This week in banking - 320,000 Aussies defer mortgage repayments and 5 other things you don’t want to miss!
- Home loan deferral boom: 320,000 apply for repayment relief
- 2020 Mozo Experts Choice Awards: International Money Transfer winners!
- As NSW restrictions lift, on-site auctions to recommence
- 27% of Aussie credit cards holders aren’t happy with their plastic
- Energy price cuts due to COVID-19
- April snapshot: what happened in savings account, term deposits and home loans
All in this week’s banking recap.
320,000 Aussies defer home loan repayments amid pandemic
According to recent data released by the Australian Banking Association (ABA), 320,000 Australians have applied for mortgage deferrals due to COVID-19.
Since March, banks have been offering financial relief packages to customers affected by the pandemic, some of which include repayment deferrals up to six months.
The latest numbers also showed that 170,000 businesses deferring business loans and an additional 37,000 borrowers freezing repayments across other loan types.
This totalled to an estimated $6.8 billion in loan repayment deferrals.
Read full article: COVID-19 property moves: 320,000 Aussie homeowners defer mortgages to find out what ABA chief executive Anna Bligh says about the latest stats.
International Money Transfer: 2020 Mozo Experts Choice Awards
This week, the 2020 Mozo Experts Choice Awards winners for international money transfer (IMT) were revealed, and the big banks weren’t among them.
Mozo’s expert judges analysed 30 different IMT providers for this year’s awards, including both bank and non-banks online specialists.
Topping the charts for best value International Money Transfer were SendFX, WorldFirst, and InstaRem.
But if you are a bank loyalist, the 2020 winner for best product offered by a bank was no other than Citibank!
Read full article: Mozo reveals best international money transfer providers for 2020 and check out expert judge Peter Marshall’s insights into this year’s winners.
On-site auctions to return in NSW
Following a six week pause, this weekend the NSW property industry will be resuming property inspections and on-site auctions.
While real estate agents had been finding online alternatives, like virtual property tours and auctions, the opportunity to go back to face-to face dealings is likely to be good news for them and home sellers.
During the weeks of lockdown, auction clearance rates dropped to below 40%, however this new change should help in boosting the confidence of the market.
Read full article: On-site auctions to recommence as restrictions ease in NSW to read what Mozo’s property expert Steve Jovcevski thinks about what the change will do to the state’s property market.
Feeling iffy about your current credit card? 27% of Aussies are too!
Earlier in the week, J.D. Power research released its 2020 Australia Credit Satisfaction Study, revealing that over a quarter of Aussie credit card holders aren’t happy with their plastic.
A large 27% of customers claimed they were dissatisfied with their current credit card, with 16% saying it no longer met their needs and 11% saying they need more credit.
19% of respondents said that as a result of the pandemic they can no longer pay their minimum monthly credit card repayment.
Read full article: Happy with your credit card? 27% of Aussies aren't during COVID-19.
COVID-19: Energy prices cut
Looking for a COVID-19 silver lining? We may have found one.
The Australian Competition and Consumer Commission (ACCC) revealed this week that wholesale electricity and gas prices have plummeted since the outbreak of COVID-19.
“One rare positive to come from this pandemic is that wholesale electricity and gas prices are falling significantly,” said ACCC chair, Rod Sims.
“As Australia comes out of this crisis we will need our energy prices to fall significantly if we are to have the recovery we need.”
Mr Sims says that with the latest price changes, the energy market needs to put further financial assistance in place to help struggling businesses that rely on energy.
Read full article: Energy price cuts: The one benefit of COVID-19 no one saw coming for some tips on how businesses can cut energy costs now.
April snapshot: savings accounts, term deposits and home loans
Amongst all the latest coronavirus updates, it can be hard to keep up with where interest rates are at across banking products.
So here’s a glimpse into what savings account, term deposits and home loans interest rates look like now:
| Savings Accounts | Average ongoing rate: 0.75% | Highest ongoing rate: 2.00% |
|---|---|---|
| Term Deposits | Average one year rate: 1.39% | Highest one year rate: 1.95% |
| Home Loans | Average variable rate: 3.44% | Lowest variable rate: 2.39% (2.39% comparison rate*) |
Read full articles for the full April round-up:
- April savings account snapshot: Further cuts leave BOQ sitting pretty at 2.00%
- Term deposits April snapshot: Judo Bank leads the way
- April home loans snapshot: Here's where fixed and variable rates now stand
Need to sort out your finances this month? Check out our May 2020 Financial Checklist, or take a look at some killer savings accounts on offer below!
Savings Accounts 2020
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Reward Saver Account
5.25% p.a. (for $0 to $1,000,000)
0% p.a.(for $0 and over)
Yes up to $250,000
Intro bonus rate of 5.25% for balances up to $1,000,000 for the first 4 months, reverting to 3.25%. Minimum deposit of $50 and no withdrawals.
Introductory bonus rate for balances up to $1,000,000 for the first 4 months. Minimum deposit of $50 and no withdrawals. Start your account online in under 10 minutes and earn interest on balances up to $1,000,000 (T&Cs apply). No monthly account fees, helping you save smarter and faster.
CompareCompareReward Saver Account
Introductory bonus rate for balances up to $1,000,000 for the first 4 months. Minimum deposit of $50 and no withdrawals. Start your account online in under 10 minutes and earn interest on balances up to $1,000,000 (T&Cs apply). No monthly account fees, helping you save smarter and faster.
- Maximum rate
- 5.25% p.a. (for $0 to $1,000,000)
- standard interest rate
- 0% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Intro bonus rate of 5.25% for balances up to $1,000,000 for the first 4 months, reverting to 3.25%. Minimum deposit of $50 and no withdrawals.
- Access
- ATM, EFTPOS, Visa Debit, Cheque book, BPay, Branch access, Phone banking, Internet banking, Bank@Post
- Minimum balance
- $0.00
- Other restrictions
- -
Read reviews and learn more about IMB Bank savings accounts
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Bonus Saver
5.00% p.a. (for $0 and over)
1.00% p.a.(for $0 and over)
Yes up to $250,000
Bonus interest for the first four months from the account opened date. No minimum balance required. No monthly or ongoing fees or withdrawal penalties. Manage your money easily via phone or online banking or via the BCU Bank app.
CompareCompareBonus Saver
Bonus interest for the first four months from the account opened date. No minimum balance required. No monthly or ongoing fees or withdrawal penalties. Manage your money easily via phone or online banking or via the BCU Bank app.
- Maximum rate
- 5.00% p.a. (for $0 and over)
- standard interest rate
- 1.00% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Bonus rate for the first 4 months from account opening.
- Access
- BPay, Branch access, Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- -
Read reviews and learn more about BCU Bank savings accounts
-
Mozo experts choice awards won:
- High Interest Savings - 2024
Savings Maximiser
5.50% p.a. (for $0 to $100,000)
0.55% p.a.(for $0 and over)
Yes up to $250,000
Deposit $1,000 into a personal ING account, make 5 eligible transactions with a linked Orange Everyday account and grow the balance each month.
Great variable rate every month when you grow your balance each month in addition to other eligibility criteria. No ING fees to pay. Save even more with ING Everyday Round Up. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
CompareCompareSavings Maximiser
Great variable rate every month when you grow your balance each month in addition to other eligibility criteria. No ING fees to pay. Save even more with ING Everyday Round Up. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
- Maximum rate
- 5.50% p.a. (for $0 to $100,000)
- standard interest rate
- 0.55% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- For customers who deposit $1000 from an external source into a personal ING account (excluding Orange One and Living Super), make 5 eligible transactions and grow their nominated Savings Maximiser account each month so there is more in the account at the end of the month than there was at the start of each month (excluding interest). The total bonus interest rate is available on balances up to $100,000 on one Savings Maximiser the next month after meeting eligibility.
- Access
- Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must be linked to an Orange Everyday transaction account to receive the bonus rate. Where multiple Savings Maximiser Accounts are held, the bonus rate is only applied to one nominated account.
Read reviews and learn more about ING savings accounts
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Online Savings Account
5.20% p.a. (for $0 and over)
1.00% p.a.(for $0 and over)
Yes up to $250,000
Bonus rate for the first 3 months from account opening.
Complement your banking with an introductory bonus rate offer. Earn additional bonus interest for the first 3 months. No minimum monthly deposit required to earn interest. No account keeping fees. No minimum opening balance. Manage your account 24/7 using the app.
CompareCompareOnline Savings Account
Complement your banking with an introductory bonus rate offer. Earn additional bonus interest for the first 3 months. No minimum monthly deposit required to earn interest. No account keeping fees. No minimum opening balance. Manage your account 24/7 using the app.
- Maximum rate
- 5.20% p.a. (for $0 and over)
- standard interest rate
- 1.00% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Bonus rate for the first 3 months from account opening.
- Access
- BPay, Branch access, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Branch access is for deposits only. Must be linked to an Everyday Account, Home Loan or Credit Facility with this provider.
Read reviews and learn more about Newcastle Permanent savings accounts
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Bonus Saver Account
5.00% p.a. (for $0 to $250,000)
0.05% p.a.(for $0 and over)
Yes up to $250,000
Deposit at least $20 each month and make 5 Visa Debit transactions with a linked Glide account.
Open a Bonus Saver Account in under 5 minutes. There are no fees to pay or penalties for withdrawing money. Get a seamless personalised insights and online statements via the My State Bank app.
CompareCompareBonus Saver Account
Open a Bonus Saver Account in under 5 minutes. There are no fees to pay or penalties for withdrawing money. Get a seamless personalised insights and online statements via the My State Bank app.
- Maximum rate
- 5.00% p.a. (for $0 to $250,000)
- standard interest rate
- 0.05% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Bonus rate when at least $20 is deposited each month and five Visa Debit transactions are made each month using linked Glide transaction account.
- Access
- Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must link to a transaction account
Read reviews and learn more about MyState Bank savings accounts
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PremiumSaver
5.35% p.a. (for $0 to $250,001)
1.45% p.a.(for $0 and over)
Yes up to $250,000
Increase balance by $200 by the end of each month
Reward yourself with a higher rate for your good savings habits. Rabobanks’s PremiumSaver is simple - receive the maximum rate when you grow your balance by at least $200 each month (T&Cs apply). Plus, your savings help our Aussie farmers produce the food we love to enjoy.
CompareComparePremiumSaver
Reward yourself with a higher rate for your good savings habits. Rabobanks’s PremiumSaver is simple - receive the maximum rate when you grow your balance by at least $200 each month (T&Cs apply). Plus, your savings help our Aussie farmers produce the food we love to enjoy.
- Maximum rate
- 5.35% p.a. (for $0 to $250,001)
- standard interest rate
- 1.45% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Maximum rates apply when your closing balance on the last day of the month is at least $200 more than it was at the beginning of the first day of the month (excluding interest earned).
- Access
- Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must link to a transaction account. Must hold and maintain a HISA.
Read reviews and learn more about Rabobank savings accounts
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^See information about the Mozo Experts Choice Savings Account Awards
Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.
While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.