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- Westpac September RBA rate changes kick in today
Westpac September RBA rate changes kick in today
Westpac’s savings and home loan RBA rate increases take effect today, four days after CBA, NAB and ANZ increased rates.
Following the 0.50 percentage point hike, Westpac’s lowest variable mortgage rate is now 3.99 per cent for two years, then 4.39 per cent.
Australia’s second largest bank has also today increased its fixed home loan rates by 0.50 percentage points for all 1-to-5-year terms for owner-occupiers and investors.
Lowest big four bank rates for owner-occupiers paying principal and interest
| Rate type | CBA | Westpac | NAB | ANZ |
| 1-yr fixed | 4.99% | 5.09% | 5.29% | 4.69% |
| 2-yr fixed | 5.79% | 5.89% | 5.89% | 5.49% |
| 3-yr fixed | 6.39% | 6.19% | 6.34% | 5.89% |
| 4-yr fixed | 4.99% | 5.39% | 6.59% | 5.99% |
| 5-yr fixed | 6.69% | 6.49% | 6.69% | 6.09% |
| Lowest variable | 4.19% | 3.99% for 2 yrs then 4.39% | 4.24% | 4.19% |
Source: RateCity.com.au. Rates are for owner-occupiers paying principal and interest. Some LVR requirements apply.
Westpac savings rate changes
- Life: increased 0.50% points to 2.35%
- Spend&Save (ages 18-29): increased 0.25% points to 3.50% for balances up to $30k
- Bump (ages 0-17): increased 0.65% points to 2.35%
- Westpac eSaver: 5-month intro rate increased by 0.50% points, but the ongoing rate for existing customers has not changed, remaining at 0.85%
Big four bank bonus saver rates
| Bank | Account | Max rate |
| CBA | GoalSaver | 2.10% |
| Westpac | Life | 2.35% |
| NAB | Reward Saver | 2.25% |
| ANZ | Progress Saver | 1.65% |
Source: RateCity.com.au. Conditions for max rate apply.
Big four bank online saver rates
| Bank | Account | Intro rate | Ongoing rate |
| CBA | NetBank Saver | 2.30% for 5 mths | 0.85% |
| Westpac | eSaver | 2.30% for 5 mths | 0.85% |
| NAB | iSaver | 1.80% for 4 mths | 0.85% |
| ANZ | Online Saver | 1.55% for 3 mths | 0.60% |
Source: RateCity.com.au.
Savings rates break the 4% barrier
The highest ongoing savings rate has finally hit the 4 per cent mark today, for the first time since 2015, RateCity.com.au data shows.
BOQ has today increased its Future Saver account by 0.50 percentage points to 4 per cent, double the rate it was before the RBA hikes began in May. The catch is, this account is only available to people aged 14 to 35 for balances up to $50,000.
RateCity.com.au savings account database analysis:
- 6 banks are now offering ongoing rates above 3% for all adult savers.
- 36 banks have so far announced they are hiking at least one savings account rate since the RBA September meeting.
RateCity.com.au research director, Sally Tindall, said: “It’s been seven long years since we’ve seen ongoing savings rates starting with a ‘4’. We expect more banks to lift rates above this mark within the next couple of rate hikes.”
“BOQ is making a play for new customers who are likely to go on to buy their first car or their first home,” she said.
“Westpac is also trying to attract Australians, with a special rate of 3.5 per cent for peopled aged 18 to 29, for balances up to $30,000.
“While many banks are hiking savings rates, not all accounts are going up this month. In fact, millions of big four bank customers with online saver accounts have missed out completely.
“The big four have left the ongoing rates on their popular online accounts untouched and as a result, their customers are only earning between 0.60 and 0.85 per cent interest.
“The competition in the savings sector is heating up so now is the time to look for a better rate. We’ve already seen one bank hit the 4 per cent mark, with others poised to follow in the coming months,” she said.
Highest ongoing savings rates on RateCity.com.au
| BONUS SAVER ACCOUNTS: MAX RATES | ||
| All adult market leaders | Rate | Balance for max rate |
| Virgin Money Boost Saver | 3.60% | $250k |
| ING Savings Maximiser | 3.60% | $100k |
| BOQ Smart Saver | 3.35% | $250K |
| ubank Save* | 3.35% | $250k |
| Young adult market leaders | Rate | Balance for max rate |
| BOQ Future Saver (14-35) | 4.00% | $50k |
| Westpac Spend&Save (18-29) | 3.50% | $30k |
Source: RateCity.com.au. Conditions for max rate apply. *ubank rate effective 1 Oct.
Disclaimer
This article is over two years old, last updated on September 20, 2022. While RateCity makes best efforts to update every important article regularly, the information in this piece may not be as relevant as it once was. Alternatively, please consider checking recent home loans articles.
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