AIB is to link up with An Post in a major joint initiative which will see 1,000 Post Office outlets becoming agents for AIB.
AIB has also confirmed that, as part of its medium term (3- 5 years) business strategy, the Bank will maintain its branch presence in every town and village in rural Ireland.
From July 2002, AIB personal customers will be able to lodge and withdraw cash from their accounts using their local post office. AIB business customers will also have access to post offices for cash lodgements.
Commenting on the link up with An Post, Mr Eugene Sheehy, managing director of AIB Bank, Republic of Ireland, said that changing customer needs were presenting a new challenge to Irish retail banks.
He said "The link with An Post is an extremely important part of that objective. It will enable us to deal quickly and efficiently with the increasing volumes of routine transactions and give customers the fast and local service they require."
Mr Sheehy added that An Post has a huge level of ability and expertise in handling high volumes of transactions. It also has an unrivalled nation-wide reach and the capacity to take on additional business.
Mr John Hynes, group chief executive An Post said that the deal was further evidence of An Post’s ability to deploy its national network of post offices to win new business.