Julia
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Keep asking whatever you need to, new order. Apologies if I've created an impression you should have understood how the interest rate stuff works.
Which banks have increased their savings rates?
We’ll be updating this article as changes come through from the major banks and other institutions.
ANZ
Following the RBA’s November cash rate call, ANZ will increase the rate on the ANZ Plus Save account by 0.25%pa to 3.50%pa for balances less than $250,000, effective from November 10 2022.
Bankwest
BankWest has announced changes to some of its savings and deposit products, as follows:
- BankWest’s Variable Rate Hero Bonus Rate will increase by 0.50% to 3.25% p.a. for balances up to $250,000, effective 11 November 2022.
- BankWest’s Easy Saver Rate will increase by 0.50% to 2.85% p.a. for balances up to $50,000, effective 11 November 2022.
- BankWest’s 12-month term deposit rate will increase t0 4.10% p.a., effective 4 November 2022.
Bank of Melbourne
Bank of Melbourne has announced changes to some of its savings and deposit products, as follows:
- Bank of Melbourne’s Incentive Saver total variable rate with bonus interest will increase by 0.85% to 4.00% p.a., effective 9 November 2022.
- Bank of Melbourne’s Maxi Saver total variable rate will increase by 0.85% to 4.00% p.a. for new customers for the first three months, effective 9 November 2022.
- Customers will be able to access a new term deposit offer of 4.00% p.a. for 12 to 23 months, effective 4 November 2022.
BankSA
BankSA has announced changes to some of its savings and deposit products, as follows:
- BankSA’s Incentive Saver total variable rate with bonus interest will increase by 0.85% to 4.00% p.a., effective 9 November 2022.
- BankSA’s Maxi Saver total variable rate will increase by 0.85% to 4.00% p.a. for new customers for the first three months, effective 9 November 2022.
- Customers will be able to access a new term deposit offer of 4.00% p.a. for 12 to 23 months, effective 4 November 2022.
CommBank
CommBank has announced changes to some of its savings and deposit products, as follows:
- CommBank’s NetBank Saver standard variable interest rate will increase by 0.25% p.a. to 1.35% p.a. The five-month introductory variable rate will increase by 0.50% p.a. to 3.50% p.a., effective 11 November 2022.
- CommBank’s GoalSaver with bonus interest rate will increase by 0.30% p.a. to 2.70% p.a., effective 11 November 2022.
- Youthsaver with bonus interest rate will increase by 0.30% p.a. to 2.90% p.a., effective 11 November 2022.
- Some of CommBank’s term deposit interest rates will also be increased, including its 12-month term deposit which will be raised by 0.40% to 3.75% p.a. Its 18-month term deposit special will increase to 4.00% p.a. These new term deposit rates will be effective from 7 November 2022.
Macquarie Bank
Macquarie Bank announced it will increase interest rates across a range of deposit products by 0.25% p.a. The increases to savings rates include:
- Macquarie’s savings account welcome rate, which will increase 0.25% to 4.25% p.a. for new customers, for the first four months on balances up to $250,000, effective 3 November 2022.
- The ongoing interest rate on savings and everyday transaction accounts will increase 0.25% to 3.45% p.a., on balances up to $250,000, effective 16 November 2022.
St. George
St. George Bank has announced changes to some of its savings and deposit products, as follows:
- St. George’s Incentive Saver total variable rate with bonus interest will increase by 0.85% to 4.00% p.a., effective 9 November 2022.
- St. George’s Maxi Saver total variable rate will increase by 0.85% to 4.00% p.a. for new customers for the first three months, effective 9 November 2022.
- Customers will be able to access a new term deposit offer of 4.00% p.a. for 12 to 23 months, effective 4 November 2022.
ubank
NAB subsidiary ubank has announced that it will pass on the RBA’s latest interest rate rise to its savings customers, effective December 1 2022. The provider says that its savings rate will be increased from 3.60% p.a. to 3.85% p.a — a base rate of 0.10% and a bonus rate of 3.75%.
Westpac
The major bank announced the following deposit rate changes, which will be effective from 9 November 2022, unless otherwise indicated:
- Westpac Life total variable rate with bonus interest will increase by 0.90% p.a. to 3.50% p.a.
- Westpac eSaver total variable rate will increase by 0.95% p.a. to 3.50% p.a. for new customers for the first five months.
- Customers will be able to access a new term deposit offer of 3.75% p.a. for 12 to 23 months, effective 4 November 2022.
Or you can go through an ETF, get diversification but give up 0.35% in MER, and buy a Capital Note ETF.CBA is raising $750 million of hybrid capital to strengthen its balance sheet with a capital note called PERLS XV that will have a floating yield of around 5.84 per cent and matures in 2031. NAB Capital Notes 3 is offering 7.19 per cent yield to maturity and Macquarie Bank Capital Notes 2 has a 7.07 per cent yield to maturity.
Have you taken a look at Plenti.I got my money spread through 6 different banks in various savers. My best one is with st George at 3.15% worst one with Anz at 2%
By doing this I have the 250k guarantee, also different banks and saver accounts might have different increases in the future.
I don't think there is a point at locking in a rate, things will be fluid for a while.
Cleaned up 1k in interest last month, things are starting to look decent... as long as u forget inflation is most likely double digit ?
Actually you recommend it to me a good year+ ago and I have been sitting on the fence about it since then 4.8% currently I Just checked it sure does sound very sweet.Have you taken a look at Plenti.
Minimum deposit is only $10, it might be worth having a look at it, even if it’s just with a little bit of play money at first
I got my money spread through 6 different banks in various savers. My best one is with st George at 3.15% worst one with Anz at 2%
By doing this I have the 250k guarantee, also different banks and saver accounts might have different increases in the future.
I don't think there is a point at locking in a rate, things will be fluid for a while.
Cleaned up 1k in interest last month, things are starting to look decent... as long as u forget inflation is most likely double digit ?
Disc: As a soph, I have an OTC bond allocation through FIIG. I lose 0.20%pa in management fees from the stated return but hold a bunch of Inflation linked bonds. Directly.
I have had them for ages just buy on market with usual broker fees.Did you know about Government bond CDIs? You can buy the inflation linked bonds, directly, yourself, with no 0.2%pa fee (although there is a spread from the market maker).
Click "Exchange-traded Treasury Indexed Bonds"
Bonds - prices
Invest in a range of tradeable government bonds and corporate bonds. Get the latest prices for exchange-traded treasury bonds, exchange-traded treasury indexed bonds, corporate fixed bonds and corporate floating bonds.www2.asx.com.au
The longer term loans are at about 6%, also the pay monthly principle an interest payments, so you don’t have to wait the full term to get all your capital back, some loans also get paid off early.Actually you recommend it to me a good year+ ago and I have been sitting on the fence about it since then 4.8% currently I Just checked it sure does sound very sweet.
Have you ever had anybody default on their loan?
a fair bit of book-work ( learning about the various bonds, hybrids and notes ) but CAN ( not always ) be a nice dealTDs are fine, as they fall in the $250K guarantee, but the money gets locked away .. and what is your view on interest rates going forward? If the RBA keeps raising (to contain inflation) then locking in to a TD will bring lower returns, whereas if the cycle is close to peaking, then a TD may be beneficial.
A lot of it depends where, what and how you want to sit on the Risk / reward / Timeline profile.. In interest-rate land when looking for income but not capital gains, there can be three forms of return, Fixed rate, Floating rate and Inflation linked. And, as per the first point, there are trade-offs
View attachment 148800
That's the more arcane overview; more simply it can be put like this:
View attachment 148799
...but as an aside, there was an article recently that said ASX listed Hybrids (Capital Notes) are offering higher returns than shares, in the current market. Recently:
Or you can go through an ETF, get diversification but give up 0.35% in MER, and buy a Capital Note ETF.
And, at present, the wacky world of T2 subordinated debt is actually offering better returns than T1 Hybrids. ... here is a link:
Less risk, similar returns - Tier 2 OTC bonds better value than listed Tier 1 hybrids
OTC Tier 2 notes offer better value compared to Tier 1 listed hybrids.thewire.fiig.com.au
Disc: As a soph, I have an OTC bond allocation through FIIG. I lose 0.20%pa in management fees from the stated return but hold a bunch of Inflation linked bonds. Directly.
check which banks trade under which ADI , last i heard St. George trade under the WBC ADI so are classed as the same 'bank ' for the purposes of the deposit guarantee ( as an example )I got my money spread through 6 different banks in various savers. My best one is with st George at 3.15% worst one with Anz at 2%
By doing this I have the 250k guarantee, also different banks and saver accounts might have different increases in the future.
I don't think there is a point at locking in a rate, things will be fluid for a while.
Cleaned up 1k in interest last month, things are starting to look decent... as long as u forget inflation is most likely double digit ?
I believe this is the list, I have researched itcheck which banks trade under which ADI , last i heard St. George trade under the WBC ADI so are classed as the same 'bank ' for the purposes of the deposit guarantee ( as an example )
sometimes losing less money/spending power than most is 'winning '
yes it has changed in places since i last used term deposits ( the last few years i was doing better elsewhere , including shares in the bank themselves )I believe this is the list, I have researched it
List of authorised deposit-taking institutions covered under the Financial Claims Scheme | APRA
The authorised deposit-taking institutions (ADIs) listed at the bottom of this page are all covered under the Financial Claims Scheme (the FCS).www.apra.gov.au
I guess that is diversification, bank interest is as safe as you get, I do also collect some dividents and have pm even got my ass kicked on a few specs.... im not really a adrenaline junkyyes it has changed in places since i last used term deposits ( the last few years i was doing better elsewhere , including shares in the bank themselves )
that does not mean i will not use them again sometime in the future
I just saw this advertised:
St.George Incentive Saver total variable rate with bonus interest will increase by 0.85% p.a. to 4.00% p.a., effective 9 November."
Things are still on the move and looks like will be for a while
i am ( was ?? ) an adrenaline junkie , but in the last 11 years i really NEEDED to tone that down ( most addictions you are never completely cured of , you might control it , more often resist it , but gone forever .. that isn't the norm )I guess that is diversification, bank interest is as safe as you get, I do also collect some dividents and have pm even got my ass kicked on a few specs.... im not really a adrenaline junky
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