Savings rates are horrible…and getting worse
NAB has cut the introduction rate on its iSaver account by 0.15 per cent and on its Reward Saver account by 0.11 per cent.
It doesn’t sound much but when savings account returns are so low to start with it is quite a hit… particularly when there has been no change to official interest rates.
According to RateCity, the returns from the Big Four Banks standard savings accounts are;
|Bank||Product Name||Base Rate||Intro Rate||Max Rate||Intro Term (months)|
|CBA||Net Bank Saver||0.10%||1.55%||1.65%||4|
Note: Max rate is the base and bonus added together
These accounts have no ongoing terms and conditions. They typically include an introductory period which offers bonus interest for several months, before dropping to a low ongoing rate.
Then there are the conditional savings accounts which require you to meet certain terms and conditions, such as one deposit a month and no withdrawals, in order to qualify for the bonus interest that month.
|Bank||Product||Base Rate||Bonus Rate||Max Rate||Conditions|
|CBA||Goal Saver||0.01%||0.89%||0.90%||Mthly deposit of $200, no withdraw|
|Westpac||Life||0.45%||1.20%||1.65%||Mthly deposit, account balance must have increased|
|NAB||Reward Saver||0.11%||1.39%||1.50%||Mthly deposit, no withdraw|
|ANZ||Progress Saver||0.01%||1.59%||1.60%||Min mthly deposit of $10, no withdraw|
Note: Note: Max rate is base and bonus added together
Rates based on balances less than $50,000. CBA offers higher rates for larger deposits.
Highest ongoing savings rates on RateCity.com.au
|Xinja||2.25%||Must have linked bank account|
|Up||2.25%||4 card purchases from everyday acct|
|86 400||2.25%||Deposit of $1000 in everyday acct|
|BOQ||2.15%||Deposit of $1000 in everyday acct|
|UBank||2.10%||Deposit of $250 in transaction acct|
Note: excludes kids savers and introductory rates.