Pensioner bank accounts are specially designed to meet the needs of Australians over the age of 55 or receiving a government pension, like the Age Pension. However, not all accounts offer the same interest rates or level of service for Australian seniors. They're similar to regular bank accounts, but you can only open one if you're receiving a pension.
If you're not receiving a pension, take a look at an everyday bank account instead.
A pensioner savings account works almost the same way as your typical savings account offered by an Australian bank. You deposit money into the account and earn interest on your balance. However, one of the key differences with pensioner savings accounts is that many will offer interest while also allowing for unlimited access to the money with a debit card and bill pay. Regular savings account usually don't come with as easy access to the money. This makes it easier to manage savings and everyday spending from one convenient account if you're a pensioner.
Pensioner accounts also normally have a tiered interest rate structure. So the more money in your account, the higher your interest rate will be. For example, if you have less than $50,000 in your account, your interest may be 0.50% p.a., however this can go up to 1% or higher depending on how large your balance is.
To qualify for a pensioner account you need to satisfy certain criteria which can vary depending on which account you’re applying for. In most cases, you need to be at least 55 years of age, in your retirement stage or be registered for a government pension, such as the Age Pension. This pension usually needs to be a government pension from Centrelink or the Department of Veterans' Affairs Not every account has these requirements so it’s important to check.
Every person's circumstances are different, which means there's no one size fits all account. While comparing the different accounts available, look at the following features:
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