Home News Retirees, savers dealt another blow as NAB slashes interest rates

Retirees, savers dealt another blow as NAB slashes interest rates

National Australia Bank cut its 'Reward Saver' and Retirement Account interest rates by 25 basis points on Tuesday.

By Harrison Astbury

on 23 Apr 2020

Retirees, savers dealt another blow as NAB slashes interest rates

Source: Wikimedia Commons

This comes after the bank made a 25 basis point cut to its 'iSaver' account last week.

Through the 'Reward Saver', the base interest rate is just 0.05% p.a, while the bonus interest rate is now 0.95% p.a.

The bonus applies to account balances up to $50,000.

To get the bonus, customers must make at least one deposit and no withdrawals each month.

For the bank with the slogan 'more than money', NAB's Retirement Account has also seen a 25 basis point cut to its interest rate that applies to balances above $50,000.

That interest rate is just 0.36% p.a for balances between $50,000 and $249,999.

Interest is calculated daily and paid quarterly on this account, as opposed to the more common monthly interest payment.

Market-wide, the cuts bring NAB in-line with other big four savings accounts:

ANZ Progress Saver: 1.00% p.a (0.99% p.a bonus, 0.01% p.a base rate)
CommBank Goal Saver: 0.50% p.a (0.40% p.a bonus, 0.10% p.a base rate)
Westpac Life: 1.30% p.a (0.90% p.a bonus and 0.40% p.a base)

Interestingly, with headline inflation at 1.80%, savers are effectively losing money over the course of a year if they receive a 1.00% interest rate.

Comparing the big four banks' interest rates on their savings accounts, they lag behind other market-leading competitors in the space, as seen in the table below.

Deposit amount

Compare

Provider	Base interest rate	Max interest rate	Total interest earned	Minimum Amount	Maximum Amount	Account Keeping Fees	Min. Monthly Deposit	Min. Opening Deposit	Linked account required	ATM Access	EFTPOS Facility	as ofApril 20, 2024

	Bonus rate of 5.00%Conditions apply. 0.10^%_p.a.	5.10^%_p.a.	^$1,044	^$0	^$250,000	0	200	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
No monthly fees	Save Account Download the App to open your account Get better visibility of your spending within App! Deposit $200 per month to activate bonus interest
No monthly fees Save Account Download the App to open your account Get better visibility of your spending within App! Deposit $200 per month to activate bonus interest More details
	Bonus rate of 4.95%Conditions apply. 0.55^%_p.a.	5.50^%_p.a.	^$1,128	^$0	^$100,000	0	1000	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Savings Maximiser (<$100k)
Savings Maximiser (<$100k) More details
	Bonus rate of 5.30%Conditions apply. 0.05^%_p.a.	5.35^%_p.a.	^$1,097	^$0	^$250,000	0	1000	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Boost Saver
Boost Saver More details

Important Information and Comparison Rate Warning

All products with a link to a product provider’s website have a commercial marketing relationship between us and these providers. These products may appear prominently and first within the search tables regardless of their attributes and may include products marked as promoted, featured or sponsored. The link to a product provider’s website will allow you to get more information or apply for the product. By de-selecting “Show online partners only” additional non-commercialised products may be displayed and re-sorted at the top of the table. For more information on how we’ve selected these “Sponsored”, “Featured” and “Promoted” products, the products we compare, how we make money, and other important information about our service, please click here. Rates correct as of April 20, 2024. View disclaimer.

There are also a bevy of introductory rate savings accounts out there, with higher interest rates for four to six months, however the rates after that period usually revert to something much lower.

Deposit amount

Compare

Provider	Base interest rate	Max interest rate	Total interest earned	Introductory Term	Minimum Amount	Maximum Amount	Account Keeping Fees	Min. Monthly Deposit	Min. Opening Deposit	Linked account required	ATM Access	EFTPOS Facility	as ofApril 20, 2024

	4.40^%_p.a.	Intro rate for 4 monthsthen 4.40% p.a. 5.75^%_p.a.	^$533	4	^$0	^$250,000	0	0	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
FEATURED	High Interest Savings Account (< $250k) Bonus rate for the first 4 months from account opening No account keeping fees No minimum balance
FEATURED High Interest Savings Account (< $250k) Bonus rate for the first 4 months from account opening No account keeping fees No minimum balance More details
	4.75^%_p.a.	Intro rate for 4 monthsthen 4.75% p.a. 5.35^%_p.a.	^$518	4	^$0	^$249,999	0	0	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
FEATURED	Savings Account (Amounts < $250k) A high-interest online savings account with no monthly fees, easy withdrawals and award-winning digital banking No withdrawal notice periods or interest rate penalties
FEATURED Savings Account (Amounts < $250k) A high-interest online savings account with no monthly fees, easy withdrawals and award-winning digital banking No withdrawal notice periods or interest rate penalties More details
	Bonus rate of 5.00%Conditions apply. 0.10^%_p.a.	5.10^%_p.a.	^$515		^$0	^$250,000	0	200	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
No monthly fees	Save Account Download the App to open your account Get better visibility of your spending within App! Deposit $200 per month to activate bonus interest
No monthly fees Save Account Download the App to open your account Get better visibility of your spending within App! Deposit $200 per month to activate bonus interest More details
	Bonus rate of 5.00%Conditions apply. 0.55^%_p.a.	5.55^%_p.a.	^$561		^$0	^$100,000	0	2000	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	HomeME Savings Account ($0 - $100,000)
HomeME Savings Account ($0 - $100,000) More details
	Bonus rate of 5.40%Conditions apply. 0.10^%_p.a.	5.50^%_p.a.	^$556		^$1	^$25,000	0	200	1	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Growth Saver ($1 - $25k)
Growth Saver ($1 - $25k) More details
	Bonus rate of 5.45%Conditions apply. 0.05^%_p.a.	5.50^%_p.a.	^$556		^$0	^$50,000	0	1000	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
For customers aged 14-35 years	Future Saver Account ( < $50k)
For customers aged 14-35 years Future Saver Account ( < $50k) More details
	Bonus rate of 4.85%Conditions apply. 0.50^%_p.a.	5.35^%_p.a.	^$541		^$1	^$50,000	0	500	1	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Goal Saver Maximum Age - 24
Goal Saver Maximum Age - 24 More details
	Bonus rate of 5.30%Conditions apply. 0.05^%_p.a.	5.35^%_p.a.	^$541		^$0	^$250,000	0	1000	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Boost Saver
Boost Saver More details
	Bonus rate of 4.95%Conditions apply. 0.30^%_p.a.	5.25^%_p.a.	^$531		^$0	^$100,000	0	0.01	1	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Reward Saver Account (31 years +) ($0-$100k)
Reward Saver Account (31 years +) ($0-$100k) More details
	Bonus rate of 5.24%Conditions apply. 0.01^%_p.a.	5.25^%_p.a.	^$531		^$0	^$99,999	0	100	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Bonus Saver Account (Amounts < $100k)
Bonus Saver Account (Amounts < $100k) More details
	–	5.25^%_p.a.	^$531		^$0	^$1,000,000	0	20	1	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Reward Saver Kick Start (Amounts ≤ $1m)
Reward Saver Kick Start (Amounts ≤ $1m) More details
	Bonus rate of 3.20%Conditions apply. 2.00^%_p.a.	5.20^%_p.a.	^$526		^$0	^$30,000	0	0.01	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Life (< 30 years) (Monthly deposit)
Life (< 30 years) (Monthly deposit) More details
	2.35^%_p.a.	Intro rate for 5 monthsthen 2.35% p.a. 5.10^%_p.a.	^$468	5	^$0	^$5,000,000	0	0	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	NetBank Saver
NetBank Saver More details
	4.90^%_p.a.	4.90^%_p.a.	^$495		^$0	^$249,999	0	0	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	ANZ Save
ANZ Save More details
	Bonus rate of 4.95%Conditions apply. 0.55^%_p.a.	5.50^%_p.a.	^$556		^$0	^$100,000	0	1000	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Savings Maximiser (<$100k)
Savings Maximiser (<$100k) More details
	Bonus rate of 4.95%Conditions apply. 0.10^%_p.a.	5.05^%_p.a.	^$510		^$1	^$99,999,999	0	5	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Young Saver Account
Young Saver Account More details
	Bonus rate of 4.00%Conditions apply. 1.00^%_p.a.	5.00^%_p.a.	^$505		^$1	^$99,999,999	0	50	1	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Save up
Save up More details
	Bonus rate of 4.20%Conditions apply. 1.20^%_p.a.	5.40^%_p.a.	^$546		^$0	^$250,000	0	1000	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
FEATURED	Saver Account (<$250k) Earn up to 5.40% pa by depositing $1,000 in the previous month No account fees Easy access to your money
FEATURED Saver Account (<$250k) Earn up to 5.40% pa by depositing $1,000 in the previous month No account fees Easy access to your money More details
	Bonus rate of 4.99%Conditions apply. 0.01^%_p.a.	5.00^%_p.a.	^$505		^$0	^$1,000,000	0	200	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Bonus Saver (<$1 Million)
Bonus Saver (<$1 Million) More details
	–	5.00^%_p.a.	^$505		^$0	^$99,999,999	0	10	0	$product[$field["value"]]	$product[$field["value"]]	$product[$field["value"]]	More details
	Smart Saver Account (Under 25)
Smart Saver Account (Under 25) More details

Important Information and Comparison Rate Warning

Harrison Astbury

Harrison is Savings.com.au's Assistant Editor, and also Editor & Research Analyst of sister comparison site InfoChoice.com.au. Prior to joining Savings Media Group in January 2020, he worked for some of Australia's largest comparison sites and media organisations, and has key interests in housing policy, real estate, and niche topics such as the gold standard.

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Retirees, savers dealt another blow as NAB slashes interest rates

Save Account

Save Account

Savings Maximiser (<$100k)

Savings Maximiser (<$100k)

Boost Saver

Boost Saver

High Interest Savings Account (< $250k)

High Interest Savings Account (< $250k)

Savings Account (Amounts < $250k)

Savings Account (Amounts < $250k)

Save Account

Save Account

HomeME Savings Account ($0 - $100,000)

HomeME Savings Account ($0 - $100,000)

Growth Saver ($1 - $25k)

Growth Saver ($1 - $25k)

Future Saver Account ( < $50k)

Future Saver Account ( < $50k)

Goal Saver

Goal Saver

Boost Saver

Boost Saver

Reward Saver Account (31 years +) ($0-$100k)

Reward Saver Account (31 years +) ($0-$100k)

Bonus Saver Account (Amounts < $100k)

Bonus Saver Account (Amounts < $100k)

Reward Saver Kick Start (Amounts ≤ $1m)

Reward Saver Kick Start (Amounts ≤ $1m)

Life (< 30 years) (Monthly deposit)

Life (< 30 years) (Monthly deposit)

NetBank Saver

NetBank Saver

ANZ Save

ANZ Save

Savings Maximiser (<$100k)

Savings Maximiser (<$100k)

Young Saver Account

Young Saver Account

Save up

Save up

Saver Account (<$250k)

Saver Account (<$250k)

Bonus Saver (<$1 Million)

Bonus Saver (<$1 Million)

Smart Saver Account (Under 25)

Smart Saver Account (Under 25)

Harrison Astbury

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