Whether it’s buying a car, funding a European adventure or moving out, chances are most Aussies have a savings goal in their sights for 2019.
But with many savings account rates at depressingly low levels, finding a rewarding place to stash your cash has been a challenge in recent years.
The Bank of Queensland (BOQ) may just have a solution though - especially for younger Aussies.
Released today, the BOQ Fast Track Starter Account is offering savers between the age of 14-24 the chance to earn a whopping ongoing bonus rate of 4.00% when they deposit $200 a month into a linked Day2Day Plus Account.
The Fast Track Starter also comes with no monthly account keeping fees, though the ongoing bonus rate only applies to balances up to $10,000. After that, savers will receive an ongoing bonus rate of 2.80%.
RELATED: Mozo’s savings advent calendar: 18 savings tips to get you to December 25
“It’s a good rate, and for students, trainees and other savers who are just starting out the $10,000 limit is probably not going to be a problem,” said Mozo Product Data Manager, Peter Marshall.
“It’s also an opportunity for BOQ to start to building relationships with younger customers. People are generally creatures of habit, so once we become familiar with a bank we’re likely to stick with them unless they do something to upset us.”
Over 25’s not left out
While the bumper 4.00% interest rate is reserved for 14-24 year olds, BOQ haven’t forgotten about older savers in their new savings account launch.
At 2.80%, the Fast Track Saver Account (for 25’s and over) features one of the highest ongoing savings account bonus rates currently in the Mozo database.
Savers will need to meet a minimum deposit requirement of $1,000 each month into a linked Day2Day Plus Account to get the bonus rate though, otherwise they’ll earn the 0.50% base rate instead.
To put the Fast Track Saver Account rate of 2.80% in context, it currently ranks as the equal fourth highest ongoing savings account bonus rate in the Mozo database and sits 53 basis points higher than the average 2.27% ongoing bonus rate currently in the Mozo database.
High ongoing savings account bonus offers
But what kind of difference would stashing your savings in a high interest account like BOQ’s have compared to an average rate? Depending on your balance, it could be substantial.
Let’s use regular saver Emily as an example. Emily currently has a savings account balance of $10,000 of which she consistently adds $100 a week to in the way of regular deposits.
According to the Mozo savings calculator, if Emily was earning the average ongoing bonus rate currently in the Mozo database of 2.27% she would end up with a balance of $38,821 after five years.
However, that closing balance would rise to $39,496 (a $675 difference) if she was able to meet the monthly requirements needed to earn BOQ’s 2.80% bonus rate offer.
RELATED: Are you one of the 1.3 million Australians with this New Year's resolution?
Want to read up on all the features of the Bank of Queensland’s Fast Track Start and Saver accounts? Check out our reviews for 14-24 year olds and those 25 and over, or if you’re eager to grab a great rate right now then check out some of the offers below.