Another cut? UBank drops savings rates by 0.31%

The USaver with Ultra Transaction Account will lose a little bit of its glimmer today, as UBank joins a growing list of banks that have reduced savings account rates following last week’s RBA cut.

While bonus rates available on the account will remain the same, the online bank has cut standard rates for its USaver Account by 0.31%, bringing it down from 1.35% p.a. to 1.04% p.a.

That leaves the maximum rate customers can receive when pairing the USaver with the Ultra Transaction Account at 2.10% p.a., so long as they meet the bonus rate criteria by depositing at least $200 into either account each month.

UBank deposit changes - 11 October

  • Standard rates for the USaver with Ultra were reduced by 0.31%. It now offers interest rates of 1.04% p.a., or 2.10% if monthly conditions are met.
  • The USaver Reach Account, which is available for 18 to 29 year olds, was reduced by 0.31%. It now offers interest rates of 1.55% p.a.
  • The USaver SMSF was reduced by 0.31%. It now offers interest rates of 1.30% p.a.

UBank is not alone in lowering rates for savers. One week on from last week’s RBA cut, we’re starting to see more and more banks take the axe to savings accounts, leaving many savers feeling hung out to dry. 

How do UBank’s savings rates stack up now?

Given all the talk of cheaper home loans following this month’s RBA decision, it’s easy to forget that when deposit-taking institutions make cuts to home loan rates, their savings accounts are usually cut in kind.

Since UBank passed on the full 0.25% cut this month - making it one of only three lenders to do so on all three occasions this year - it was only a matter of time before it started hacking away at savings rates.

And while today’s cuts are a bit steeper than those it applied to home loans, rates for the USaver with Ultra Transaction Account are still among the highest in our database. 

At the time of writing, the average ongoing bonus rate on a $10,000 balance is 1.73%. And among the big banks it sits at just 1.50% - much lower than the 2.10% on offer from UBank.

If you’re wondering how the USaver with Ultra Transaction Account stacks up against others savings accounts on the market, be sure to visit our savings account comparison page, or check out the selection below.

Savings account comparisons on Mozo - last updated 18 September 2021

Search promoted savings accounts below or do a full Mozo database search. Advertiser disclosure
  • Boost Saver with Go Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.50% p.a. (for $0 to $250,000)
    0.10% p.a.(for $0 and over)
    Yes up to $250,000

    Intro bonus rate of 1.50% for first 3 months, reverting to 1.20% after. Deposit $2,000 each month and make 5 eligible payments from your Go Account. If you are between 18 and 25 deposit $1,000.

    Enjoy a savings account bundled with a spending account. No monthly fees. New customers can earn up to 5000 bonus Virgin Money points on purchases (conditions apply). Benefit together with a joint account

    Details
  • Mozo Expert Choice Badge
    Bonus Saver Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.10% p.a. (for $0 to $250,000)
    0.05% p.a.(for $0 and over)
    Yes up to $250,000

    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.

    Winner of a Mozo Experts Choice Award 2021 in the Regular Saver category. No monthly account fees and no minimum balance requirements.

    Details
  • 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 $250,000

    Bonus rate for the first 4 months from account opening

    No account keeping fees. No minimum balance required. Unlimited phone and internet transactions.

    Details
  • Grow Saver
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    0.65% p.a. (for $0 and over)
    0.10% p.a.(for $0 and over)
    Yes up to $250,000

    Make at least 1 deposit and no more than 1 withdrawal, including internal transfers or external payments.

    Earn a maximum interest rate of 0.65% per year. Pay no monthly fees. Set up in-app savings goals. Benefit with joint account options.

    Details
  • 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 $250,000

    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.

    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.

    Details
  • WebSavings Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.00% p.a. (for $2,000 and over)
    0.05% p.a.(for $2,000 and over)
    Yes up to $250,000

    Bonus rate for the first 4 months from account opening on balances over $2,000 only, available to new customers only.

    A high interest savings account that still lets you access your cash, no monthly account keeping fees and top up as many times as you like.

    Details
  • Savings Maximiser
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.35% p.a. (for $0 to $100,000)
    0.05% p.a.(for $0 and over)
    Yes up to $250,000

    For customers who have an Orange Everyday and in each month deposit at least $1,000 into a personal ING account, make at least 5 settled card purchases using the linked ING debit card and grow the account balance.

    No ING fees. Great variable rate every month when you grow your balance each month in addition to other eligibility criteria.

    Details
  • High Interest Savings Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.35% p.a. (for $0 to $250,001)
    0.25% p.a.(for $0 to $250,001)
    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    Kick start your savings with the 4 month introductory variable rate. No fees, no minimum balance, no minimum monthly deposit and no minimum term.

    Details

^See information about the Mozo Experts Choice Savings Account Awards

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