All the talk in the market might be about inflation, rising bond yields and the likely timing of an RBA cash rate increase, but deposit takers continue to push their rates lower.
Three of the big banks were among ADIs that cut at-call rates in October – ANZ, Commonwealth Bank and NAB. Other included AMP Bank, Bank of Queensland and UBank.
According to the latest Mozo Banking Roundup, ANZ cut the ongoing bonus rate on its Progress Saver account by 10 basis points to 25 bps and the three-month introductory rate on its Online Saver account by 10 bps to 20 bps.
CBA cut the ongoing bonus rate on its GoalSaver account by 5 bps to 25 bps.
NAB cut the ongoing bonus rate on its RewardSaver account by 5 bps to 25 bps and cut the four-month intro rate on its iSaver account by 5 bps to 30 bps.
The rate leaders in the at-call market are ING, which is offering an ongoing bonus rate of 1.35 per cent on Savings Maximiser; Virgin Money, which is offering a three-month intro rate of 1.5 per cent on its Go account (reverting to 1.2 per cent); and Macquarie Bank, which is offering a base rate of 95 bps on the Macquarie Savings Account.
In the term deposit market, the same three big banks cut rates, while AMP Bank and Judo Bank increased their rates.
Judo has been the rate leader in the TD market for terms of a year or more for some time and now it is setting the pace for shorter terms.
Last month it increased rates for three, six, nine and 12 months. Its three-month rate went up 23 bps to 82 bps, its six-month rate went up 20 bps to 89 bps and its nine-month rate went up 25 bps to 94 bps. It is offering the highest rate for all those terms.
Its 12-month rate went up 24 bps to 99 bps – the second highest rate for that term.
Judo is also the rate leader for two years (1.2 per cent), three years (1.15 per cent), four years (1.2 per cent) and five years (1.4 per cent).
AMP increased rates for all terms from three months to two years. It has the top rate for 11 months and 12 months – both 1 per cent.
ANZ is offering 20 bps for 12 months, CBA 25 bps, NAB 25 bps and Westpac 25 bps.