Get App
Is your money working as hard as it could be? If it’s not, you might want to take a closer look at your savings account.
Canstar’s Savings Account Awards recognise the institutions that provide Outstanding Value to consumers across their suite of savings accounts. They are based on Canstar’s Savings and Transaction Account Star Ratings, which assess and rank accounts based on both price and features.
Interest rates are at record lows but for those who are looking for a low risk way to stash their cash, it’s worth looking around as there is quite the gap between the highest and lowest rates in the market. The average interest rate is currently 0.24% for flexible savers (those who want to save without being constrained by savings conditions or requirements) and 0.65% for regular savers (those who are willing to meet stricter conditions to get a higher interest rate). This is based on accounts rated as part of our Star Ratings. Here’s how much more you could save by choosing a 5-Star Rated account:
- 0.16% more on a 5-Star-Rated Flexible Saver Account
- 0.79% more on a 5-Star-Rated Regular Saver Account
Average Savings Account Total Rate
| Rating profile | 5-Star Accounts | All Rated Accounts |
|
Flexible Saver (total based on base plus promo rates) |
0.40% | 0.24% |
| Regular Saver (total based on base plus bonus rates) | 1.44% | 0.65% |
Source: www.canstar.com.au – 8/04/2021. Based on accounts rated in the Flexible and Regular saver profiles of Canstar’s April 2021 Savings & Transaction Accounts Star Ratings. Averages based on rates available for a $10,000 deposit. For more information regarding the profiles please refer to Canstar’s Star Rating Methodology.
2021 Savings Account Award Winners
The winners of Canstar’s 2021 Savings Account Awards were found to offer competitive rates and features based on the Savings and Transaction Account Star Ratings. In general, the accounts that received an award offered either a high base rate, or the conditions of their bonus rate were straightforward and tied to a customer’s everyday spending with a linked transaction account, rather than overcoming a set savings hurdle. It should be noted that providers typically give their top savings rates to customers who use them as their primary institution. In other words, customers who have both their transaction and savings accounts with the one institution.
In alphabetical order, the winners of Canstar’s Outstanding Value – Savings Account Awards are:
86 400
The neobank’s Save Account currently offers a total variable interest rate of 1.20% p.a. This is made up of a base rate of 0.10% p.a. and a bonus rate of 1.10% p.a. when you deposit $1,000 per month into the savings account or a linked 86 400 transaction account.
BOQ
BOQ’s Fast Track Saver account comes with a combined variable interest rate of 1.05% p.a., including a 0.05% p.a. base rate and 1.00% p.a. bonus rate when you deposit $1,000 and make five transactions per month with a linked BOQ transaction account. BOQ also offers other savings accounts for different circumstances, including an account for people aged between 14 and 24 years old with a higher savings rate at the time of writing.
CUA
The credit union’s eSaver Reward Account has a total rate of 0.95% p.a. (base rate of 0.05% p.a. plus a variable bonus rate) when $1,000 is deposited into your CUA transaction account per month.
Macquarie Bank
Macquarie Bank’s Savings Account currently has a 1.10% total variable rate, which includes a 0.95% p.a. ongoing base rate with no conditions and a 0.15% promotional rate for the first four months.
ME Bank
ME Bank’s Online Savings Account has a combined variable interest rate of 1.10% p.a. This is made up of a 0.05% p.a. base rate and a 1.05% p.a. bonus rate when you make four tap-and-go transactions a month using a linked ME Bank transaction account.
UBank
UBank’s USave account can be combined with a USpend account to earn up to a 1.10% p.a. total variable rate for USave, including a 0.10% p.a. base rate and a 1.00% p.a. bonus rate when you deposit at least $200 a month from a non-UBank account into the USpend transaction account. Customers can also take out a USave account only and receive just the base rate.
Volt
Volt’s savings account has a 1.00% p.a. variable base rate. The neobank says there are no ‘catches’ customers need to meet to get that rate.
Further terms and conditions may apply for each of these accounts. For example, interest rates may only apply to balances up to a certain amount. Contact the provider directly for details. For more information about how the Awards are determined, read Canstar’s methodology.
Cover image source: eamesBot/Shutterstock.com
This content was reviewed by Sub Editor Jacqueline Belesky and Finance Journalist Tamika Seeto as part of our fact-checking process.
Share this article