Despite the Reserve Bank of Australia holding the cash rate steady this month, ING Australia will tomorrow cut the maximum interest rate on one of Australia’s most popular savings accounts.
ING Australia has emailed Savings Maximiser customers today informing them that the bonus rate they can earn on top of the 0.50% p.a. base rate will be reduced by 10 basis points from 1.80% p.a. to 1.70% p.a. on Wednesday 18 September.
To earn this bonus rate of interest, customers must:
- have a linked Orange Everyday transaction account,
- deposit at least $1,000 a month to any personal ING account (excluding Living Super and Orange one),
- make more than five settled card purchases each month,
- have a balance under $100,000
This rate reduction will take the maximum interest rate on ING’s Savings Maximiser account down from 2.30% p.a. to 2.20% p.a.
It’s the third rate cut ING’s Savings Maximiser customers have endured since mid-June, when the bank reduced the max rate by 25 basis points from 2.80% p.a. to 2.55% p.a in the aftermath of the RBA’s June cash rate cut.
Just three weeks later, the direct bank reduced the max rate again in early July to 2.30% p.a.
However, these two rate cuts applied to the Savings Maximiser’s base rate – this month, only the bonus rate will be cut.
With the RBA expected to cut the cash rate again by at least another 25 basis points before the end of 2019, ING’s Savings Maximiser customers will hope this month’s out-of-cycle subtraction means their accounts will be spared from receiving the next rate cut in full. Time will tell.
Once regarded as one of Australia’s highest-interest savings accounts, ING’s Savings Maximiser will now slip further behind other deposit products on the market.
*Data accurate as at 22 May 2020. Rates based on a savings balance of $10,000. Introductory bonus interest rate products not included. Sorted by total interest rates. Refer to providers' websites for bonus rate conditions.
The max rates listed above are also conditional upon meeting similar bonus criteria to that of ING’s Savings Maximiser account, such as:
- 86 400 Save Account: Deposit $1,000+ each month, balance under $100,000
- BOQ Fast Track Saver: Deposit $1,000+ each month to linked ‘Day2Day Plus’ transaction account, balance under $250,000
- MyStateBank Bonus Saver: Deposit $20+ each month, make 5+ VISA debit card transactions each month from linked account, balance under $150,000
- Up Saver: Make 5+ debit card or digital wallet purchases from your Up Everyday Account, balance under $50,000
- UBank USaver with Ultra: Deposit $200+ each month into USaver Ultra or linked USaver account from a non-Ubank account, hold a USaver Ultra transaction account, balance under $200,000
- RAMS Save Account: Deposit $200+ each month, make no withdrawals, balance between $200 and $500,000
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