchange allows residents to withdraw money by Eftpos, cash cheques from, or make deposits into any of the major trading banks. But a People's Bank would not do business for those holding accounts at other banks.
"Unless people decide to change their bank accounts, the money exchange will not be too disadvantaged," said Mr Powell. But since the exchange operated on a very small profit, even a few customers moving to a People's Bank would make life difficult.
Nor will life be getting easier for the people of Waipu, further north, who also lost their last bank branch two years ago. And with only has a post centre, it is unlikely to get a People's Bank.
But Kawakawa in the Bay of Islands is preparing to welcome an outlet. The town lost its last bank in 1999. But it does have a network-linked Post Shop, suitable for a branch of the People's Bank.
At present residents have to drive 20 minutes to Paihia if they want to go to an old-fashioned bank branch.
Kawakawa books and stationery shop owner Maire Byrne said those who banked in another town also stayed to shop, making things even tougher for Kawakawa businesses.
"I think a lot of people here will change their accounts to a People's Bank," she said.
In the Bay of Plenty, small centres such as Edgecumbe and Taneatua will be no better off. But towns such as Kawerau and Opotiki will gain an extra bank.
Herald Online feature: People's Bank
Herald 0900 voteline question:
Would you bank with the new People's Bank?
Ring 0900 700 50, then 1=YES or 2=NO
