Long term savings accounts

A good savings habit deserves a good interest rate and choosing the right savings account can help you super-size your nest egg in record time through the power of compound interest. Compare top ongoing savings rates below to get started.

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How much should I be saving?

Money experts say we should put aside 10% of everything we earn into savings. But chances are you can do better than that! Work out how much you can save with our savings calculator, or where you could be saving more with our handy budgeting calculator.

Where can I find the best long term savings account?

Right here! Our long term savings account comparison tool makes it easy to compare a range of savings accounts all in one place! It can help you compare bonus rates, fees and standard rates from big banks to smaller providers.

Long term savings account comparisons on Mozo - page last updated June 03, 2020

Search promoted savings accounts below or do a full Mozo database search. Advertiser disclosure.

  • 0.15% p.a.(for $0 and over)

    1.75% p.a. (for $0 and over)

    Yesup to $250,000

    Grow your balance by $200 or more and make no more than one withdrawal in the month.

      Compare
    Details
  • mozo-experts-choice-2020

    0.20% p.a.(for $1 and over)

    1.85% p.a. (for $1 to $250,000)

    Yesup to $250,000

    Ongoing bonus rate applied if in the previous month $1,000 or more is credited to the linked Day2Day Plus account and 5 eligible transactions are made by the linked account. (This second requirement has been paused until 31 August 2020).

      Compare
    Details
  • 0% p.a.(for $0 and over)

    2.10% p.a. (for $0 to $1,000,000)

    Yesup to $250,000

    No withdrawals in the month. Bonus rate for first 4 months, reverting to 0.15% bonus rate after*

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    Details
  • mozo-experts-choice-2020

    1.05% p.a.(for $0 to $5,000,000)

    2.26% p.a. (for $0 to $500,000)

    Yesup to $250,000

    Bonus rate for the first 6 months from account opening on the first $500,000 deposited. For new Saver customers only.

      Compare
    Details
  • 0.01% p.a.(for $0 to $5,000,000)

    1.25% p.a. (for $0 to $5,000,000)

    Yesup to $250,000

    Increase balance by at least $300 in the month

      Compare
    Details
  • 0.01% p.a.(for $0 to $5,000,000)

    1.25% p.a. (for $0 to $250,000)

    Yesup to $250,000

    Minimum deposit of $200 and no withdrawals in the month.

      Compare
    Details
  • mozo-experts-choice-2020

    0.80% p.a.(for $0 to $250,001)

    2.25% p.a. (for $0 to $250,001)

    Yesup to $250,000

    Bonus rate for the first 4 months from account opening

      Compare
    Details
  • 0% p.a.(for $0 and over)

    2.00% p.a. (for $0 and over)

    Yesup to $250,000

    Account balance must increase each month

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

    1.80% p.a. (for $0 to $250,000)

    Yesup to $250,000

    Ongoing bonus rate if you make at least four tap & go™ payments per month with your Everyday Transaction Account debit card. Purchases must be processed in calendar month to be eligible for bonus interest.

      Compare
    Details
  • mozo-experts-choice-2020

    0.15% p.a.(for $0 and over)

    1.75% p.a. (for $0 to $250,000)

    Yesup to $250,000

    Bonus rate when at least $20 is deposited each month and five Visa Debit transactions are made each month using linked Everyday or Glide transaction accounts.

      Compare
    Details
  • 0.35% p.a.(for $0 and over)

    2.05% p.a. (for $0 to $500,000)

    Yesup to $250,000

    Bonus rate for the first 4 months from account opening

      Compare
    Details

^See information about the Mozo Experts Choice Savings Accounts Awards

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Savings account resources

Reviews, news, tips and guides to help find the best savings account for you.

Long term savings and must read FAQs

We all know the value of saving money, and building up a nest egg of long-term savings should be a financial priority for any money savvy Aussie. But when you're in it for the long haul, finding the perfect place to stash your cash is super important. So to help you on your search for the right savings account, we’ve answered some commonly asked questions about long term savings accounts in Australia.

How do I keep on top of interest rates?

When the plan is to grow your savings in the long-term, it pays to keep an eye on interest rates. Since they move in line with the cash rate, they’re always subject to change. For an idea of where interest rates currently sit, plus a rundown of all the latest changes, visit our savings account interest rates

What is the minimum amount I need to deposit into my long term savings account?

This will depend on the savings account you opt for, as many banking providers will have their own deposit requirements. The good news is, many online savings accounts come with no minimum balance criteria at all, so you can start from scratch and build up a rainy day fund.

Other long term savings options like term deposits, do generally have minimum deposit criteria which can be as low as $500 up to $100,000 depending on the bank and deposit term. Head over to our term deposits section to compare current long term interest rates and fees.  

What is the difference between a standard and bonus interest rate?

Once you start shopping around for a savings account, you might notice on our savings account comparison tables that we publish the standard interest rate and the bonus interest rate attached to the account. A standard rate is the ongoing interest rate you’ll receive as long as the savings account is open.

When it comes to bonus rate savings accounts, there are usually two types: introductory and conditional bonus rates. Introductory bonus rates usually only last between 3-6 months from when the account was opened. At the end of this period, the savings interest rate will then revert back to the account’s standard rate.

A conditional bonus rate offers a higher interest rate as long as you meet certain requirements by the bank. Some common examples of conditions include having a transaction account with the same provider, making a minimum monthly deposit, or no withdrawals in a month.  

What features should I look for in a long term savings account?

A good ongoing interest rate - Possibly the most important feature of a savings account is the interest rate! And while the goal is to earn as much interest as possible, just keep in mind that savings account rates are variable, so they can change over time which is why you should regularly review your account to make sure you’re getting the best return on your money.

  • No fees - Because there’s no point in stashing away your hard earned savings only to pay pesky fees. And while very few banks charge monthly fees on online savings accounts, some may still charge withdrawal penalties or transaction fees.
  • Withdrawal flexibility - While most savings accounts allow you to withdraw money whenever you want - unlike a term deposit - some may drop bonus interest offers for the month when you withdraw or will charge a fee for over the counter withdrawals.
  • Other handy tools - Things like online banking and a linked transaction account can come in handy if you need quick access to your cash.
Picture of Kelly Emmerton
Kelly Emmerton
Money editor

Kelly Emmerton was the Money Editor at Mozo until March 2020. With over 4 years experience writing exclusively in the Australian finance space her in-depth knowledge spans all areas of personal finance, from home loans to travel money. Kelly has a background in communications and when she’s not delving into finance industry stats and product disclosure statements, you’ll find her on the beach reading classic sci-fi.

More FAQs on long term savings accounts

How can I withdraw money from my savings account?

If you’d like to make a withdrawal from your savings account, you will have to transfer the funds from your savings account to your linked everyday transaction bank account. So although savings accounts are designed to make your rainy day more accessible, there’s still an extra step involved.

Something else to keep in mind is that if you do plan on making a withdrawal, you may have to give up your bonus interest rate. On the other hand, knowing this might actually be a great deterrent to stop you from spending your savings and keep your account balance high over the long term.

What happens if the rate on my long term savings account is cut?

One of the many gripes that come with savings accounts is the possibility of an interest rate cut. If this happens you won’t be earning the same amount of interest you once did, which could impact your long term savings goals.

If you plan on using a savings account as a long term strategy, you’ll need to review your options regularly to make sure you’re still getting a good deal.

The great thing about online banking is that if your rate is no longer competitive it is really easy to switch banks. Most savings providers we have listed here on Mozo have online applications and you can have an account set up in a matter of minutes.

Is a savings account a good long term savings strategy?

Yes, a savings account does have the potential to be a good long term strategy so long as you are disciplined to not dip into it for unnecessary expenses. Savings accounts can also come in handy because they are ‘at call’ products so if you ever need quick access to your cash in an emergency you can.

What alternatives are there to long term savings accounts?

But if you think having easy access to your savings stash is too tempting, then you might want to consider a term deposit instead. What makes a term deposit different from a savings account is that once you deposit the funds into the account, it’s hands off until the end of the term, which depending on the term you choose, can be anywhere between 1 month to 5 years.

And just remember that if you absolutely have to make a withdrawal on a term deposit, you will be hit with an early withdrawal fee.

Savings Account Reviews

NAB Savings Account review
Overall 10/10
No competitive premiums, always providing service.

Super trustworthy and great customer service and satisfaction.

Read full review

Super trustworthy and great customer service and satisfaction.

Price
10/10
Features
10/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Tanika, Northern Territory reviewed about 23 hours ago
ING Savings Maximiser review
Overall 10/10
Excellent customer service.

I have had 2 accounts with ING for over a decade and I have been pleased with their customer service. Never had to wait too long on the phone whenever I have rung. They have always been patient and understanding when I have had an issue. Every problem has been sorted out without any issue and they even stated suggesting all their fee free accounts once they found out I am a disabled pensioner (I never had to bring this up).

Read full review

I have had 2 accounts with ING for over a decade and I have been pleased with their customer service. Never had to wait too long on the phone whenever I have rung. They have always been patient and understanding when I have had an issue. Every problem has been sorted out without any issue and they even stated suggesting all their fee free accounts once they found out I am a disabled pensioner (I never had to bring this up).

Price
10/10
Features
9/10
Customer service
10/10
Convenience
10/10
Trust
9/10
Less
Gary, New South Wales reviewed about 23 hours ago
ING Savings Maximiser review
Overall 9/10
Competitive interest and great customer service

ING has always been quick and easy to contact if there has been a problem. We have never had a problem that wasn't solved quickly. Their customer service is always exceptional. The interest rate is competitive and it is easy to activate the bonus interest. The lack of a physical branch is the only real draw back. Occasionally we get a cheque or want to deposit cash, so we need to maintain an account at a separate bank.

Read full review

ING has always been quick and easy to contact if there has been a problem. We have never had a problem that wasn't solved quickly. Their customer service is always exceptional. The interest rate is competitive and it is easy to activate the bonus interest. The lack of a physical branch is the only real draw back. Occasionally we get a cheque or want to deposit cash, so we need to maintain an account at a separate bank.

Price
8/10
Features
7/10
Customer service
10/10
Convenience
8/10
Trust
10/10
Less
Sean, Queensland reviewed 2 days ago