Competition in savings pays dividends for Australians

Share

Share

Huge numbers of Australians are taking advantage of increased savings rates, with term deposits surging in popularity.

NAB insight reveals that there has been a 1,200% increase in the number of 12-month term deposits opened in the past three months compared to the same period last year.[1]

The bank has also seen a 29% increase in the number of new NAB savings accounts being opened in the past three months. [2]

More than 1,000 new iSaver or Reward savings accounts a day have been opened since 1 July, 2022. [3]

The new data comes as NAB today announced the following changes to its savings products from Friday 11 November:

    • NAB’s iSaver intro rate will increase by 0.50%p.a. from 3.00% to 3.50%
    • NAB’s Reward Saver bonus will increase by 0.25%p.a. from 2.50% to 2.75%

NAB Executive for Everyday Banking, Paul Riley said the savings market was particularly competitive and active right now.

“The fact we are seeing hundreds of new accounts opened every day by new and existing customers reflects how much customers are shopping around,” Mr Riley said.

“It’s always worth taking the time to check out what’s on offer – it’s a savers market.”

Recent NAB research also revealed savings aspirations among Australians remained very high, with 76% of adults trying to save.[4]

Mr Riley said the most competitive rate depends on how much a customer wants to put away in savings and how quickly they want to access their funds as cash.

“While account balances remain fairly steady, the rise in the cost of living has clearly prompted customers to be more price savvy and you can see banks across the board responding to that,” Mr Riley said.

“At NAB, we’ve made more than 40 increases on savings products since May.

“People often overlook term deposits as they can seem complex at first glance. Term deposits are ideal for longer term goals like saving for a house deposit as you earn a higher interest rate with a built-in incentive to stop you dipping into your savings.

“NAB’s 12-month term deposit is very popular right now and, from Friday, will offer 3.75% pa.”

 

Notes to editors

  • The latest savings rates can be viewed here.
[1] Data based on new 12-month term deposits opened between July-September 2022 compared to July-September 2021.
[2] Data based on NAB iSaver and reward saver accounts account opens between July-September 2022 compared to July-September 2021. Does not include term deposit accounts.
[3] Data based on NAB iSaver and reward saver accounts account opens between July-September 2022 compared to July-September 2021. Does not include term deposit accounts.
[4] NAB Wellbeing Index Australia’s happiest people revealed – NAB News

Customers, banking & finance

SEE ALL TOPICS

Media Enquiries

For all media enquiries, please contact the NAB Media Line on 03 7035 5015

Related Articles

  • Scams

Aussies travelling abroad warned about international summer of scams

Australians heading overseas to chase a European or North American summer are being urged to get scam savvy to avoid a holiday from hell. Criminals are expected to target major sporting events and big international concerts, just as hundreds of thousands of Australians and their families prepare to jet off overseas.

  • 06.06.2024
  • Time to read 3 min read
  • Media Release

Families now the top users of no interest loans

More than 42,000 no interest loans have been issued in the past year by Good Shepherd and NAB, up 19% on the previous year, as Australians face cost of living pressures.

  • 31.05.2024
  • Time to read 3 min read
  • Economy

Not an easy needle to thread: NAB CEO on interest rates and the economy

NAB CEO Andrew Irvine reflects on Australia’s resilient economy and how this is impacting inflation and interest rates.

  • 10.05.2024
  • Time to read 2 min read

Quick links

Business Research and Insights

For more business news and analysis, visit NAB’s Business Research and Insights .

NAB Security Podcast

For more insights about cyber security and fraud, and practical tips on how to stay safe, listen in to NAB’s Security Podcast series.

NAB tech blog

For more insights about technology and the digital developments enabling change for customers, visit the NAB tech blog on Medium.