Mozo Money Moves: RBA rate cuts on the horizon, fixed home loans slashed, side-by-side savings comparisons and more

Welcome to Mozo Money Moves, your weekly round-up of what’s moving your money and shaping your financial decisions.

This week, the rate outlook has taken a sharp turn, with markets pricing in as many as three RBA rate cuts by year’s end. Fixed home loan rates are already on the slide as lenders jostle for position, and in the savings space, Up is overhauling its account structure while ME pares back its term deposit range ahead of a planned digital relaunch.

We’ve also seen fresh results from our ‘versus’ comparison series across savings, car insurance and superannuation, plus Mozo’s credit card crown goes to American Express. 

Let’s get into it.

RBA rate cut bets grow as inflation slows

Slowing inflation across Australia has bolstered confidence that the Reserve Bank of Australia (RBA) could deliver up to three rate cuts before the end of 2025, with markets pricing in around a 0.75 percentage point easing by December.

Inflation data for the June quarter came in much softer than anticipated. Headline CPI rose just 0.8%, bringing annual inflation down to 2.1%, while the trimmed mean – the RBA’s preferred measure of core inflation – slowed to 2.7%, the lowest since December 2021. That marked the second consecutive quarterly measure within the RBA’s 2–3% target band.

Hauser’s cautious optimism

Speaking at the Barrenjoey Economic Forum on Wednesday, RBA deputy governor Andrew Hauser described the softer June quarter inflation figures as “very welcome”, while stressing policy must remain data‑dependent. He said the bank is “in a better place to look forward” on potential easing, with inflation returning to the 2-3 percent target range faster than expected and a relatively resilient jobs market giving policymakers more room to manoeuvre.

What could happen next?

Notable rate changes this week

Recent updates across several financial products show a mix of decreases and some increases in interest rates. Here's a breakdown of the standout changes on Mozo’s database.

Fixed home loan changes for owner‑occupiers

Source: Mozo database. Selected fixed rate changes from 28 July to 1 August, 2025. Eligibility requirements may apply.

Variable home loan changes for owner‑occupiers

Source: Mozo database. Selected variable rate changes from 28 July to 1 August, 2025.

*WARNING: The comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. The comparison rate displayed is for a secured loan with monthly repayments for $150,000 over 25 years. Comparison rates for fixed interest only loans are based on an initial interest only period equal in terms to the fixed period.

Savings account changes

Source: Mozo database. Selected savings account rate changes from 28 July to 1 August, 2025.

Term deposit rate changes

American Express claims Mozo credit card crown

Credit card heavyweight American Express has dominated the 2025 Mozo Experts Choice Awards for credit cards, taking out the coveted title of Australia’s Best Credit Card Provider and sweeping up an impressive 11 awards in total. That made Amex the most successful of the 63 credit card issuers assessed head‑to‑head by Mozo’s expert judging panel.

Amex’s generous points earn rates, flexible redemption options and exclusive perks helped it stand apart from the competition.

But the wins didn’t stop there. “While the company is synonymous with rewards credit cards, what might be surprising is that the Low Rate Credit Card also ranked among the top ‘no annual fee’ cards in the market according to our analysis,” Mozo Awards Judge, Peter Marshall said.

While annual fees on some American Express cards remain higher than those of many competitors, Mozo’s judges found that the rewards potential and premium extras more than justify the cost for those who make the most of their card benefits.

Savings showdown: our new ‘versus’ series

Mozo has kicked off a new series of head‑to‑head comparisons, pitting some of Australia’s most popular savings, insurance and super products against each other.

• ING vs AMP Bank GO: Comparing ING’s conditional Savings Maximiser with AMP Bank’s unconditional GO Save, exploring which type of saver each suits best.
• Rabobank vs ubank: How Rabobank’s High Interest Savings Account stacks up against ubank’s Save account, including rate tiers, conditions and balance limits.
• Aware Super vs AustralianSuper: Analysing fees, investment performance and member benefits from two of Australia’s largest super funds.

These pieces are designed to help you quickly weigh your options, so you can match products to your personal needs rather than relying on headline rates or prices alone.

Gateway Bank has the Edge with new high-interest transaction account

Gateway Bank’s Edge Transaction Account is one of the very few everyday accounts in Australia offering meaningful interest while keeping your money fully accessible. From 1 August to 1 November 2025, eligible customers can earn a total rate of 4.00% p.a. on balances up to $100,000 – combining the standard rate, bonus interest and a limited‑time promotional boost.

The Edge account offers unlimited deposits and withdrawals, everyday access with Australia’s first plant‑based Visa Eco debit card, and 24/7 online and app banking. You can credit your salary, pay bills with BPAY®, or set up direct debits with no monthly account fees. Under Gateway’s Ethical Banking & Investment Policies , your deposits are not used to finance industries or activities that cause significant environmental harm.

Up savings shake‑up: Grow vs Flow

Aussie provider Up has announced a major change to its savings accounts, splitting them into two tiers from 1 September 2025:

• Grow rate: 4.85% p.a. for accounts with no withdrawals and at least five eligible card purchases per month.
• Flow rate: 1.50% p.a. for accounts with withdrawals (same purchase requirement applies).

Up customers can set up multiple “buckets” for specific goals, locking away some while keeping others accessible. The move adds a withdrawal condition to what was previously just a spend‑based bonus. In contrast, the newly released AMP Bank GO Save account stands out for offering a competitive 4.50% p.a. savings rate with no conditions at all.

Smaller lenders target investment property market

With the RBA now in a rate‑cutting cycle, borrowing capacity is improving for property investors.

But if you’re shopping around for an investment home loan, you might be surprised to find that some of the sharpest rates aren’t from larger providers like ANZ, CommBank, NAB and Westpac.

Right now, the average Big Four investor loan (principal and interest) sits at 6.77% p.a. – that’s 1.28% p.a. higher than the most competitive rate in Mozo’s database at 5.49% p.a.^.

More often than not, it’s the leading alternative lenders offering the most attractive investor rates, often sweetening the deal with perks such as loyalty discounts, offset accounts and minimal fees.

So, if you want your investment dollars to work harder, we’ve reviewed and rounded up some of the standout lenders offering competitive investment loans worth a closer look.

^Source: Mozo database on 1 August, 2025. Variable investment home loan rates with 80% LVR, making principal and interest repayments on a $500,000 loan.

ME trims term deposit range ahead of relaunch

ME has temporarily withdrawn term deposits longer than six months as it prepares to launch a new digital term deposit product. For now, customers can only access terms up to 6 months. Savers seeking longer lock‑ins may want to compare offers from other banks, with Mozo’s term deposit page still showing rates up to 4.45% p.a. for select terms.

Banking market wrap for July 2025

Mozo’s latest Banking Roundup shows the market shifting quickly ahead of potential RBA rate cuts later this year. Fixed home loan rates are falling fast, term deposits are losing altitude, and savings rates are starting to follow suit.

Home loans

More fixed rates are now starting with a ‘4’, as lenders including BankVic, Greater Bank, Hume Bank and Police Credit Union cut between 36 and 90 basis points. The number of variable rates under 5.50% p.a. is growing, suggesting competition is heating up even before official cuts.

Term deposits

Rates across most terms are trending lower, with best‑in‑market 12‑month offers slipping into the mid‑3% range. Interest rates above 4% are disappearing, and reductions of 5-40 basis points were common throughout the month.

Savings accounts

Most bonus rates fell by 10-45 basis points, with major banks and smaller lenders trimming across the board. Some, like NAB, softened penalties for missed conditions, but the general trend is downward.

Credit cards and personal loans

Rewards cards saw changes to bonus points and cashback offers, while several personal loan providers shaved 25-100 basis points from fixed and unsecured rates.