ING cuts savings account rate following RBA rate cut
Photo by Pauline Bernfeld on Unsplash
ING has again taken the knife to its once high savings account rate.
In an email sent to clients, ING announced that it would reduce the total variable rate of its Savings Maximiser account by 15 basis points to 1.35% pa
According to ING, the standard variable base rate will be reduced by 5 basis points to 0.05% and the additional bonus rate by 10 basis points to 1.30% pa
The cuts will come into effect from November 11, 2020.
The conditions for benefiting from the bonus interest rate remain unchanged:
- deposit at least $ 1,000 from an external bank account to any ING personal account in your name
- make more than 5 card purchases that are settled for every cash (excluding ATM withdrawals, balance requests and EFTPOS withdrawal transactions only)
Need a place to store money and earn interest? The table below shows savings accounts with some of the highest non-introductory and introductory interest rates on the market.
Boost Saver – Savings Account
variable rate pa
BOOST YOUR SAVINGS up to 1.5% during the first 3 months
- Red Hot Intro Rate up to 1.5% for the first 3 months
- Enjoy up to 1.2% thereafter
- Bundled with Virgin Money Go transaction account
ING said the Savings Maximize rate is still very competitive in the savings account market.
âWe do this so that we can adapt to changing market conditions while meeting the needs of our customers,â ING said in its email to customers.
“But we are proud to say that our high interest rate is still one of the most competitive in the market, which allows us to continue to grow your savings.”
ING last cut the Savings Maximizer rate at the end of September by 15 basis points, from 1.65% pa to 1.50% pa
He had made another 15 basis point cut less than two months earlier.
The most recent cut comes in the wake of the Reserve Bank (RBA) slashing the cash rate by 15 basis points, taking it to a record low of 0.10%.
Most lenders did not pass this drop on to variable rates, including ING, but instead lowered the rates on their fixed rate loans.
Just under a week after the RBA’s announcement, ING announced that it would offer a four-year fixed rate of 1.99% per annum (comparison rate of 3.43% per annum), similar to what the big four and many other lenders have offered.
The loan is available to new and existing homeowners with a Loan to Value (LVR) ratio of 80% on principal and interest repayments, starting November 13.