Savers, we feel your pain. With the cost of living rising at an alarming rate, it's more important than ever to get the best interest rate possible on your savings account.

Fortunately, there are still some decent deals out there if you're willing to lock up your money for a period of time. But with transport costs rising at a double-digit pace, it's getting harder and harder to keep up.

Australian families are spending a whopping $1,770 a week just on essentials, and with interest rates set to rise, it's only going to get worse.

According to Stephen Johnson, economics reporter of the Daily Mail Australia, there are a number of good deals that you can "hunt" for If you're looking for a good interest rate on your savings.

He said: "Young savers under 35 can get good deals on bonus accounts while consumers of all age groups can get a generous rate provided they are willing to lock up their money for at least six months and not touch it."

If you're one of the many Australians feeling the pinch from rising prices, we here at the SDC can assure you, you're not alone.

Major banks have imposed hikes on their interest rates. Credit: Getty Images.​

The Reserve Bank of Australia raised interest rates by 0.5 per cent on Tuesday in an effort to combat inflation, which is currently at its highest level since 2001.

It should also be noted that the Commonwealth Bank announced that it will pass on the rate rise to its customers, making it the second major bank to raise its variable home loan rates for both owner-occupiers and investors.

The CBA said that the increase will take effect from June 17.

The RBA’s decision to raise the cash rate by 0.5 percentage points means that variable home loan rates will also increase by the same amount.

This is bad news for homeowners (unless, of course, you’re lucky enough to own your own home outright), but good news for savers, who will now be able to earn more interest on their deposits.

Westpac also followed suit, with the bank matching the RBA's 50 basis point increase on its variable loans, with its changes coming into effect on June 21.

The bank has also announced, however, that it will pass on a new term deposit rate of 2.25 per cent per annum for 12 months, from June 9, which is the best among the big four banks.

Savers, however, cannot withdraw their money for 12 months, which means someone with a $10,000 term deposit has to wait a whole year to get $225 interest.

ANZ also became the third major bank to raise its rates, effective June 17.

Not only that, but they're also matching Westpac's 2.25 per cent term deposit rate – but only require a commitment of 11 months.

With the costs of petrol at an all-time high, inflation has prompted financial institutions to increase their interest rates. Credit: AP.​

So what does that mean for you?

Don't expect a big bonus from your bank just because the RBA raised rates.

Many banks are unwilling to hike the interest rates on their savings accounts until Australians start spending again.

According to RateCity research director Sally Tindall, "Savers hoping to get a big boost with the RBA hike shouldn't hold their breath."

With inflation at 5.1 percent, Australians need all the help they can get to cope with the cost of living crisis.

So, what can you do to stretch your savings further?

Term deposits

Looking to get the most out of your savings? You may want to consider a term deposit.

What is a term deposit? It's a type of savings account where you agree to leave your money untouched for a fixed period of time, usually anywhere from six months to five years. In exchange for this commitment, you'll typically earn a higher interest rate than you would with a regular savings account.

Right now, Westpac is offering the best term deposit rate among the major banks, at 2.25% per annum for a 12-month term. But if you're willing to lock your money away for two years, you could earn an even higher rate of 3.65% with AMP Bank.

Of course, even the best term deposit rates may not keep pace with inflation. But if you're looking for a safe and guaranteed way to grow your savings, a term deposit could be a good option for you.

Bonus savers

The big banks are being stingy with their bonus saving accounts, offering measly interest rates compared to other options out there.

So, it is advised that you shop around for the best deals and not limit yourself to the big 4 as some smaller banks offer great interest rates.

Virgin Money Boost Saver offers 1.6 per cent compared with 1.4 per cent for Great Southern Goal Saver and 1.35 per cent for ING Savings Maximiser, AMP Bank Saver Account, and UBank Save Account.

So, if you're looking to save up for a rainy day or your first home, be sure to check out these great deals!

Do you know other banks with great interest rates for savers? Let us know in the comments below.

Please note that none of the above should be considered financial advice. We recommend talking to a financial planner before making any decisions.

 

[Ricci]

I have totally lost all respect for the Banking community here. How can they justify the squillions of dollars they make in profit each year while keeping interest rates on deposits so low. They have you over a barrel as you need a bank account in order to receive your pension, superannuation or wages. If there was any way I could do without a bank account I would drop them in an instant.

 

[JayKay]

My feeling is that interest rates will keep on rising, so consider not locking your savings away for the long term yet, go short term for a few months at the best rate you can find, and watch the rates to see the trend....if they keep on rising, invest for longer term then.

 

[Jest]

Is your savings account really helping you save money? Check out these better options to make your money go further​

Savers, we feel your pain. With the cost of living rising at an alarming rate, it's more important than ever to get the best interest rate possible on your savings account.

Fortunately, there are still some decent deals out there if you're willing to lock up your money for a period of time. But with transport costs rising at a double-digit pace, it's getting harder and harder to keep up.

Australian families are spending a whopping $1,770 a week just on essentials, and with interest rates set to rise, it's only going to get worse.

According to Stephen Johnson, economics reporter of the Daily Mail Australia, there are a number of good deals that you can "hunt" for If you're looking for a good interest rate on your savings.

He said: "Young savers under 35 can get good deals on bonus accounts while consumers of all age groups can get a generous rate provided they are willing to lock up their money for at least six months and not touch it."

If you're one of the many Australians feeling the pinch from rising prices, we here at the SDC can assure you, you're not alone.

Major banks have imposed hikes on their interest rates. Credit: Getty Images.​

The Reserve Bank of Australia raised interest rates by 0.5 per cent on Tuesday in an effort to combat inflation, which is currently at its highest level since 2001.

It should also be noted that the Commonwealth Bank announced that it will pass on the rate rise to its customers, making it the second major bank to raise its variable home loan rates for both owner-occupiers and investors.

The CBA said that the increase will take effect from June 17.

The RBA’s decision to raise the cash rate by 0.5 percentage points means that variable home loan rates will also increase by the same amount.

This is bad news for homeowners (unless, of course, you’re lucky enough to own your own home outright), but good news for savers, who will now be able to earn more interest on their deposits.

Westpac also followed suit, with the bank matching the RBA's 50 basis point increase on its variable loans, with its changes coming into effect on June 21.

The bank has also announced, however, that it will pass on a new term deposit rate of 2.25 per cent per annum for 12 months, from June 9, which is the best among the big four banks.

Savers, however, cannot withdraw their money for 12 months, which means someone with a $10,000 term deposit has to wait a whole year to get $225 interest.

ANZ also became the third major bank to raise its rates, effective June 17.

Not only that, but they're also matching Westpac's 2.25 per cent term deposit rate – but only require a commitment of 11 months.

With the costs of petrol at an all-time high, inflation has prompted financial institutions to increase their interest rates. Credit: AP.​

So what does that mean for you?

Don't expect a big bonus from your bank just because the RBA raised rates.

Many banks are unwilling to hike the interest rates on their savings accounts until Australians start spending again.

According to RateCity research director Sally Tindall, "Savers hoping to get a big boost with the RBA hike shouldn't hold their breath."

With inflation at 5.1 percent, Australians need all the help they can get to cope with the cost of living crisis.

So, what can you do to stretch your savings further?

Term deposits

Looking to get the most out of your savings? You may want to consider a term deposit.

What is a term deposit? It's a type of savings account where you agree to leave your money untouched for a fixed period of time, usually anywhere from six months to five years. In exchange for this commitment, you'll typically earn a higher interest rate than you would with a regular savings account.

Right now, Westpac is offering the best term deposit rate among the major banks, at 2.25% per annum for a 12-month term. But if you're willing to lock your money away for two years, you could earn an even higher rate of 3.65% with AMP Bank.

Of course, even the best term deposit rates may not keep pace with inflation. But if you're looking for a safe and guaranteed way to grow your savings, a term deposit could be a good option for you.

Bonus savers

The big banks are being stingy with their bonus saving accounts, offering measly interest rates compared to other options out there.

So, it is advised that you shop around for the best deals and not limit yourself to the big 4 as some smaller banks offer great interest rates.

Virgin Money Boost Saver offers 1.6 per cent compared with 1.4 per cent for Great Southern Goal Saver and 1.35 per cent for ING Savings Maximiser, AMP Bank Saver Account, and UBank Save Account.

So, if you're looking to save up for a rainy day or your first home, be sure to check out these great deals!

Do you know other banks with great interest rates for savers? Let us know in the comments below.

Please note that none of the above should be considered financial advice. We recommend talking to a financial planner before making any decisions.

$1770.00 time to get priorities in line.

 

[gordon1940]

How can any average Family justify spending $1800 per week on “essentials” oh and by the way, Banks did not insist Pensions etc must be paid into an account ….. the Government at the time did.

 

[Defiant540]

Is your savings account really helping you save money? Check out these better options to make your money go further​

Savers, we feel your pain. With the cost of living rising at an alarming rate, it's more important than ever to get the best interest rate possible on your savings account.

Fortunately, there are still some decent deals out there if you're willing to lock up your money for a period of time. But with transport costs rising at a double-digit pace, it's getting harder and harder to keep up.

Australian families are spending a whopping $1,770 a week just on essentials, and with interest rates set to rise, it's only going to get worse.

According to Stephen Johnson, economics reporter of the Daily Mail Australia, there are a number of good deals that you can "hunt" for If you're looking for a good interest rate on your savings.

He said: "Young savers under 35 can get good deals on bonus accounts while consumers of all age groups can get a generous rate provided they are willing to lock up their money for at least six months and not touch it."

If you're one of the many Australians feeling the pinch from rising prices, we here at the SDC can assure you, you're not alone.

Major banks have imposed hikes on their interest rates. Credit: Getty Images.​

The Reserve Bank of Australia raised interest rates by 0.5 per cent on Tuesday in an effort to combat inflation, which is currently at its highest level since 2001.

It should also be noted that the Commonwealth Bank announced that it will pass on the rate rise to its customers, making it the second major bank to raise its variable home loan rates for both owner-occupiers and investors.

The CBA said that the increase will take effect from June 17.

The RBA’s decision to raise the cash rate by 0.5 percentage points means that variable home loan rates will also increase by the same amount.

This is bad news for homeowners (unless, of course, you’re lucky enough to own your own home outright), but good news for savers, who will now be able to earn more interest on their deposits.

Westpac also followed suit, with the bank matching the RBA's 50 basis point increase on its variable loans, with its changes coming into effect on June 21.

The bank has also announced, however, that it will pass on a new term deposit rate of 2.25 per cent per annum for 12 months, from June 9, which is the best among the big four banks.

Savers, however, cannot withdraw their money for 12 months, which means someone with a $10,000 term deposit has to wait a whole year to get $225 interest.

ANZ also became the third major bank to raise its rates, effective June 17.

Not only that, but they're also matching Westpac's 2.25 per cent term deposit rate – but only require a commitment of 11 months.

With the costs of petrol at an all-time high, inflation has prompted financial institutions to increase their interest rates. Credit: AP.​

So what does that mean for you?

Don't expect a big bonus from your bank just because the RBA raised rates.

Many banks are unwilling to hike the interest rates on their savings accounts until Australians start spending again.

According to RateCity research director Sally Tindall, "Savers hoping to get a big boost with the RBA hike shouldn't hold their breath."

With inflation at 5.1 percent, Australians need all the help they can get to cope with the cost of living crisis.

So, what can you do to stretch your savings further?

Term deposits

Looking to get the most out of your savings? You may want to consider a term deposit.

What is a term deposit? It's a type of savings account where you agree to leave your money untouched for a fixed period of time, usually anywhere from six months to five years. In exchange for this commitment, you'll typically earn a higher interest rate than you would with a regular savings account.

Right now, Westpac is offering the best term deposit rate among the major banks, at 2.25% per annum for a 12-month term. But if you're willing to lock your money away for two years, you could earn an even higher rate of 3.65% with AMP Bank.

Of course, even the best term deposit rates may not keep pace with inflation. But if you're looking for a safe and guaranteed way to grow your savings, a term deposit could be a good option for you.

Bonus savers

The big banks are being stingy with their bonus saving accounts, offering measly interest rates compared to other options out there.

So, it is advised that you shop around for the best deals and not limit yourself to the big 4 as some smaller banks offer great interest rates.

Virgin Money Boost Saver offers 1.6 per cent compared with 1.4 per cent for Great Southern Goal Saver and 1.35 per cent for ING Savings Maximiser, AMP Bank Saver Account, and UBank Save Account.

So, if you're looking to save up for a rainy day or your first home, be sure to check out these great deals!

Do you know other banks with great interest rates for savers? Let us know in the comments below.

Please note that none of the above should be considered financial advice. We recommend talking to a financial planner before making any decisions.

$17700? I'm lucky to have 17700 cents!

 

[purificacionev]

What is the more effective way to save my money if not cash? I’ve lost all trust in banks, and I don’t want them to manage my money, especially now that the financial system is so unstable. I prefer having all my savings with me.
I use bank accounts for shopping and trading, but the major bulk of my savings are in cash because it’s the only form of money I can still trust somehow. Recently, I discovered trading on E*TRADE thanks to https://www.doughroller.net/investing/the-best-online-stock-trading-sites/ and changed my approach to finances. Now I make much more than I used to, and investing is not as scary as it seemed before. But I still store my savings in cash.

 

[Defiant540]

What is the more effective way to save my money if not cash? I’ve lost all trust in banks, and I don’t want them to manage my money, especially now that the financial system is so unstable. I prefer having all my savings with me.

if you keep your money with you it's not earning anything at all!