Up have the financial backing of Bendigo banking group to negotiate a good deal with AusPost to use their facilities. They already have an existing deal for their regular Bendigo customers, so to tack on a minor extra amount of customers with Up bank is really so minimal that they maybe wouldn’t have had to even pay more money.
From a personal pov, whilst I would like to deposit cash, I can make do without. I don’t deal with significant cash deposits, if I did, I’d use my other bank account to do that. If anything, assuming Xinja could get the Bank @ Post + NPP sorted in the short term, I’d be curious as to how they managed to get it done, with less staff and less revenue than the big 5. I’m not in a hurry for a full feature set.
I’m actually hoping to see Xinja, Volt & the true neobanks succeed. I consider Up digital, but not Neo, because they aren’t new. They’re built on existing platforms, utilizing existing payment rails and continuing the domination of the status quo, which is bad for customers in the long run.