Australia’s Authorised Deposit-Taking Institutions (ADIs) aren’t just banks—they’re the safe keepers of your money. With 2025 seeing regulatory tweaks and heightened consumer awareness, understanding what an ADI is has never been more important for every Aussie saver and borrower.
Authorised Deposit-Taking Institutions (ADIs) are financial institutions licensed by the Australian Prudential Regulation Authority (APRA) to accept deposits from the public. The term covers traditional banks, credit unions, and building societies. If you’re depositing money with an ADI, you’re benefiting from some of the world’s strongest banking protections.
In 2025, the landscape of ADIs continues to evolve, with new digital banks gaining APRA approval and traditional players enhancing digital services to compete.
One of the biggest perks of banking with an ADI is the government-backed Financial Claims Scheme (FCS). If your ADI fails, the FCS guarantees up to $250,000 per account holder, per institution. In 2025, this cap remains unchanged, but there’s been a renewed push to ensure consumers know their entitlements, especially as fintechs and neobanks become more prevalent.
Key FCS facts for 2025:
With the rise of digital wallets and buy-now-pay-later services, it’s crucial to check whether your funds are held with an ADI or a non-ADI entity.
Regulation of ADIs is an ever-evolving space. Here’s what’s new and noteworthy in 2025:
For everyday consumers, these changes mean stronger institutions and more transparency around who’s holding your money and how they’re managing risks.
Choosing an ADI is about more than just picking a bank with a big brand. Here’s how you can maximise the benefits of ADI status in 2025:
Example: In 2025, a growing number of Australians use digital wallets linked to ADIs. If you store $100,000 in a neobank that’s an ADI, you’re covered. If your money is with a wallet provider that isn’t an ADI, you could be at risk if the provider fails.
In a fast-changing financial world, ADIs continue to provide the bedrock of trust, stability, and government-backed security for Australian depositors. Whether you’re considering a high-interest savings account, taking out a home loan, or exploring new digital banking options, knowing your institution’s ADI status is essential for peace of mind in 2025.