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NAB slices savings rates again
20 June 2025
Big four bank, NAB, has today cut the rate on its Reward Saver account by 0.05 percentage points, according to our rate tracking.
This move comes less than a month after the bank cut savings rates by 0.25 percentage points (on 23 May) following the May RBA decision.
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| NAB savings rate changes | |||
|---|---|---|---|
| Old max rate | New max rate | Change | |
| Reward Saver | 4.40% | 4.35% | -0.05% |
Source: Canstar. Notes: conditions and balance caps apply for maximum rate on select accounts. Contact us for a breakdown on base and bonus rates.
Rates over 5% slipping away
NAB is not the only bank slicing savings rates this week.
BOQ yesterday cut the maximum rate on its market-leading account for young adults from 5.25% down to 5.10%, following the May RBA decision.
Canstar research shows there are currently 6 banks offering at least one ongoing savings rate at 5% or more. This includes accounts for young adults but excludes kids’ accounts.
However, if the RBA cuts the cash rate just once more this year, which could be as soon as next month, savings rates starting with a ‘5’ could disappear altogether.
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| Highest ongoing savings accounts | |||
|---|---|---|---|
| Account | Max ongoing rate | Monthly conditions | Base rate if not met: |
| BOQ Future Saver | 5.10% | Deposit $1K, make 5+ transactions in linked bank acct. For 14-35yr olds | 0.05% |
| BCU Bank Boss Saver | 5.00% | Deposit $500, make 5+ transactions in linked bank acct | 0.45% |
| P&N Bank Savvy Saver | 5.00% | Deposit $500, make 5+ transactions in linked bank acct | 0.45% |
| Westpac Life Spend&Save | 5.00% | Grow balance, make 5+ transactions in linked bank acct. For 18-29 year olds | 0.40% |
| MOVE Bank Growth Saver | 5.00% | Deposit $200 into savings acct and make no withdrawals. Balances up to $25k | 0.10% |
| ING Savings Maximiser | 5.00% | Deposit $1K, make 5+ transactions in linked bank acct + grow savings balance. Balances up to $100k | 0.05% |
Source: Canstar. Top providers selected and table sorted in descending order by total rate, followed by base rate. One product per provider is listed. Excludes kids and intro rate accounts.
Other banks slicing savings rates above and beyond RBA cuts
Since the RBA cut the cash rate on 20 May, a handful of banks have moved some savings rates by more than the RBA’s 0.25 percentage point cut, including market leaders ING and Rabobank.
ING cut the maximum rate on its Savings Maximiser from 5.40% to 5.00% on 2 June. While this move saw ING cut a whopping 0.40 percentage points off its total rate this time, the bank has cut by a total of 0.50 percentage points across the February and May RBA rate cuts.
Research shows the average ongoing savings rate today is 3.07%, while at the start of the year the average rate was 3.40% – a drop of just 0.33 percentage points, which is less than the RBA’s 0.50 percentage points worth of cuts. This excludes introductory rates and kid’s accounts.
Term deposit rates tumble further
Our research shows more than 50 banks have cut at least one term deposit rate in the past month, since the May RBA decision, including all four big banks.
Other banks that have moved term deposit rates down in this time include Macquarie, ING and BOQ.
As a result, the average 1-year term deposit rate today is 3.52%. By comparison this same rate was 4.14% on 1 January – this is a 0.62 percentage point drop in the first half of the year.
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| Highest term deposits | ||
|---|---|---|
| Term | Bank | Rate |
| 6 mth | Judo Bank, G&C Mutual Bank, Heartland, Unity Bank | 4.55% |
| 1-year | Heartland, G&C Mutual Bank, Unity Bank | 4.25% |
| 2-year | Judo Bank | 4.05% |
| 3-year | Judo Bank | 4.05% |
| 4-year | Judo Bank | 4.35% |
| 5-year | Judo Bank | 4.45% |
Source: Canstar. Notes: All payment frequencies included.
Latest cuts another small blow for savers
Canstar’s data insights director, Sally Tindall says, “This move from NAB is yet another small blow for savers who are already watching their returns slip away.”
“It shows that banks don’t need a cash rate change to move the goalposts for customers. It’s a small move but a disappointing one nevertheless.
“While the average savings rate on our database is an uninspiring 3.07 per cent, there are six banks still offering an ongoing savings rate of 5 per cent or more. That said, if the RBA wields its knife again in July or August, savings rates starting with a 5 won’t last beyond winter.
“Term deposit rates are, unsurprisingly, falling faster than at-call savings rates, as banks continue to bake in further cash rate cuts into the fixed rate term.
“If you’re someone who likes the certainty and security a term deposit can bring, time is of the essence as these rates are likely to keep on falling in the weeks ahead.”
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This article was reviewed by our Finance Editor Jessica Pridmore before it was updated, as part of our fact-checking process.
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