Gen Z the most likely to stash cash into high-interest savings accounts

This comes as new research from NAB revealed nearly two-thirds of young Aussies have placed their savings in a high-interest account, compared to half of Australians aged over 30.

At the opposite end of the ladder, term deposits producing a guaranteed set income are four times more popular amongst Baby Boomers at 29%, compared to Gen Z at 7%. 

The preference of young Aussies to look for competitive high-interest savings accounts comes as 25% of those aged 18 to 29 aim to put savings towards a property purchase - more than any other age group.

NAB Personal Banking Executive Kylie Young said younger Australians overwhelmingly want to buy and invest in property with those trying to save larger deposits seeking more rewarding places to put their hard-earned money.

“Younger Australians are stepping up to the challenge and taking the opportunity to stash their cash in high interest savings accounts and grow their money,” Ms Young said.

“Gen Z want to secure their future, ensure their own financial wellbeing, and contend with rising living costs, and they’re choosing to put their money into high interest savings accounts.

“High interest savings accounts can be a safe, smart and stable way to manage your money, providing ready access to funds if they’re needed as well as a rewarding interest rate.”

Where to get the best returns for a high-interest savings account?

Based on Savings.com.au market research, four banks currently offer high-interest savings accounts with a rate of 5% or greater. 

Further, high-interest savings accounts to March 2023 are offering the greatest returns in almost 10 years, at an average rate of 4.20% p.a.

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

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