86 400 and Up's rates the latest casualties of savings account slump
Compare high interest savings accounts - last updated February 26, 2021
Bonus Saver Account
Maximum rate
standard interest rate
Govt Deposit Guarantee
1.20% p.a. (for $0 to $250,000)0.10% p.a.(for $0 and over)Yes up to $250,000Bonus rate when at least $20 is deposited each month and five Visa Debit transactions are made each month using linked Everyday or Glide transaction accounts.
Winner of a Mozo Experts Choice Award 2021 in the Regular Saver category.^ No monthly account fees and no minimum balance requirements.
CompareCompareBonus Saver Account
Winner of a Mozo Experts Choice Award 2021 in the Regular Saver category.^ No monthly account fees and no minimum balance requirements.
- 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 Everyday or Glide transaction accounts.
- Access
- BPay, Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must link to a transaction account
Read our Mozo Review to learn more about the Bonus Saver Account
Serious Saver
Maximum rate
standard interest rate
Govt Deposit Guarantee
0.30% p.a. (for $0 to $1,000,000)0.15% p.a.(for $0 and over)Yes up to $250,000No withdrawals in the month. Bonus rate for first 4 months, reverting to 0.15% rate after*
$0 monthly account fee. Link to any Australian bank account.
CompareCompareSerious Saver
$0 monthly account fee. Link to any Australian bank account.
- account fee per month
- $0.00
- Maximum rate conditions
- No withdrawals in the month. Bonus rate for first 4 months, reverting to 0.15% rate after*
- Access
- Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- -
Read our Mozo Review to learn more about the Serious Saver
Flexi Saver
Maximum rate
standard interest rate
Govt Deposit Guarantee
0.25% p.a. (for $0 to $5,000,000)0.05% p.a.(for $0 to $5,000,000)Yes up to $250,000Increase balance by at least $300 in the month
No upfront or ongoing fees. Unlimited free transactions. Great for regular contributions.
CompareCompareFlexi Saver
No upfront or ongoing fees. Unlimited free transactions. Great for regular contributions.
- account fee per month
- $0.00
- Maximum rate conditions
- Increase balance by at least $300 in the month (excluding interest)
- Access
- BPay, Branch access, Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
Read our Mozo Review to learn more about the Flexi Saver
Online Saver
Maximum rate
standard interest rate
Govt Deposit Guarantee
1.10% p.a. (for $0 to $500,000)0.35% p.a.(for $0 and over)Yes up to $250,000Bonus rate for the first 4 months from account opening
No account keeping fees. No minimum balance required. Unlimited phone and internet transactions.
CompareCompareOnline Saver
No account keeping fees. No minimum balance required. Unlimited phone and internet transactions.
- account fee per month
- $0.00
- Maximum rate conditions
- Bonus rate for the first 4 months from account opening
- Access
- Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must link to a transaction account.
Read our Mozo Review to learn more about the Online Saver
Fast Track Saver Account
Maximum rate
standard interest rate
Govt Deposit Guarantee
1.05% p.a. (for $1 to $250,000)0.05% p.a.(for $1 and over)Yes up to $250,000Ongoing bonus rate applied if in the previous month $1,000 or more is credited to the linked Day2Day Plus account and 5 eligible transactions are made by the linked account.
Earn 1.05% p.a. Bonus Interest in the following month on your Fast Track Saver Account balance. Earn Bonus Interest on your savings, with no minimum balance required.
CompareCompareFast Track Saver Account
Earn 1.05% p.a. Bonus Interest in the following month on your Fast Track Saver Account balance. Earn Bonus Interest on your savings, with no minimum balance required.
- account fee per month
- $0.00
- Maximum rate conditions
- Ongoing bonus rate applied if in the previous month $1,000 or more is credited to the linked Day2Day Plus account and 5 eligible transactions are made by the linked account.
- Access
- BPay, Branch access, Internet banking
- Minimum balance
- $1.00
- Other restrictions
- Bonus interest rate criteria is effective from 1 February 2020.
Read our Mozo Review to learn more about the Fast Track Saver Account
Two of the highest ongoing savings account rates in Australia are being reduced again, with neobanks 86 400 and Up both dishing out the rate cut treatment this week.
86 400’s change comes into effect today, with the rate on its Save Account dropping by 15 basis points. That means savers who deposit at least $1,000 a month into the account will now be able to earn a maximum rate of 1.70%.
Meanwhile, Up will cut 25 basis points off the Saver Account rate tomorrow, leaving the maximum rate available for savers who make at least five purchases a month with a linked Up card at 1.60%.
According to Mozo Banking Expert, Peter Marshall, the cuts aren’t all that surprising given the competitive positions of both rates in the market
“Both of these brands are neobanks, but they’re also backed by more traditional organisations: Bendigo Bank in Up’s case, and Cuscal in 86 400’s case. So to some extent they’re both going to have to deal with whatever their parent organisations are going through - they can’t be completely shielded from it.”
“It would have been nice to see them hold out from a brand building perspective, but at the end of the day they’ve got to ensure that their businesses are viable in the long term, so there’s only so much they can absorb with frontrunning on rates.”
Savings returns slowly diminishing
Despite the changes, the new rates on offer from both 86 400 and Up still rank among the highest savings account rates in the Mozo database.
To put them into perspective, here’s a snapshot of the three highest ongoing savings account rates in the Mozo database available to Australians of all ages as of 14 July:
Rate | Monthly conditions | |
BOQ - Fast Track Saver | 1.85% (Up to $250k) | Min. $1k deposit into a linked BOQ transaction account |
ING - Savings Maximiser | 1.80% (Up to $100k) | Min. $1k deposit into a linked ING transaction account plus 5 card purchases |
1.80% (Up to $250k) | Min. 4 tap and go purchases with a linked ME debit card |
The general picture for savers hasn’t been a pretty one of late though, particularly for those who may not have switched to a more competitive rate in recent months.
In fact, the average ongoing savings account rate in the Mozo database is just now 0.70% - 59 basis points below the average rate of 1.29% in July 2019.
“Unfortunately for savers, rates have been crashing and there’s no sign of that ending anytime soon. However, many Australians will be relying on savings accounts as a safe place to park their cash at present,” said Marshall.
“Given that, and given the substantial difference between the offers at the top and bottom end of the market, it’s certainly worth reviewing your current rate - particularly if you’re holding a sizable balance.”
So just how much of a difference does the rate you’re on make to your balance?
Crunching the numbers using the Mozo savings calculator, here’s the difference on a $10,000 balance, assuming a regular deposit of $200/month, over three years:
1.85% rate: $768 total interest earned
0.70% rate: $286 total interest earned
RELATED: Westpac offers young Aussie savers a new market-leading interest rate
Ready to see how your current rate stacks up against some of the hottest on the market? Get started by checking out the offers in the table below, or pay a visit to our high interest savings account hub for even more great rates.
^See information about the Mozo Experts Choice Savings Accounts 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.