What's the latest with savings accounts in January 2024?
The Reserve Bank of Australia increased the official cash rate in November 2023, which led many banks to raise savings account rates.
It's possible the Reserve Bank may lift rates again in 2024. But for now, the highest ongoing rate you can get on your savings is around 5.50%, with rates as high as 5.75% for introductory rates that only last a few months.
ME Bank's HomeME savings account, for example, offers a rate of 5.55%. You can get an even higher rate with MOVE Bank's Growth Saver, but this only applies to relatively small balances.
Cashback update by Richard Whitten – Finder money editor
ING Maximiser Account>
The conditions for obtaining a reasonable interest rate on this account seem unreasonable. Initially, interest is only paid on savings up to $100,000. Furthermore, they require consistent account growth each month to qualify for a decent interest rate. If you hold over $100,000 and wish to access the surplus funds, you forfeit the interest accrued for that month. The interest rate on the balance beyond $100,000 is merely 0.05%. Consequently, if you have, for example, an extra $5,000 above the $100,000 threshold, you earn a rate of 0.05%, rather than the more competitive rate offered by other banks on the same amount. I’m uncertain if ING’s terms comply with legal regulations by preventing customers from withdrawing amounts surpassing their established $100,000 limit. Please verify this for me.
Hi, you can withdraw money from your ING Savings Maximiser at any time.
What are the fees on these banking accounts? Ongoing fees, setup fees, monthly fees, not reaching transfer target fees, withdrawal of own money fees, or expensive atm fees?
Hi Chris,
If you click the “more info” button for each product, you can see a short summary of the benefits of that account, along with a link to a bigger review page that outlines all the fees and charges.
Hope this helps!
Hi Finder Team, why are ‘fees’ not on your sorting tool option? It seems to be the most important information that I would want to know regarding selecting my new bank account. Firstly, what monthly fees are there, if any? Secondly, are there fees for not depositing money regularly? Lastly, are there fees for withdrawing my own money at atms or in specific locations?
Hi Chris, we don’t include fees in our savings account comparison table because savings accounts charge no fees. You can’t withdraw money at ATMs from your savings account.
Most of the fees are associated with the linked transaction account, which is why we do include fees in our transaction account tables.
If I create a savings account with an introductory bonus rate paid for 3 months, in the middle of a calendar month and wish to withdraw and close the account to move to another bank ( i.e. rotating my money between higher introductory rates), will I be paid the daily interest owed? Most banks pay interest on either the last or first day of the month and I would like to know if I forfiet the interest, or can I leave the account open and get paid the interest owed at the end/start of the next month?
Many thanks for your time.
Hi Ned, this would depend on the account and what it states in its T&Cs. But usually interest is paid at the very end or very start of the month, so I think you’d be best to wait until you’re paid the interest then close the account.
Thanks,
Alison
Is there any media or government body willing to draw attention to saving account interest rate increases
Hi John,
Many savings accounts are increasing their interest rates at the moment, following the RBA increasing the official cash rate. This is good news for customers with money in the bank as it means you’ll be earning more interest on your money.
There has been quite a bit of media attention and stories on this topic in recent weeks. Finder tracks these rate changes and updates our product comparison tables every day with the new rates.
Thanks,
Alison