Big banks continued with saving rate cuts: Mozo

Big banks continued with saving rate cuts: Mozo
Big banks continued with saving rate cuts: Mozo

At call savings rates are continuing to fall ahead of the RBA’s meeting next week with the average interest rate cut recorded coming in at 0.17%, according to analysis by financial comparison site Mozo.com.au.

Mozo also found the average ongoing at call savings account rate is now sitting at just 0.97%, well below inflation at 1.80%.

The Big 4’s average rate for at call savings accounts is just 0.66%, 0.31% below the average. ANZ (-5bp), NAB (-11bp) and Westpac (-10bp) have all made significant cuts to their at call savings rates this year.

Mozo Director Kirsty Lamont said, "although the Reserve Bank has left official interest rates on hold since October, it hasn’t stopped some of our biggest banks slicing interest rates of most the popular savings accounts."

“The most recent interest rate cuts by the big banks is not great news for savers but if you are looking for a savings account currently the best ongoing bonus rate in our database today is 2.25%. That’s 1.28% higher than the average."

“If you don’t need to access your savings on a regular basis you could also consider hedging against a further official rate cut by switching to a fixed term deposit,” says Lamont.

Mozo found the average 6 month term deposit rate is 1.48%, with the highest 6 month term deposit rate being 1.95% through Judo Bank.

Tags: 
Interest Rate Cuts Saving Rates

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