ANZ cut savings rates as banks anticipate looming RBA cash rate cut

ANZ Bank are the second of the big four to cut their savings rates in the last week.

They've cut their savings rates by up to 0.10 per cent, bringing their ongoing rate to 0.10 per cent, the worst of the big four.

ANZ also have the lowest introductory rate at 1.85 per cent for the first three months.

Big four banks standard savings account: Source RateCity

Westpac cut their ongoing rate by 0.10 per cent last week.

Sally Tindall, research director at RateCity.com.au, said banks had begun to slash rates ahead of a further cut to the cash rate, which could come as soon as next week.

“ANZ and Westpac customers will now find it just that little bit harder to squeeze any sort of interest out of their bank,” she said.

“In many cases, ANZ customers are earing ongoing rates of just 0.10 per cent on their standard savings accounts, which makes them little more than a safe place to park your money.

“ANZ customers with a conditional savings account can get up to 1.85 per cent interest, but if they forget to meet the banks terms and conditions, it drops to as little as 0.01 per cent.

“Savers around the country are doing it incredibly tough, and for many its enough to throw their hands up in the air.

“That said, it’s still worth shopping around for a decent rate. RateCity.com.au’s database shows some banks are still willing to offer ongoing rates of up to 2.50 per cent.

“Two of the banks offering ongoing rates of 2.50 per cent are neo banks, which suggests it could pay to look outside the box,” she said.