Westpac increases under-30s savings account rate to 2.50% p.a.

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on June 28, 2022 Fact Checked
Westpac increases under-30s savings account rate to 2.50% p.a.

Westpac boosted its savings account rate for 18-29 year olds by 50 basis points, now sporting a maximum rate of 2.50% p.a.

Westpac's 50 basis point increase to 2.50% p.a. comes after it cut the rate to 2.00% p.a. back in February; on launch around two years ago its maximum rate was 3.00% p.a. despite a cash rate of only 0.25% at the time.

The 2.50% p.a. total rate applies on balances up to $30,000. After that, a maximum 0.85% p.a. rate applies.

To attain the bonus rate, Westpac customers must grow the balance every month, and make five settled debit card purchases with the linked transaction account.

Some customers are also hit with a $5 monthly account keeping fee if they do not deposit $2,000 a month into the transaction account.

The major bank has one of the highest rates for 'youths', however Bank of Queensland (BOQ) has recently emerged with a savings account rate of 3.00% p.a.

Westpac's decision to increase the savings rate on its Westpac Life product comes after the big-four bank did not move savings account rates north in line with the recent RBA cash rate increase for June. 

Instead, the major bank announced from 9 June it will introduce a 12 to 23 month term deposit rate of 2.25% p.a


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            Rates based on a savings balance of $10,000. Sorted by total interest rates. Refer to providers' websites for bonus rate conditions and for any applicable fees and charges. Rates correct as of August 11, 2022. View disclaimer.


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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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