A Credit Union-Like Story: The Bank of Dave

A Credit Union-Like Story: The Bank of Dave

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Streaming on Netflix is the movie Bank of Dave. Set in Burnley in the north of England, it is the story of a local van seller who sought the first new banking license to be issued in 150 years in the UK. It is a contemporary version of Frank Capra’s It’s a Wonderful Life.

Dave’s intent is “not about me making money” but creating jobs and the quality of life for the whole community. Profits will go to charity.

For the Financial Regulatory Board, the question is not can it succeed, but rather should it exist?

All the incumbents want to preserve the status quo where a few, large “financial supermarkets” dominate the economy. Dave’s local proposal is not the “right sized bank.”

Dave must overcome established bureaucratic opposition, a very high capital requirement (twelve million pounds) and entrenched skepticism that a new financial model is necessary.

You can read the status of his efforts today in this article about the movie, Dave Fishwick’s life and his ongoing campaign.

Although he faced resistance at every step, Dave eventually made good on his dream, opening Burnley Savings and Loans in 2011, and using “Bank on Dave!” as the company’s slogan.

The message and credit unions

Dave in life and in the film is a pillar of the community. His dream is political, not just financial. Banking should not be reserved for the rich and powerful. Rather in a community, it is the ordinary people who define what that institution should be.

His goal is to have a bank that “looks after the community.” He wants a better way than the current system of helping each other where and how we can. That is Dave’s vision of what community is about.

The parallels with the credit union story are many. This includes the entrenched resistance to new charters and the ever present temptation to leave behind those that created the institutions which dominate markets today.

Bank of Dave is a timeless story about money and who gets to control its use and distribution. It is a reminder that financial institutions are built first on trust in the people who lead them.

When that trust and connection is lacking, then others will move to fill the needs that are no longer served.

If you still need convincing about the Daves of this world, here is an interview with this real Dave.

Author

  • Chip Filson

    A nationally recognized leader in the credit union industry, Filson is an astute author, frequent speaker, and consultant for the credit union movement. He has more than 40 years of experience in government, financial institutions, and business. Chip co-founded Callahan and Associates. Filson has held concurrent positions at the NCUA as president of the Central Liquidity Facility and Director of the Office of Programs, which includes the NCUSIF and the examination process. He holds a magna cum laude undergraduate degree in government from Harvard University. After being awarded a Rhodes Scholarship, he earned a master’s degree in politics, philosophy, and economics from Oxford University in England. He also holds an MBA in management from Northwestern University’s Kellogg School in Chicago.

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