Powered by MOMENTUM MEDIA
subscribe to our newsletter

BOQ lifts mortgage rates

The last of the regional banks has joined ME, Suncorp and Bendigo and Adelaide Bank by announcing that it will increase variable home loan rates.

BOQ today announced it will increase interest rates on its variable home loan products by 0.18 per cent.

The increase will see the bank’s Clear Path variable rate home loan lift to 4.60 per cent and the standard variable rate home loan for owner-occupiers move to 5.74 per cent.

BOQ’s standard variable rate home loan for investors will increase to 6.03 per cent

Matt Baxby, BOQ’s group executive retail banking, said the decision was driven by the need to balance growth, risk and margins over the longer term.

Advertisement
Advertisement

“Standardised banks like BOQ still carry much higher funding costs and capital requirements than the major banks and we need to get the balance right between sustainable growth over the longer term, risk and margins,” Mr Baxby said.

“These are always difficult decisions but on balance we believe it is the right one in the current environment.

“The more resilient and financially strong that standardised banks are, the more we can compete on a range of fronts including further investment in our customer-facing systems and processes.”

The new rates will be effective from 20 November 2015.

BOQ lifts mortgage rates

Latest News

The Treasurer has met with regulators to discuss the housing market and consider whether “carefully targeted and timely adjustments” ...

The major bank has once again extended its cashback and drawdown deadlines. ...

The major bank has expanded its SME Recovery Loan Scheme offer to small businesses impacted by the pandemic, effective 1 October. ...

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

How long do you think it should take to discharge a mortgage?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.