UBank drops savings rates in response to March RBA cut
UBank customers who logged onto their banking app today might be dismayed to learn the online bank will be cutting rates across its range of deposits.
Effective 9 March, base rates for the Personal USaver, USaver SMSF and USaver Reach will be reduced by 0.25%. Bonus rates will remain unchanged.
That means the maximum rate customers will receive when pairing the USaver with the Ultra Transaction Account will drop to 1.85% p.a., assuming account holders are able to meet the monthly bonus rate criteria.
UBank savings account changes - 9 March
- Rates for the Personal USaver have been cut by 0.25%. It will now offer interest rates of 0.79% p.a.
- Rates for the USaver SMSF have been cut by 0.25%. It will now offer interest rates of 1.05% p.a.
- Rates for the USaver Reach Account have been cut by 0.25%. It will now offer interest rates of 1.30% p.a.
With UBank announcing it will be passing on the full 0.25% cut to its variable rate home loan customers following last week’s RBA decision, many have been bracing for savings accounts to be cut in kind.
Thankfully, rates for the USaver with Ultra Transaction Account are still much higher than the average ongoing savings rate across accounts tracked by Mozo, which currently sits as 0.98%. Among the big banks it’s even lower — 0.57%.
What about term deposits?
Unfortunately, UBank’s term deposits haven’t been spared either. The online bank will be cutting rates for personal and SMSF customers by 0.10%, save for 6 month investment options, which will see a reduction of 0.15%. Once in place, UBank’s term deposit rate sheet will look like this:
| Term | Cut | New rate |
|---|---|---|
| 1 Month | -0.10% | 0.95% |
| 2 month | -0.10% | 1.10% |
| 3 month | -0.10% | 1.60% |
| 4 month | -0.10% | 1.60% |
| 5 month | -0.10% | 1.55% |
| 6 month | -0.15% | 1.55% |
| 7 month | -0.10% | 1.55% |
| 8 month | -0.10% | 1.55% |
| 9 month | -0.10% | 1.55% |
| 10 month | -0.10% | 1.50% |
| 11 month | -0.10% | 1.50% |
| 12 Months (Interest paid at maturity) | -0.10% | 1.50% |
| 12 Months (Interest paid monthly) | -0.10% | 1.40% |
To see how those rates compare to other offers on the market, be sure to visit our term deposit comparison page. And if you want to see how the USaver now stacks up against other high interest savings accounts, have a browse of our savings account comparison page.
Savings account comparisons on Mozo
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- BPay, Branch access, Phone banking, Internet banking
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High Interest Savings Account
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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. No Account keeping fees. No minimum balance. Support Aussie farmers with every dollar you save.
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Reward yourself with a higher rate for your good savings habits with the Rabobank High Interest Savings Account. No Account keeping fees. No minimum balance. Support Aussie farmers with every dollar you save.
- Maximum rate
- 5.75% p.a. (for $0 to $250,001)
- standard interest rate
- 4.40% p.a.(for $0 to $250,001)
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- Yes up to $250,000
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- $0.00
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- 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.
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- Internet banking
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- $0.00
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Read our Mozo Review to learn more about the Rabobank High Interest Savings Account
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Mozo experts choice awards won:
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Savings Maximiser
5.50% p.a. (for $0 to $100,000)
0.55% p.a.(for $0 and over)
Yes up to $250,000
Deposit $1,000 into a personal ING account, make 5 eligible transactions with a linked Orange Everyday account and grow the balance each month.
Great variable rate every month when you grow your balance each month in addition to other eligibility criteria. No ING fees to pay. Save even more with ING Everyday Round Up. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
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Great variable rate every month when you grow your balance each month in addition to other eligibility criteria. No ING fees to pay. Save even more with ING Everyday Round Up. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
- Maximum rate
- 5.50% p.a. (for $0 to $100,000)
- standard interest rate
- 0.55% p.a.(for $0 and over)
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- Yes up to $250,000
- account fee per month
- $0.00
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- Access
- Phone banking, Internet banking
- Minimum balance
- $0.00
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Read our Mozo Review to learn more about the ING Savings Maximiser
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MoneyMAX Account
No Current Offer
4.75% p.a.(for $1 and over)
Yes up to $250,000
Unlimited access 24/7 via Banking App, Phone & Internet Banking. Interest is calculated daily and paid monthly. No transaction fees or monthly service fees. No minimum balance or withdrawal restrictions. Online access only.
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Unlimited access 24/7 via Banking App, Phone & Internet Banking. Interest is calculated daily and paid monthly. No transaction fees or monthly service fees. No minimum balance or withdrawal restrictions. Online access only.
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- Yes up to $250,000
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Savings Accelerator
3.55% p.a. (for $0 to $50,000)
2.85% p.a.(for $0 to $50,000)
Yes up to $250,000
New customers receive an introductory bonus 0.70% p.a. variable kick starter rate for the first 4 months on balances up to $500,000.
Enjoy the flexibility to access your funds with no monthly deposit requirements or lock-in terms. No ING fees to pay. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
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Enjoy the flexibility to access your funds with no monthly deposit requirements or lock-in terms. No ING fees to pay. Mozo Experts Choice Awards Everyday & Savings Bank of the Year winner for 2024.^
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- Govt Deposit Guarantee
- Yes up to $250,000
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- New ING personal savings customers receive an introductory bonus 0.70% p.a. variable kick starter rate for the first 4 months on balances up to $500,000. Reverts to variable ongoing rate.
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