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Best Australian Savings Accounts

Best Australian Savings Accounts

What are the best Australian Savings Accounts in 2022?

We have compiled a list of the top Australian savings accounts to store your money. The aim of this list is to show you which bank accounts will give you the highest interest for your savings.

This list highlights the top 15+ most popular Australian high interest savings accounts.

Account Interest Requirements
Westpac Logo
Westpac Choice + Westpac Life
2.5%
Base 0.25%
Bonus 2.25%
  • Must be 18 - 29 years old
  • Increase balance in your Westpac Life account each month
  • Make 5 card transactions with Westpac Choice account
  • Highest interest applies to balances up to $30k
Bank of Queensland Logo
BOQ Fast Track Starter
2.0%
Base 0.05%
Bonus Varies
  • Must be 14 - 24 years old
  • Deposit $200 into your linked Day2Day Plus Account per month
  • Make 5 eligible transactions from your linked Day2Day Plus Account
  • Bonus Interest on balances up to $10k
ING Logo
ING Savings Maximiser + Orange Everyday
1.35%
Base 0.05%
Bonus 1.30%
  • Deposit $1k+ into your Orange Everyday account per month
  • Make 5+ card purchases from your Orange Everyday account
  • Grow the balance on your nominated Savings Maximiser account
  • Interest on balances up to $100k
AMP Logo
AMP Saver Account
1.35%
Base 0.10%
Bonus 1.25%
  • Deposit $250+ per month into your account
  • Bonus Interest on balances up to $250k
86400 Logo
:86 400
1.20%
Base 0.10%
Bonus 1.10%
  • Deposit $1k+ per month into your account
Virgin Money Logo
Virgin Money Boost Saver
1.20%
Base 0.10%
Bonus 1.10%
  • Bonus Interest on balances up to $250k
  • 18+ years: Make 5+ purchases, direct debits or BPAY payments
  • 18 – 24 years: Also deposit $1k+ into your Virgin Money Go account per month
  • 25+ years: Also deposit $2k+ into your Virgin Money Go account per month
Illawarra Credit Logo
Illawarra Credit Bonus Saver
1.20%
Base 0%
Bonus Varies
  • Deposit $100+ into your account per month
  • Make no account withdraws
  • Bonus interest (0.40% - 1.20%) varies depending on balances up to $100k.
My State Logo
MyState Bonus Saver
1.10%
Base 0.05%
Bonus 1.05%
  • Deposit $20+ into your Bonus Saver account per month
  • Make 5+ settled debit transactions per month from your linked Glide account
  • Bonus Interest on balances up to $250k
UBank Logo
UBank USave + USpend
1.05%
Base 0.05%
Bonus 1.0%
  • Deposit $200+ into your account per month
  • Bonus Interest on balances up to $250k
Bank of Queensland Logo
BOQ Fast Track Saver
1.0%
Base 0.05%
Bonus 0.90%
  • Deposit $1k+ into your account per month
  • Make 5+ eligible transactions
  • Bonus interest applies to balances up to $250k
Me Bank Logo
Online Savings Account + Everyday Transaction Account
1.0%
Base 0.05%
Bonus 0.95%
  • Make four purchases per month
  • Bonus interest applies to balances up to $250k
Macquarie Bank Logo
Macquarie Bank Savings Account
0.95%
Varies
  • 1.10% Bonus interest for first four months then defaults to 0.95% after
  • Highest interest applies to balances up to $250k
Great Southern Bank Logo
Home Saver + Everyday Snap Account
0.95%
Base 0.05%
Bonus 0.90%
  • Deposit $2k+ per month into your Great Southern Bank transaction account
  • Make 5+ eligible transactions
RaboBank Logo
RaboBank PremiumSaver
0.90%
Base 0.10%
Bonus Varies
  • Deposit $200+ into your account per month
  • Highest bonus interest applies to balances up to $250k
Volt Bank Logo
Volt Bank
0.90%
Base 0.90%
  • Interest applies to balances up to $245k
MOVE Bank Logo
MOVE Bonus Saver
0.85%
Base 0.10%
Bonus 0.75%
  • Deposit $200+ per month into your account
  • Make no withdrawals per month
  • Bonus interest applies to balances up to $250k
Qudos Bank Logo
Qudos Bank Bonus Saver
0.70%
Base 0.05%
Bonus 0.65%
  • Make no withdrawals per month
Up Bank Logo
Up Bank
0.50%
Base 0%
Bonus 0.50%
  • Make 5+ successful Up debit purchases
  • Bonus interest applies to balances up to $1M
Suncorp Logo
Suncorp Growth Saver
0.50%
Base 0.05%
Bonus 0.45%
  • Deposit $200+ per month into your account
  • Make no more than one withdrawal per month
Bankwest Logo
Bankwest Hero Saver
0.45%
Base 0.01%
Bonus 0.44%
  • Deposit $200+ per month into your account
  • Make no withdrawals per month
  • Bonus interest applies to balances up to $250k

This list was last updated on 12/January/2022

What is a savings account?

A savings account is a bank account. Its purpose is for you to store your money in for safe keeping and later use.

The two most common types of bank accounts are savings and transaction accounts. You use a savings account to store your money in for a longer period of time without taking it out. Transaction accounts are for your day to day expenses.

A savings account is a great way to save for big goals such as buying a house or going on a holiday. It is also a good place to store money ready to use in you come into an emergency.

Banks encourage you to store your money in the account by paying you interest.

Although some accounts may come close, there is no single best savings account. This is because everyone's needs are different.

It is recommended that you regularly review which accounts have the better interest and serve your needs the best. There is no benefit to you for being a loyal long term customer of a bank.

What to Look for in a Savings Account

Savings accounts are not all the same and differ to transaction accounts. They come in all shapes and sizes. You must choose the right one that works best for your needs to maximise your savings. Here are the three top factors to consider when choosing a savings account:

  1. Interest Rate:
    You want your bank to pay you the highest interest rate available. This is to maximise the return on your balance. Every bank will pay a different interest rate. Like the comparison list above.

    Some banks will entice you to sign up by offering a higher introductory interest rate. But when the bonus period ends, your rate will be lower. This is not always a good thing if you are going to be holding that money in the account for a long period of time. When compared to an account that offers an interest rate upfront, it may work out better to take the lower rate.

  2. Account Fees:
    Some banks charge an account keeping fee. This may be the case if your bank has a good interest rate. The majority of popular banks listed will not have an account keeping fee.

    Some banks may charge other fees too. Fees could be for depositing at a branch, making transactions and withdrawing from an ATM.

    The fees that you pay can eat into your balance if you are not careful. It is a good idea to plan how you will use your account to avoid any unnecessary fees. In most cases, the most popular banks have low or no fees at all.

  3. Easy access:
    How often you bank and how you access your account can be a factor for which savings account you go with.

    Some banks have a physical branch you can visit, others allow for over the phone while some run only via an app. Having easy access can also be a negative for some people. They may save better if they have many steps to be able to access their money. It can allow them to save better by lowering the temptation for accessing their money. Either way, you do not want to be stuck in a situation where you have no money because you cant access your account.

    Either way, make sure you are aware of the accessibility of your saving account.

  4. Min/Max balance:
    Some banks will require you to keep a minimum balance to earn interest. Others may only pay interest on the balance under a certain threshold. Anything over the threshold will receive no interest. Most of the popular banks listed above do not have these limits and instead will require you to increase your balance each month instead.

  5. Withdrawals:
    Some banks will only pay interest on accounts that have not had any withdraws. i.e. increase your bank balance each month to be eligible for the bonus interest paid.

  6. Linked accounts:
    Some banks will require you to have both their savings account and everyday transaction account with them to be eligible for the bonus interest. By doing so, locks you into using their bank rather than just being able to park your money there.

What Is Savings Account Interest?

Banks will pay you a small percentage of money for you to keep your money in their banks savings account. Not all banks will pay you interest. The most popular ones usually do.

The term High Interest Savings Account (HISA) describes the type of savings account it is - an account with high interest. Though in today's low interest world, "High Interest" isn't high.

Most savings accounts calculate interest on your balance daily. They will then pay into your account the interest accrued at the end of the month. The interest rate seen on your account gets paid per annum.

As a simple example: You maintain a balance of $1000 in your account at all times. Your bank interest rate is 2.5% for the whole year. So each year the bank will pay you $25 for keeping your money with them.

Keep in mind that the interest rate on your bank account can change at any moment at your banks discretion. Changes usually coincide with what interest rate the Reserve Bank of Australia sets.

Quick facts on Australia's Top interest paying banks

Westpac
Westpac Logo
  • Established 1817 (205 years old) as the Bank of New South Wales making it Australia's oldest bank.
  • Rebranded to Westpac Banking Corporation in 1982 with the merger of Commercial Bank of Australia.
  • One of the "Big Four" banks of Australia (along with Commonwealth Bank, NAB and ANZ).
  • Westpac also owns St. George, BankSA, Bank of Melbourne and RAMS.
  • Westpac Choice paired with their Westpac Life account is currently their highest paying and market-leading interest account for customers between 18 - 29 years old.
Bank of Queensland
Bank of Queensland
  • Established 1863 (159 years old)
  • Based in Brisbane but open to all customers across Australia.
  • Was originally a building society but has been a retail bank since 1942.
  • Owns Virgin Money and ME Bank.
  • BOQ Fast Track Starter is currently their highest paying interest account for people between 14 - 24 years old.
  • BOQ Fast Track Saver is currently their highest paying interest account.
ING
ING Logo
  • Established 1991 (31 years old)
  • Formerly known as ING Direct.
  • Operates as a digital only bank in Australia with no branches. This means you can withdraw from any ATM for free.
  • ING Savings Maximiser + Orange Everyday is currently their highest paying interest account.
:86400
86400 Logo
  • Established 2017 (5 years old)
  • Operates as a "smartbank" on your phone with no branches.
  • Acquired by NAB in 2021
  • :86 400 allows you to create up to 3 savings accounts and earn interest on all.
Virgin Money
Virgin Money Logo
  • Established 2009 (13 years old)
  • 100% owned by the Bank of Queensland (BOQ) group.
  • Virgin Money Boost Saver is currently their highest paying interest account.
Illawarra Credit Union
Illawarra Credit Logo
  • Established 1972 (50 years old)
  • Based in New South Wales
  • Customer-owned Credit Union where profits are reinvested into the business rather than shareholders.
  • Illawarra Credit Bonus Saver is currently their highest paying interest account.
AMP
AMP Logo
  • Established 1849 (173 years old).
  • Operates in Australia and New Zealand.
  • Specialises in financial planning and investment.
  • AMP Saver Account is currently their highest paying interest account.
MyState Bank
My State Logo
  • Established 2009 (13 years old)
  • Head office located in Tasmania
  • MyState Bonus Saver is currently their highest paying interest account.
UBank
UBank Logo
  • Established 2008 (14 years old)
  • Online only bank owned by NAB
  • UBank USave + USpend is currently their highest paying interest account.
Me Bank
Me Bank Logo
  • Established 1994 (28 years old)
  • Online-only bank owned by the Bank of Queensland Group which means you can access any ATM fee free.
  • Online Savings Account + Everyday Transaction Account is currently their highest paying interest account.
Macquarie
Macquarie Bank Logo
  • Established 1969 (53 years old)
  • A worldwide investment bank headquartered in Sydney.
  • Macquarie Bank Savings Account is currently their only personal high interest bank account.
Great Southern Bank
Great Southern Bank Logo
  • Established 1946 (76 years old) and largest customer-owned financial institution in Australia.
  • Formerly known as Credit Union Australia (CUA)
  • Head office is located in Queensland.
  • Home Saver + Everyday Snap Account is currently their highest paying interest account.
RaboBank
RaboBank Logo
  • Established 1895 (127 years old)
  • A Dutch bank and operates online-only in Australia.
  • RaboBank PremiumSaver is currently their highest paying interest account.
Volt Bank
Volt Bank Logo
  • Established 2019 (3 years old)
  • Neo-bank operated via app-only.
  • Volt Bank is currently their highest paying interest account.
MOVE Bank
MOVE Bank Logo
  • Established 1968 (54 years old)
  • Formerly known as Railways Credit Union. Became MOVE Bank in 2018 to reflect serving the broarder transport and logistics industry.
  • 100% customer-owned.
  • MOVE Bonus Saver is currently their highest paying interest account.
Up Bank
Up Bank Logo
  • Established 2018 (4 years old)
  • Extremely popular app among users. An app-only bank which means it has no branches and you can use any ATM fee free.
  • Bendigo Bank acquired Up in 2021
  • Up Bank is currently their highest paying interest account.
Suncorp
Suncorp Logo
  • Established 1902 (120 years old)
  • Began in Queensland but operates across Australia and New Zealand.
  • Part of the Suncorp group that owns several insurance bands.
  • Has a network of branches and ATM's across Australia.
  • Suncorp Growth Saver is currently their highest paying interest account.
Qudos Bank
Qudos Bank Logo
  • Established 1959 (63 years old)
  • Formerly known as Qantas Credit Union it is 100% customer-owned.
  • Headquartered in New South Wales and branches in Brisbane, Sydney and Melbourne.
  • Qudos Bank Bonus Saver is currently their highest paying interest account.
Bankwest
Bankwest Logo
  • Established 1895 (127 years old)
  • Formerly known as The Bank of Western Australia serving farmers in Western Australia.
  • Acquired by Commonwealth Bank in 2008.
  • Now a national bank with branches in most major cities.
  • Bankwest customers can use any Commonwealth Bank branch and ATM.
  • Bankwest Hero Saver is currently their highest paying interest account.

Government deposit guarantee

The Australian government protects consumers and will pay back to you up to $250,000 in the unlikely event that a deposit taking institution (ADI) closes down. Deposit taking institutions include a bank, credit union or building society.

The governments financial claims scheme applies per person and per institution. This means that if you have $250,000 in 2 different bank accounts and they both closed down, the government will pay you back your $500,000.

Conclusion

The best bank is not always the one with the highest interest but rather the one that suits your needs the most.

If you are between 14 and 29 years old then make use of the incentive bank accounts for young people because they will provide the highest interest for you.

If you want the best banking experience on a mobile device then you cant go wrong with ING (the current highest interest rate account) or digital only banks like 86400 or Up bank (remember to use the referral codes above to receive your bonus on signup).

If you are flexible with requirements then you cant go wrong with any of the highest interest rate giving banks listed above. If you find another account not listed above, make sure it pays comparable or higher ongoing interest and has no fees.