BoQ lifts rates to remain competitive
(7 March 2012 – Australia) The Reserve Bank of Australia (RBA) left rates on hold again this month, however the Bank of Queensland (BoQ) increased its standard variable rate by 10 basis points.
BoQ chief executive Stuart Grimshaw said the regional lender had held rates for as long as it could in the interest of customers, but the increase was necessary.
The rise means BoQ’s standard variable home loan rate is now at 7.46 percent, in line with Westpac which has the highest rate among the big four.
BoQ was one of the few lenders not to lift mortgage rates last month, when the Reserve Bank also remained on hold but most banks lifted their standard variable interest rates.
‘‘Competition is fierce for local deposits and to remain competitive BoQ needs to provide strong rate returns on our term deposits,’’ Grimshaw said.
"BoQ has covered the higher cost of funding for a number of months to provide our lending customers with certainty, and it is disappointing that we’re unable to continue on that course.
"This decision has not been made lightly and as always, we will be doing our best to support our customers in whatever way we can," he said.
BoQ’s new rate will be effective from March 16.
The rise means BoQ’s standard variable home loan rate is now at 7.46 percent, in line with Westpac which has the highest rate among the big four.
BoQ was one of the few lenders not to lift mortgage rates last month, when the Reserve Bank also remained on hold but most banks lifted their standard variable interest rates.
‘‘Competition is fierce for local deposits and to remain competitive BoQ needs to provide strong rate returns on our term deposits,’’ Grimshaw said.
"BoQ has covered the higher cost of funding for a number of months to provide our lending customers with certainty, and it is disappointing that we’re unable to continue on that course.
"This decision has not been made lightly and as always, we will be doing our best to support our customers in whatever way we can," he said.
BoQ’s new rate will be effective from March 16.
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