The Australian business banking sector is the latest to benefit from an increasingly competitive banking industry, with the launch of a revolutionary new everyday banking account for SMEs.

Following on from the increased competition in the Retail Banking sector and the changes in fee structures in this area, Bank of Queensland has announced a simplified, low-fee business banking product.

In a first for Australian banking, BOQ’s Everyday Business Account offers one low monthly account maintenance fee with FREE BOQ withdrawal transactions.

The launch of the new product reinforces BOQ Managing Director David Liddy’s commitment to the SME market, which had been ‘ignored by the major banks for too long’.

Mr Liddy said that the new product would revolutionise the way banks structured their fees on business accounts, and assist BOQ’s push to become a major contender in this market.

“With our new Everyday Business Account, we are offering SME customers something no other financial institution is – a product that they can use for their everyday banking with significantly fewer fees to worry about.

“This is a first in the banking industry and feedback we’ve received through market research has been very positive. 

“We believe that the launch of this new product will make the other banks sit up and take notice, and will revolutionise the way banks price their business transaction accounts. 

“The first visible sign of the increase in competition occurred when all of the banks simplified the way they charge their retail customers fees, and our new product brings the same transparency, low cost, simplicity and convenience to the business sector.

“We are also introducing a highly competitive new Business WebSavings Account, which we believe will be very well-received in the SME market.”

The Business WebSavings Account offers customers high interest on balances over $10,000, with in-branch and Internet Banking access.

The two accounts will spearhead the Bank’s aggressive SME acquisition strategy and, BOQ hopes, make it a national leader in this space.

“As no other financial institution currently ‘owns’ this space, we believe that these two new products will make us the obvious choice when SME customers come to review their banking arrangements,” said Mr Liddy.

“We believe our new product offering and our personalised customer service are truly a winning combination.”

The announcement by BOQ comes in the wake of research by East & Partners which found that business banking sentiment fell 0.9 index points in August to a score of 43.8 out of 100. 

Bank of Queensland was one of the few banks to buck this trend, actually improving its sentiment score during this same period.

BOQ’s two new products are supported by a recently upgraded Internet Banking offering, and an alliance with Keycorp to replace, and then provide managed payment services for the Bank’s entire fleet of EFTPOS terminals.

*As rated by CANNEX.

Product snapshot

• Everyday Business Account
• FREE BOQ withdrawal transactions*
• One low monthly account maintenance fee
• Can be packaged into Business Privileges Package with a Business Term Loan
• No interest paid on account
• Full access

Business WebSavings Account™

• Earn high interest on balances from $10,000
• In-branch and Enhanced Internet Banking access only
• Interest rates are tiered:

Fees