As Aussies spend less, savings rates come into focus

People holding up a bar graph to show their good savings accounts

The high cost of living continues to bite Aussies which has seen them hold their money and pull back on everyday spending.

Among the higher costs are average fuel prices, which have gone up by 17 cents to $1.82 per litre in the last month, according to Westpac’s latest Consumer Sentiment report.

Electricity bills are on the rise too, with possible rate increases of as much as 25% along the eastern states. 

As the essentials become more expensive, it’s no wonder Australians are spending less in retail generally, with a 0.5% decline in the June quarter. 

Interestingly, this makes it the third consecutive quarterly fall in spending.

But if people are spending less, what does this mean for their savings levels? Presumably many more people are looking to better manage their money and save more.

A good time to build up your savings account

The RBA may decide to leave the official cash rate as is in September, Westpac notes, so this may help consumer confidence. 

More confidence and lower inflation would be welcome but as suggested, now might also be a good time to improve your savings until things settle down.

So if you’re focused on growing your rainy day fund, it might be time to research and be picky about your savings account. As of August, some high interest savings accounts have gone up to and even past 5.00% p.a., which is rather good. Some of the best available rates in the Mozo database are notably higher, up to 5.50% and 5.65%.

Compare savings accounts

If you’re ready to look into a high interest savings account, check out some of the best savings accounts that our experts at Mozo have tracked. You can also start comparing your top picks below!

Savings account comparison table - last updated 20 May 2024

Search promoted savings accounts below or do a full Mozo database search. Advertiser disclosure
  • Mozo Expert Choice Badge
    High Interest Savings Account

    5.75% p.a. (for $0 to $250,001)

    4.40% p.a.(for $0 to $250,001)

    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    Reward yourself with a higher rate for your good savings habits with the Rabobank High Interest Savings Account . Receive the maximum rate when you grow your balance by at least $200 each month. No Account keeping fees. No minimum balance.

    Compare
    Details
  • Savings Account

    5.35% p.a. (for $0 to $250,000)

    4.75% p.a.(for $0 to $1,000,000)

    Yes up to $250,000

    Bonus variable rate is available for the first four months.

    Competitive introductory variable rate for first 4 months (on deposits up to $250,000). No account keeping fees to pay. Multiple 2023 Mozo Experts Choice Award winner.

    Compare
    Details
  • Mozo Expert Choice Badge
    AMP Saver Account

    5.40% p.a. (for $0 to $250,000)

    1.20% p.a.(for $0 to $5,000,000)

    Yes up to $250,000

    Enjoy a bonus rate when you deposit at least $1000 per month with the AMP Saver Account.

    No account fees. Unlimited transactions when linked to an AMP Bank transaction account. Easy online access to your money. Option to link your savings account to an everyday transaction account. 2024 Mozo Experts Choice Award winner.

    Compare
    Details
  • High Interest Save Account

    5.10% p.a. (for $0 to $250,000)

    0.10% p.a.(for $0 and over)

    Yes up to $250,000

    Deposit at least $200 to either Spend, Bills or Save account from an external source each month.

    No monthly fees on any of your save accounts. Split your money with up to 10 Save accounts. Set savings targets and track the progress of all your Save accounts. Deposits guaranteed up to $250K per customer.

    Compare
    Details

^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.