Heritage Bank Target Bonus Review, Rates & Information

Product details

The Target Bonus savings account from Heritage Bank provides you with a good incentive to keep up with your monthly deposits. With terms that are easy to meet you can accelerate your earnings with an interest rate that is competitive for a savings product. Yet for those months when an unexpected expense pops up, you can still access your money without any penalty.

Product Name: Heritage Bank Target Bonus

Maximum Variable Rate: 2.20% p.a.

Standard Variable Rate: 0.20% p.a.

Bonus Variable Rate: 2.00% p.a.

Introductory / Bonus Offer Conditions: Bonus interest will be applied to all balances if at least one deposit and no withdrawals are made

Monthly Fee: $0

Minimum Opening Deposit: $1

Minimum monthly deposit for bonus interest rate: $1

Internet Banking: Yes

Internet Transaction Fee: $0

Phone Banking: Yes

Phone Transaction Fee: $0

Maximum Age Requirement: No Maximum Age

Covered by Government Guarantee?: Yes (Up to $250,000 per person, per institution)

What are the features of the Heritage Bank Target Bonus account?

Bonus savings accounts offer you a flexible opportunity to earn a higher interest rate on your deposits. There are still certain terms that need to be met, and you should examine the features of various accounts to determine which one has the right terms and other benefits to help you achieve your goals:

Monthly fees. With Heritage Bank’s Target Bonus account you will not be charged a monthly account keeping fee.
Interest rates. You will receive a base interest rate on balances of $5,000 or more, but when you are able to meet the bonus interest terms you receive a competitive rate on your entire balance.
Bonus terms. In order to take advantage of the bonus rate you need to make at least one deposit into the account each month without making any withdrawals.
Interest payments. The tiered interest rates are calculated on your daily balance and will be paid into the account monthly.
Minimum monthly balance. In order to keep the account active you must maintain a balance of at least one dollar.
Available transaction methods. With your Target Bonus account you can bank online or make telephone transactions free of charge. You are also permitted two free counter, transfer or BPAY transactions each month before incurring a $1.25 fee per transaction.
Mobile banking. You can access your online banking platform and Target Bonus account by using the free app provided by Heritage Bank. Just like with online transactions you will not be charged any fees for using this service.
Membership. Heritage Bank is an Australian credit union, requiring that you first become a member and pay a $1 fee before being able to open a Target Bonus account.

Pros

Earn bonus interest for meeting the conditions
Interest calculated on minimum monthly balance
Passbook and statement access

Cons

Minimum balance required

How do I apply for the Heritage Bank Target Bonus?

If you are an existing member of Heritage Bank you are able to apply for this savings product through your online banking platform. If not, you can apply for both at the same time online. Before you proceed you should first check that you are able to meet the eligibility requirements:

Minimum age. No age stipulation is made for who is eligible for the Target Bonus account.
Residency requirements. You must be a permanent Australian resident or citizen with a residential address in order to apply for this account.
Depository requirements. A minimum of $1 is required in order to activate your Target Bonus account.

After ensuring that you are eligible for this account you can gather the following documentation and proceed to the application:

Tax file number. When applying for an interest earning account, you will be asked to provide your tax file number (TFN) or exemption code in order for the financial institution to be able to deduct the correct amount of withholding tax from your earned interest. This is not obligatory, but by doing so you can avoid being taxed at the highest marginal rate.
Identification. You can use information that is found on your passport or driver’s licence to help verify your identity to Heritage Bank.
Linked account. As this account operates primarily online you will be asked to provide an account number of other Heritage Bank product that you can use to facilitate transfers and access your money.

Your application will be submitted online to Heritage Bank and reviewed by a representative. Once approved the details of the account will be provided to you so that you can begin to make your deposits and earn bonus interest on your savings.