Ubank to increase savings account rates for new and existing customers

Fresh off merging with neobank 86 400, this increase will see:

• Base savings account rate increase from 0.05% p.a. to 0.10% p.a.
• Bonus savings account rate increase from 1.00% p.a. to 1.25% p.a. 

Despite absorbing all 86 400 products, this rate is greater than 86 400's previous offering of a 0.10% base savings account rate and bonus savings account rate of 1.20%.

ubank's new savings rate means eligible existing 'USave' customers can earn a savings rate of 1.35% p.a, while its new 'Save' account customers post-rebrand will also receive the same rate. 

How can I receive the new savings rate?

Applying this increase to its USave product, to receive the total rate of 1.35% p.a. you will need to be an existing customer with a USave account linked to a USpend account. 

If you are an existing customer with both a USave and USpend account, you are required to deposit at least $200 per month into either account from a non-ubank account.

Comparing this product to to the recently announced 3.00% p.a savings account from Bank of Queensland, ubank's offering does not require existing customers to make a minimum number of transactions to achieve the bonus rate. 

It's important to note USave and USpend accounts are no longer available for new customers, instead transitioning to new products named 'Save' and 'Spend'

The same requirements apply for new customers, requiring a minimum deposit amount of $200 into a Save or Spend account from a non-ubank account. 

No minimum number of transactions are required for new ubank customers. 

Ubank's bonus variable interest rates are calculated and paid monthly, up to a combined USave or Save balance of $250,000.

Balances greater than $250,000 earn the base variable rate of 0.10% 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.

Image by Pawan Kawan via Unsplash