ING cuts interest rate on Savings Maximiser account, again
The headline bonus rate offered on the ING Savings Maximiser has been cut to 2.30% p.a. after a previous cut down from 2.80% p.a. in June.
ING has again cut the interest rate on its popular Savings Maximiser Account following the RBA's cut to the official cash rate in July. ING initially cut its headline savings rate from the previous 2.80% p.a. down to 2.55% p.a. after the RBA's rate cut in June, the first cut to the official cash rate in more than 3 years. Today, ING has further dropped the maximum variable rate from that 2.55% p.a. to 2.30% p.a.
The cut comes after the RBA further slashed the official cash rate down to the record low 1.00% on Tuesday last week. While the cut to the cash rate has meant that many lenders are dropping their home loan rates, it's bad news for Australians with money in a savings account as banks also move to drop the interest offered on savings accounts.
ING has kept the bonus variable rate on its Savings Maximiser unchanged at 1.80% p.a. but has dropped the standard variable rate from 1.75% p.a. down to 1.50% p.a. This means that if customers don't meet the account conditions, they'll now earn less bonus interest than before.
How does the ING Savings Maximiser compare?
We're in a very low-rate environment at the moment, with the lowest interest rates on record. While the interest offered on ING's Savings Maximiser has traditionally been among the highest in the market, there are now several savings accounts that offer more interest for customers who are willing to switch.
For example, the UBank USaver offers a headline bonus rate of 2.60% p.a. when you link to the UBank Ultra transaction account and deposit $200 a month. The ME Online Savings Account also offers a bonus rate up to 2.60% p.a., and all you need to do to earn bonus interest is link to the ME Everyday Account and make a weekly Tap&Go purchase.
The Bankwest Hero Saver offers a headline bonus rate of 2.35% p.a. when you deposit at least $200 a month and make no withdrawals. The HSBC Flexi Saver offers a headline bonus rate of 2.50% p.a. when you grow your balance by $300 a month.
ING customers should keep in mind that while they might be earning a bit less interest now, they're still enjoying the perks of the linked ING Orange Everyday account if they meet the account conditions. The linked Orange Everyday Account offers free ATMs all around the world plus no foreign transactions fees when you link it to the Savings Maximiser, deposit $1,000 a month and make 5 or more transactions in the month.
If you're not happy with the rate you're getting for your money with your current savings account, take a look at our comparison to compare current savings account interest rates.