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Best Australian Savings Accounts

Best Australian Savings Accounts

What are the best Australian Savings Accounts in 2021?

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.

Interest Account Requirements
Westpac 3%
Base 0.40%
Bonus 2.60%
Westpac Choice + Westpac Life
  • 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 3%
Base 0.05%
Bonus Varies
BOQ Fast Track Starter
  • 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 1.35%
Base 0.05%
Bonus 1.30%
ING Savings Maximiser + Orange Everyday
  • 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 1.25%
Base 0.10%
Bonus 1.15%
AMP Saver Account
  • Deposit $250+ per month into your account
  • Bonus Interest on balances up to $250k
86400 1.20%
Base 0.10%
Bonus 1.10%
:86 400
  • Deposit $1k+ per month into your account
My State 1.20%
Base 0.10%
Bonus 1.10%
MyState Bonus Saver
  • 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
Virgin Money 1.20%
Base 0.10%
Bonus 1.10%
Virgin Money Boost Saver
  • 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 1.20%
Base 0%
Bonus Varies
Illawarra Credit Bonus Saver
  • Deposit $1k+ into your account per month
  • Make no account withdraws
  • Bonus interest (0.40% - 1.20%) varies depending on balances up to $100k.
UBank 1.10%
Base 0.10%
Bonus 1.0%
UBank USave + USpend
  • Deposit $200+ into your account per month
  • Bonus Interest on balances up to $250k
Me Bank 1.10%
Base 0.05%
Bonus 1.05%
Online Savings Account +
Everyday Transaction Account
  • Make four purchases per month
  • Bonus interest applies to balances up to $250k
Bank of Queensland 1.05%
Base 0.05%
Bonus 1.0%
BOQ Fast Track Saver
  • Deposit $1k+ into your account per month
  • Make 5+ eligible transactions
  • Bonus interest applies to balances up to $250k
Macquarie Bank 0.95%
Varies
Macquarie Bank Savings Account
  • 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 0.95%
Base 0.05%
Bonus 0.90%
Home Saver + Everyday Snap Account
  • Deposit $2k+ per month into your Great Southern Bank transaction account
  • Make 5+ eligible transactions
RaboBank 0.90%
Base 0.10%
Bonus Varies
RaboBank PremiumSaver
  • Deposit $200+ into your account per month
  • Highest bonus interest applies to balances up to $250k
Volt Bank 0.90%
Base 0.90%
Volt Bank
  • Interest applies to balances up to $245k
MOVE Bank 0.85%
Base 0.10%
Bonus 0.75%
MOVE Bonus Saver
  • Deposit $200+ per month into your account
  • Make no withdrawals per month
  • Bonus interest applies to balances up to $250k
Suncorp 0.80%
Base 0.05%
Bonus 0.75%
Suncorp Growth Saver
  • Deposit $200+ per month into your account
  • Make no more than one withdrawal per month
Qudos Bank 0.80%
Base 0.05%
Bonus 0.75%
Qudos Bank Bonus Saver
  • Make no withdrawals per month
Up Bank 0.70%
Base 0%
Bonus 0.70%
Up Bank
  • Make 5+ successful Up debit purchases
  • Bonus interest applies to balances up to $1M
Bankwest 0.70%
Base 0.01%
Bonus 0.69%
Bankwest Hero Saver
  • 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 05/June/2021

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.

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.

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 3% for the whole year. So each year the bank will pay you $30 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.