Bank of Queensland’s revolutionary new Reverse Charges Account™, launched just 12 weeks ago is already showing market dominance and having a massive impact on growing the Bank’s deposit book.
Since the Australian-first transaction account was launched in October, the Bank has increased new account sales by 41 per cent and reduced account leakage by 40 per cent.
Bank of Queensland’s Head of Retail Deposits, Darren Donaldson said the results were significantly better than expected, vouching for the power of the account and the fact it was clearly attracting customers away from the big banks.
The Reverse Charges Account™ pays a $2 bonus, waives a monthly account maintenance fee and offers unlimited free BOQ withdrawals to customers who maintain a $2,000 minimum monthly balance.
The account received a Special Mention in Money magazine’s 2006 ‘Best of the Best’ Awards in the Transaction Account category, even though it hadn’t been available for the requisite 12 months to make it eligible for an Award.
Mr Donaldson said the Account’s dramatic effect on both customer attraction and retention would have a significant impact on the Bank’s bottom line.
“While Bank of Queensland has for many years been punching above its weight in the home mortgage market in Queensland – currently writing around 13% of new loans– we weren’t doing a good enough job in meeting customer needs in the deposits space,” Mr Donaldson said.
“We needed to implement a strategy to develop a suite of deposit products that were much more competitive in the market and headed by one flagship product that would blow the others out of the water.
“The Reverse Charges Account™ is that product, and is the latest and most effective we have implemented during the overhaul of our deposit suite.
“Our other big successes in this market were our high-yield, full-access Cash Management Account, awarded the Gold Medal in the Money magazine’s 2006 ‘Best of the Best’ Awards, and the re-pricing of many of our Term Deposits,” Mr Donaldson said.