BOQ Group has passed on the full RBA rate cut to all BOQ and ME home lending customers. The rate cut was not passed on to Virgin Money Australia (VMA), realigning previously discounted rates to current market rates.

BOQ Group has given careful consideration to balancing customer interests, market rates, and funding costs. As a challenger brands, VMA have historically offered lower than market rates to stand out against larger competitors. The highly competitive home lending market has improved rates for customers, whilst recent industry-wide margin compression has required smaller banks to consider the sustainability of returns to ensure customers have continued access to lending.  

The decision to realign rates with those of our competitors ensures that we can continue to support VMA customers effectively. We understand that this impacts some customers, especially given the current high cost of living pressures. We are providing rates that align with our competitors while ensuring we can generate sustainable returns and continue to serve customers into the future.

We remain committed to supporting customers in need and encourage those experiencing hardship to reach out to us.