July savings account snapshot: How to protect your cash as savings rates plummet
The EOFY has come to a rather somber close for Australia’s savers, with savings account rates dropping across the board in June. According to Mozo’s database, the average ongoing savings rate is now 0.71% p.a.
It’s no surprise this average dropped by 3 basis points (bp) over the month. Every change to at-call deposit rates recorded by Mozo in June was a reduction, with two of the big banks trimming their offerings.
Westpac cut 5bp off its Life account, and 10bp from the eSaver introductory rate, bringing those rates to 1.00% and 0.95% respectively. Meanwhile, ANZ cut 15bp from its Progress Saver account (now 0.85%) and the Online Saver three-month introductory rate (now 0.80%).
While Macquarie slashed the introductory rate on its Savings Account by 39bp, now down to 2.26%, it is still the highest at-call deposit rate in the Mozo database. Check out the other rate leaders below*.
Account type | Current rate leaders | Rate | Conditions |
---|---|---|---|
Ongoing bonus | 86 400 Save Account | 1.85% | Deposit at least $1,000 monthly or the rate will revert to the base 0.25% |
Ongoing bonus | BOQ Fast Track Saver Account | 1.85% | Deposit a minimum $1,000 and make 5 transactions in a month or the rate will revert to 0.20% |
Ongoing bonus | Up Saver Account | 1.85% | Make 5 transactions a month, or the rate will revert to the base 0.10% |
Intro | Macquarie Savings Account | 2.26% | Customers will receive this rate for 4 months, after which it reverts to 1.35% |
Base | Volt Bank Savings Account | 1.65% | This rate is unconditional, and can be accessed on accounts holding up to $245,000 |
*rates accurate as of July 1
How can you keep your savings growing in the new financial year?
The ongoing barrage of rate cuts might be getting savers’ spirits down, but there are a few tricks to help bolster your savings stash.
Mozo banking expert Peter Marshall says those aiming for shorter-term goals, like financing a long weekend away or buying a new computer, should dig in, do the research and consider introductory offers.
“Be prepared to look around, look beyond the major banks and put in the effort to find out which rates you can take advantage. Perhaps introductory rates or ongoing bonus rates where you can meet conditions.”
Marshall also encourages long-term savers, perhaps those aiming to make a deposit on a property, not to lose heart and keep adding to their savings accounts
“Don’t forget about cumulative interest. An at-call deposit account generally gets paid interest every month, meaning whatever interest you do get goes straight into your account,” says Marshall.
“If you can leave it there, you're getting more interest on a larger balance the next month. The more you can do that, the more benefit you get from that cumulative effect.”
Whatever your savings plan is, it’s always important to develop and stick to a budget, and assess all your options. Start by checking out the savings accounts below.
Savings account options - last updated 29 March 2024
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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.
CompareCompareSavings Account
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.
- Maximum rate
- 5.35% p.a. (for $0 to $250,000)
- standard interest rate
- 4.75% p.a.(for $0 to $1,000,000)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Bonus variable rate is available for the first four months.
- Access
- BPay, Branch access, Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must have a Macquarie Transaction Account to link with.
Read our Mozo Review to learn more about the Macquarie Savings Account
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Mozo experts choice awards won:
- Kick Start Savings - 2024
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.
CompareCompareHigh Interest Savings Account
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.
- Maximum rate
- 5.75% p.a. (for $0 to $250,001)
- standard interest rate
- 4.40% p.a.(for $0 to $250,001)
- 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, reverting to standard variable rate. Rate shown is for Personal customers and is subject to change. Different rates apply to Business/SMSF customers.
- Access
- Internet banking
- Minimum balance
- $0.00
- Other restrictions
- Must link to a transaction account
Read our Mozo Review to learn more about the Rabobank High Interest Savings Account
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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 our Mozo Review to learn more about the IMB Bank Reward Saver Account
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Reward Saver
5.25% p.a. (for $0 to $100,000)
0.30% p.a.(for $0 and over)
Yes up to $250,000
Earn a high interest bonus rate if you hold an eligible transaction account and meet the bonus rate conditions (T&Cs apply). Only requires $1 to open. Free e-banking transactions. No monthly service fees to pay. Access your account via e-banking or the Bendigo Bank app. Not applicable to business customers.
CompareCompareReward Saver
Earn a high interest bonus rate if you hold an eligible transaction account and meet the bonus rate conditions (T&Cs apply). Only requires $1 to open. Free e-banking transactions. No monthly service fees to pay. Access your account via e-banking or the Bendigo Bank app. Not applicable to business customers.
- Maximum rate
- 5.25% p.a. (for $0 to $100,000)
- standard interest rate
- 0.30% p.a.(for $0 and over)
- Govt Deposit Guarantee
- Yes up to $250,000
- account fee per month
- $0.00
- Maximum rate conditions
- Grow your balance each month and must have linked Bendigo Everyday or Student Account to be eligible.
- Access
- BPay, Phone banking, Internet banking
- Minimum balance
- $0.00
- Other restrictions
- -
Read our Mozo Review to learn more about the Bendigo Bank Reward Saver
Your selected savings accounts
Your selected savings accounts
Your selected savings accounts
Your selected savings accounts
^See information about the Mozo Experts Choice Savings Account Awards
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