What does the RBA’s June hike mean for savers?

Despite many thinking there would be a pause, the RBA has once again hiked the cash rate, raising it up to 4.10% at the June meeting. For borrowers, that means more pain. However, if you’re only a saver, now may be a particularly advantageous time. 

So, the question is, how can savers take advantage of the situation?

How savers can take advantage of the RBA’s rate hike

So how can savers make the most of things? 

One important thing to look out for are announcements from banks for which interest rates they’re planning on hiking. For savers, this means looking out for term deposit and savings account hikes.

Another thing to keep in mind is that you’ve got your finances in order. Due to tougher economic conditions, savers will probably have to tighten their belts to maintain their regular deposits. 

Something to consider is have you made yourself a realistic budget and set your financial goals? Not only do these things help you keep on track but can also help you see where overspending may be occurring.

Remember, for compound interest to take effect, you need also make sure that you’re constantly and consistently contributing to your savings—that’s really hard to do if you’re living paycheck to paycheck

Finally, If you haven’t got one already, you should consider opening a high interest savings account—especially as many are likely to hike their rates further. 

Keep in mind that higher interest savings accounts tend to be for a bonus interest rate, meaning that they require conditions to be met or they will revert to a (usually much lower) base rate. So, always make sure the savings account you’re getting has a great interest rate but also a bonus rate condition that is achievable for you. 

Not sure which savings account is the right one for you? At Mozo, our database has comparisons on loads of high interest savings account providers so that you can get the account that works best for you.

Savings account comparisons on Mozo - last updated 29 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. No Account keeping fees. No minimum balance. Support Aussie farmers with every dollar you save.

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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.

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  • 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.

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  • 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.

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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.

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^See information about the Mozo Experts Choice Savings Account Awards

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