BOQ Business Overdraft

Information verified correct on December 11th, 2016

Bank of Queensland’s Business Overdraft helps bridge financial gaps without sacrificing your business’s working capital.

Bank of Queensland (BOQ) offers business owners a loan in the form of an overdraft facility attached to either a Business Management or Everyday Transaction account. The minimum loan amount is $10,000 with no maximum amount specified. You can access the loan through Internet banking, ATMs and through in-branch transactions. You also have the option to link the overdraft facility to a Visa debit card for international access.

This type of loan helps businesses cover unforeseen expenses without having to dig into their business capital. An application fee applies, but you pay no monthly fees for managing the loan.

How does the BOQ Business Overdraft work?

This is a flexible loan that you can access at any time, and that can be used for any business-related purpose. If you already have an Everyday Transaction or Business Management account, or are looking to open one, BOQ can open an overdraft facility attached to the account.

Through the overdraft, you can access funds up to an agreed-upon credit limit through Internet banking, ATMs and transactions conducted in person. All business loan applications must be made over the phone or at a BOQ branch and you will need to attach residential or non-residential security as collateral for the loan.

Features of the BOQ Business Overdraft

If your business needs a financial boost, here are some of the features of the Business Overdraft loan to consider:

  • Flexibility. This loan can be used for any purpose and there’s no maximum limit. However, you and BOQ will agree to a credit limit based on what your business can afford to repay.
  • Access. Besides access via BOQ and other ATMs, Internet banking and in-branch transactions, you can also access your loan with a cheque book and via EFTPOS points across Australia.
  • Secured option. You can choose to use residential or non-residential property as security (maximum loan/valuation ratio of 80% for residential security, 70% for non-residential security).
  • Business Visa debit card. This card allows increased access to the loan, especially when overseas or shopping wherever Visa is accepted.
  • Variable interest rate. You will pay variable interest on this loan and make monthly interest-only payments in arrears.

How much does the Business Overdraft cost?

These are some of the fees you’ll be charged for the Business Overdraft:

  • Application fee. This is equal to 0.75% of the loan amount and payable when you apply for the loan.
  • Agreed Credit Advance Fee. This fee is paid quarterly and amounts to 0.25% of the overdraft limit.
  • Cheque deposits. After five free cheque deposits, you will be charged a fee of $5 per deposit.
  • Security fees. You are charged a fee when more than one asset is required as security, as well as when you would like one of your assets released.

How to apply for the BOQ Business Overdraft

Online applications are not available for the Business Overdraft loan. If you’d like to open an overdraft facility through your business transaction account, you can phone the customer service line or visit a BOQ branch in person. You can also enquire online to have a representative from BOQ call you back.

As well as personal and company information, new business loan customers will also be asked to provide:

  • A current Australian driver’s licence
  • A valid Australian passport
  • A tax file number (optional)

Setting up an overdraft facility helps businesses plug financial holes without compromising working capital. Before signing up for any loan product, taking the time to compare interest rates and repayment options is a good way to decide whether or not your business can afford such a commitment.

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