Which banks are increasing savings rates following August's cash rate rise?

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on August 02, 2022 Fact Checked
Which banks are increasing savings rates following August's cash rate rise?

Another cash rate increase leaves Aussies waiting with bated breath to see if banks pass on the rate rise to savings accounts and term deposits - watch this space.

A number of banks passed on savings account and term deposit rate increases last month following the RBA's July decision, leaving savers to expect more of the same this month. 

  • For July 2022's movements including key highlights, see this page.

Speaking to the Press Gallery on Tuesday, Federal Treasurer Jim Chalmers said savers have been the principal victims of interest rates when they were incredibly low and they should be the beneficiaries of rising interest rates.

"There needs to be some positives out of this and for savers they need and deserve higher interest rates on their savings," Mr Chalmers said. 

"For those people who live off savings they've been doing it tough for some time now, it's time they got a bit of relief."

Highlights to date include:

  • ANZ will increase its Plus Save account to 2.50% p.a. for balances up to $250,000.
    • ANZ is also offering a new 11-month Advance Notice term deposit rate of 3.00% p.a.
  • Westpac will increase its Spend & Save account for 18-29 year olds to 3.25% p.a. for balances up to $30,000.
  • AMP will increase Saver account rates by 0.50% to 2.60% p.a.
  • ubank Save and USave will increase by 0.50% to 2.85% p.a. 
  • ING will increase its Savings Maximiser rate to 3.10% p.a. 

    This page will detail the latest rate change announcements for savings accounts and term deposits following the RBA's 50 basis point rate hike - be sure to check back here regularly. 

    ANZ increases savings and deposit rates

    ANZ will increase the rate on its Plus Save account by 50 basis points to 2.50% p.a. (balances up to $250,000) from 8 August.

    For customers who prefer the certainty of a higher fixed return, ANZ will now offer a new 11-month Advance Notice term deposit rate of 3.00% p.a., effective 8 August.

    ANZ Group Executive of Australia Retail, Maile Carnegie, said the bank hoped the increase in deposit rates would help provide relief for savings customers amid the persistent low-rate environment.

    ANZ now offers one of the best savings rates across the big-four banks.

    NAB increases savings and deposit rates

    Effective 12 August, NAB will increase interest rates on its savings products by 50 basis points.

    • The Reward Saver account will now sit at 1.75% p.a.
    • The iSaver account will now increase to 1.80% p.a.

    NAB customers will also be able to access a new 12-month Term Deposit of 3.00% p.a.

    CommBank increases savings and deposit rates

    Effective 12 August, Commbank will increase the NetBank Saver standard variable interest rate by 0.5% p.a. to 0.85% p.a. 

    The five-month introductory variable rate will increase by 0.5% p.a. to 1.80% p.a. 

    CommBank will also introduce a new 18-month Term Deposit Special offer of 3.00% p.a., effective 8 August.

    CommBank Group Executive of Retail Banking, Angus Sullivan, said these new changes to deposit rates will help customers achieve a better return on their saving amid pressures associated with the rising cost of living.

    Westpac increases savings and deposit rates

    Westpac will pass on the full cash rate increase to savers increasing Westpac Life, Spend & Save and eSaver accounts effective 18 August. 

    The total variable rate with bonus interest for Westpac Life will increase by 0.50% p.a. to 1.85% p.a.

    Offering one of the highest bonus savings account rates for customers aged 18-29, Westpac’s new rate for its Spend & Save account will now sit at 3.25% p.a.

    Further, the rate for Westpac's eSaver account will increase by 0.55% p.a. to 0.85% p.a. for new and existing customers. The five-month total introductory variable rate for new eSaver customers will increase to 1.80% p.a.

    Westpac customers will also be able to access a new Term Deposit of 3.00% p.a. for 12 to 23 months.


    AMP Bank increases savings and deposit rates

    AMP will increase its AMP Saver Account rate by 0.50% effective 8 August.

    This increase takes AMP's savings account rate to a total of 2.60% p.a. 

    AMP will also increase the interest rate on AMP Notice term deposit products by 0.50% effective 8 August 2022.

    This means AMP's 12-month term deposit rate for balances from $5,000 will become 3.45% p.a. 

    ING increases savings account rate

    ING will increase its popular Savings Maximiser savings account effective 9 August.

    The new rate sees the savings account rise by 0.50% to 3.10% p.a. 

    To receive ING's rate of 3.10% p.a. for balances up to $100,000, customers need to deposit at least $1,000 from an external source, make five or more settled card purchases and grow the balance to be greater at the end of the month than the month prior.

    Macquarie Bank increases transaction, savings and deposit rates

    One of Australia's largest banks outside of the big-four, Macquarie Bank has become the first to signal its intent to increase rates for savers post-RBA decision.

    For the third consecutive month, Macquarie bank will increase its market-leading transaction account interest rate by 0.50% to 2.25% p.a. for balances up to $250,000 effective 12 August. 

    The same increase will apply to Macquarie Bank's savings account, lifting it's rate to 2.25% p.a. 

    New Macquarie Bank customers will receive a welcome rate of 3.10% p.a. on their first savings account for the first four months on balances up to $250,000 effective 3 August. 

    Further, Macquarie Bank will increase term deposit rates across periods spanning 3, 6, 9 and 12 months, with the bank's 6-month rate at 2.70% p.a. and 12-month rate at 3.30% from 4 August. 

    RACQ Bank increases savings account rate

    RACQ Bank will increase the interest rate on Bonus Saver Accounts with a balance of less than $100,000 that meets the bonus criteria by 0.70% p.a.

    This increase is 0.20% larger than the RBA increase, taking the savings rate to 2.60% p.a. from 16 August.

    Bonus criteria for RACQ Bank's Bonus Saver Accounts include the deposit of at least $100 a calendar month, not make any debit transactions in the calendar month. 

    RACQ Bank term deposit interest rates will also increase by up to 0.50% p.a. from 16 August.

    ubank increases savings account rate

    Digital bank ubank has announced a 0.50% increase to both 'Save' and 'USave' savings accounts effective 1 September.

    ubank's increase will see the bank increase its savings rate from 2.35% p.a. to 2.85% p.a - a base rate of 0.10% and a bonus rate of 2.75%. 

    To receive ubank's rate of 2.85% for balances up to $250,000, customers need to simply deposit $200 per month into any ubank account. 


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              Jacob Cocciolone joined the Savings team in 2021 as a Finance Journalist. Driven by a passion for keeping Australians up to date with the latest financial news and trends, his areas of interest include financial technology, investing, property and motoring.

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