Westpac has turned up the heat in the savings sector by increasing the age limit and balance cap on its market-leading savings rate of 5.75%.
The age limit on the bank’s Spend&Save account has lifted from 34 to 40, while the maximum balance eligible for the bonus rate has increased from $30,000 to $150,000.
Changes to Westpac | |||
|---|---|---|---|
Feature | Old | New | Change |
Age | 18-34 | 18-40 | +6 yrs |
Balance for | $30,000 | $150,000 | +$120,000 |
Source: Westpac, prepared by Canstar - 01/06/2026.
The account offers an ongoing savings rate of 5.75% if customers meet the monthly criteria, which is to grow the savings balance each month and make 20+ transactions on a linked Westpac Choice account.
For those that don’t meet the criteria, the account can drop to as little as 0.10% for the month.
Highest bonus | ||||
|---|---|---|---|---|
Provider | Max | Rate | Monthly | Max |
Westpac Life | 5.75% | 0.10% | Grow balance + | $150k |
MOVE Bank | 5.65% | 0.10% | Deposit $200+, | $25k |
ING Savings | 5.50% | 0.01% | Deposit $1k, | $100k |
Rabobank | 5.40% | 0.65% | Grow balance | $250k |
Source: Canstar - 01/06/2026. Based on the rates in the Canstar database, other conditions may apply.
Banks upping the ante among standard savings accounts as well
Competition has also been ramping up among the ‘no monthly strings’ savings accounts as well, with AMP and Easy Street both offering ongoing rates of 5.10% and 5.05%, respectively – higher than the ongoing rate offered on Macquarie’s flagship savings account.
MyState has also topped up its offering today, increasing the maximum balance on its standard savings account from $100,000 to $500,000, in yet another sign banks are now competing on fine print.
Highest unconditional | ||
|---|---|---|
Provider | Ongoing | Max |
AMP Bank | 5.10% | $500k |
Easy Street | 5.05% | $3m |
Macquarie | 5.00% | $2m |
MyState | 5.00% | $500k |
Bankwest | 5.00% | $250k |
Source: Canstar - 01/06/2026. Based on the highest base rates in the Canstar database, other conditions may apply. Above accounts may also offer an introductory rate for the first 3-5 months.
The $1.74 trillion cash mountain
Increased competition in the savings sector comes on the back of a continued rise in household deposits, with the latest APRA data showing Australians stashed away $14.5 billion in the month of April, amid the Easter spending period, to hit a record high of $1.74 trillion.
APRA total deposits | ||
|---|---|---|
April | Monthly | Year-on-year |
$1.74 | +$14.5 | +$131.2 |
Source: APRA Monthly Authorised Deposit-taking Institution Statistics for April 2026, released 29 May 2026, prepared by Canstar. Deposits include term deposits, transaction accounts, mortgage offsets and savings accounts on the books of ADIs.
Despite its market-leading rate, Westpac posted the second-largest annual increase among the big four, behind CBA. However, Macquarie outperformed both banks in percentage terms, growing its household deposits by 36 per cent over the year.
Household deposits: | ||||
|---|---|---|---|---|
Bank | Market | Amount | Monthly | Year-on-year |
CBA | 27% | $462.6 | +0.7% | +8.7% |
Westpac | 21% | $360.2 | +0.8% | +8.1% |
NAB | 14% | $240.4 | +0.6% | +7.1% |
ANZ | 11% | $195.8 | +0.9% | +4.6% |
Macquarie | 6% | $110.2 | +2.0% | +35.6% |
Source: APRA April 2026, released 29 May 2026, prepared by Canstar. Includes both owner-occupied and investor loans to households for the big four banks and Macquarie. ANZ figures do not include former Suncorp mortgages.
Westpac has a new priority demographic
Canstar’s Data Insights Director, Sally Tindall, says, “Westpac has decided to take its market-leading savings rate to a much larger pool of Australians in a bid to reel in future first home buyers.”
“By targeting adults under 41, the bank has made this demographic its new priority. A 400 per cent increase to the maximum balance eligible for the 5.75 per cent rate has transformed what was previously a starter account into a serious prospect for higher-balance savers.
“While 5.75 per cent is a head-turning rate, the penalty for missing monthly conditions is severe. If you fail to grow your balance and miss the 20-purchase requirement on your linked bank account, your rate plummets to just 0.10 per cent.
“Anyone interested in a competitive bonus saver account should take their nest egg shopping, but equally spend time getting across the fine print. Those who slip up even just a handful of times a year are likely to find they’re far better off with an account that has a slightly lower rate but fewer terms and conditions.
“Competition in the unconditional savings space is also ramping up. AMP and Easy Street’s no-strings-attached savings accounts have settled in as direct challengers to Macquarie’s flagship account.
“MyState is also upping the ante in this space by increasing the balance cap on its 5 per cent rate from $100,000 to $500,000 – further evidence banks are willing to budge on the fine print in order to compete for savers’ hard-earned cash.”
