Savings Account Update: Savers are fleeing big bank rate cuts

Do you know your savings account rate? The interest rate that your savings account pays you determines how much you will earn each month and year from depositing your money in the bank.

Right now, CPI inflation in Australia is 1.8% per annum according to the Reserve Bank, so if you are not earning 1.8% on your savings, your money is effectively losing value over time.

New online neobanks are grabbing thousands of new customers as the big four banks continue to slice their maximum bonus rates on their savings accounts.

Xinja Bank has collected more than 15,000 new customers since launching in January and more than $100m in deposits. Check out the Xinja Bank Stash account.

Here are the current savings account rates as offered by the big four banks in Australia:

Big four bank at-call savings rates 27 February 2020:

Go directly to ANZ Online Saver interest rates and fees information at InfoChoice.

Go directly to ANZ Progress Saver interest rates and fees information at InfoChoice.

Go directly to ANZ Bank interest rates and fees information at InfoChoice.

Go directly to NAB iSaver interest rates and fees information at InfoChoice.

Go directly to NAB Reward Saver interest rates and fees information at InfoChoice.

Go directly to National Australia Bank interest rates and fees information at InfoChoice.

Go directly to Westpac eSaver interest rates and fees information at InfoChoice.

Go directly to Westpac Life interest rates and fees information at InfoChoice.

Go directly to Westpac Bank interest rates and fees information at InfoChoice.

Go directly to CommBank GoalSaver interest rates and fees information at InfoChoice.

Go directly to CommBank Netbank Saver interest rates and fees information at InfoChoice.

Go directly to Commonwealth Bank interest rates and fees information at InfoChoice.

Savers are comparing and switching to better rates

Savers who compare savings account rates are finding the best rates in the market now are over 2.0% pa, well ahead of inflation at 1.8%. Some of the best savings interest rates in March in Australia are in our Editor’s Pick of savings rates:

ME’s Online Savings Account (with ongoing bonus) is currently featuring a base rate of 0.35% pa and a maximum bonus rate of 2.05% pa.

The bonus rate is paid to you when you have a ME Everyday Transaction Account and make at least four tap & go purchases with your debit Mastercard during the month.

Go directly to ME Online Savings Account interest rates and fees information at InfoChoice.

Go directly to ME interest rates and fees information at InfoChoice.

RaboBank’s Online High Interest Savings Account has a base rate of 1.05% pa and a maximum bonus rate of 2.50% pa for the first four months.

Go directly to Rabobank High Interest Online Savings Account interest rates and fees information at InfoChoice.

Go directly to Rabobank interest rates and