Australian Bank Savings Account: Interest Rates 2019.
Do you get paid Interest on the money that you have saved in your Australian bank account?
Have you noticed how much the interest rate has dropped in the year, and how the changes tied in with the Reserve Bank of Australia [RBA] changes for their Cash Rate?
- The 2019 year started with my banks saving account paying me 2.87% interest. (The RBA Cash rate at the time was 1.5%)
- On 27 June 2019 it reduced to 2.60% (this happened after the RBA dropped their rate to 1.25%)
- Under a month later it was down to 2.41% (this happened after the RBA dropped their rate to 1.0%)
- Then on the 11th October it dropped to 2.10%, which is the last rate for the 2019 year. (this happened after the RBA dropped their rate to 0.75%)
These rates are for the UBank Usaver interest Rate, and available where your total account balances do not exceed $200,000. This account is covered by the Commonwealth Government guarantee which applies to deposit balances up to $250,000 per person per authorised-deposit taking institution.
www.ubank.com.au/…/savings-and-transaction-accounts
Interesting Conclusion:
June 2019 the RBA cut rates by 0.25% while the Ubank cut my Deposit Interest rate by only 0.17%.
July 2019 the RBA cut rates by 0.25% while the Ubank cut my Deposit Interest rate by only 0.19%.
October 2019 the RBA cut rates by 0.25% while the Ubank cut my Deposit Interest rate by a higher 0.31%.
Overall for the year, the RBA cut rates by 0.75% while the Ubank cut my Deposit Interest rate by 0.77%. Overall not much of a difference.