BankVic CEO Anthony De Fazio
A higher margin and a healthy lift in new lending produced a 33 per cent rise in net profit for BankVic over the year to June 2023.
This reflected “strong home loans growth and higher margins where deposits reprice has been slower than home loans,” BankVic told members, who are drawn from Victoria’s police service and emergency services.
BankVic held back 25 basis points of home loan repricing, relative to the lifting in cash rates over the year.
“We didn’t pass on all the rises, for five consecutive months we didn’t pass them on in full,” CEO Anthony De Fazio told Banking Day.
“We’ve returned to our bond; our purpose as the police bank and emergency services.
“We’ve seen that in the numbers over a five year period.
“We doubled assets from $1.5 billion to $3 billion in five years, then grown to $4 billion in four years.”
BankVic has around 120,000 members.