Bank of Queensland increases savings account rate to 3.50% p.a.

The increase comes following ING's decision to lift its own savings account rate across Savings Maximiser products to 3.10% p.a. earlier this month. 

Once more, Bank of Queensland (BOQ) will offer the market-leading savings account rate in Savings.com.au's market research.

The rate is for for young Aussies aged 14-35 and will take effect from 17 August. 

BOQ had previously held off increasing its Future Saver rate in both June and July following consecutive RBA cash rate increases.

Given a number of competitors either approaching or exceeding the 3.00% p.a. offering currently available from BOQ, BOQ Group said it will continue to review interest rates to ensure it remains competitive in the market. 

The rate available from Wednesday consists of a 0.05% base interest rate and a 3.45% bonus rate on balances up to $50,000.

To receive the total 3.50% p.a. rate, savers must deposit $1,000 and make five settled card transactions on their linked Everyday Account every month.

Balances over $50,000 receive a boost too, with a base and bonus interest structure of 1.50% p.a. in total. 

BOQ will also increase:

• Smart Saver by 0.50% to 2.85% p.a. for balances between $1 and $250,000. 
• Simple Saver by 0.50% to 1.50% p.a. for balances up to $5 million.

Virgin Money follows the leader increasing rates for savers

Virgin Money has also announced a 0.50% p.a. increase across its savings account product range.

From Wednesday, Virgin Money customers will be able to earn 2.80% p.a. when they meet monthly criteria and then up to 3.10% p.a. when they enable the optional Lock Saver feature for balances up to a combined $250,000.

This rate now sits on par with ING's Savings Maximiser when the Lock Saver feature is enabled.  

For Virgin Money customers, enabling the Lock Saver feature requires 32 days’ advance notice to unlock their account or withdraw money from that account.

To receive the 2.80% p.a. rate, Virgin Money customers must:

• Deposit at least $2,000 into their Go Account from another financial institution if aged 25 or over.
• Deposit at least $1,000 into their Go Account from another financial institution if aged 18-24. 
• Make at least five purchases on their Go Account that settled in that month (not pending).

To receive the 3.10% p.a. rate, Virgin Money customers must:

• Deposit at least $2,000 into their Go Account from another financial institution.
• Deposit at least $1,000 into their Go Account from another financial institution if aged 18-24. 
• Make at least five purchases on their Go Account that settled in that month (not pending).
• Enable the Lock Saver Feature on the Boost Saver account.

There is no monthly criteria applicable for customers aged 14-18.

Advertisement

Need somewhere to store cash and earn interest? The table below features savings accounts with some of the highest interest rates on the market.

Image by Patti Black via Unsplash