Bendigo Bank increases residential variable interest rate by 0.12% p.a. to 5.68%
Bendigo Bank announced today an increase to its residential standard variable interest rate for owner occupiers by 0.12% p.a. to 5.68%. Investor rates will increase by 0.15% to 5.91%.
Bendigo and Adelaide Bank Managing Director Mike Hirst said the decision to adjust rates takes into account a wide range of factors, including the needs of all stakeholders, maintaining competitive pricing and capital requirements.
"Our Bank regularly reviews our pricing, and the needs of borrowers, depositors, shareholders, partners and the wider community remain front of mind," Mr Hirst said.
"We're pleased that the Government has supported most of the recommendations of the Financial System Inquiry, and while these measures will go some way to levelling the playing field, the fact remains our Bank is still required to hold significantly more capital than the major banks.
"Adjusting the interest rate reflects our need to generate a reasonable return given we are competing against the major banks to attract capital to grow.
"The pricing we set must continue to be competitive in this historically low interest rate environment while also reflecting our premium value proposition," he said.
The adjustment is effective Friday, 20 November.