The Kickstarter offer applies for the first four months of opening a Savings Accelerator Account, for new ING customers.
This introductory rate is now 0.70% higher than the ongoing variable rate, which is what customers receive after the four month period.
On balances above $150,000, the Kickstarter offer will mean a rate of 5.40% p.a.
This is still not the highest introductory savings account rate on market - RaboBank still offers new customers 5.75% p.a for the first four months.
However, this only applies to balances up to $250,000, while the ING rate applies on balances all the way up to $500,000.
The ING product will revert to an ongoing variable rate of 4.70% p.a (which is unchanged), compared to 4.40% p.a at RaboBank.
There are still other savings account products out there where the ongoing rate is higher, including the MEBank HomeME Saver, the BOQ Future Saver and ING's very own Savings Maximiser.
All of these products have conditional maximum interest rates above 5.40% p.a - but this top rate is capped significantly lower than on the Savings Accelerator.
The top rate on the HomeME and the Savings Maximiser only applies on balances up to $100,000, while the Future Saver peaces out at $50,000.
If you're sitting on a block of savings above $250,000, 5.40% p.a is also a higher rate than any current term deposit products on the market (although the top TD rates generally are for terms longer than four months).
For more modest balances though, the Savings Accelerator rates are still well below the other products mentioned above, but requires less admin to maintain the rate.
ING Savings Accelerator rates
| Balance | Ongoing variable rate | New temporary rate with Kickstarter offer |
|---|---|---|
| $0-$49,999.99 | 2.85% p.a | 3.55% p.a |
| $50,000-$149,999.99 | 3.75% p.a | 4.45% p.a |
| $150,000-$500,000 | 4.70% p.a | 5.40% p.a |
How much could you earn?
For those that haven't banked with ING before, these are the potential earnings from switching to the Savings Accelerator on various balances:
| Balance | Rate (with Kickstarter) | Rough balance after four months | Earnings |
|---|---|---|---|
| $25,000 | 3.55% p.a | $25,297 | $297 |
| $100,000 | 4.45% p.a | $101,492 | $1,492 |
| $250,000 | 5.40% p.a | $254,531 | $4,531 |
| $500,000 | 5.40% p.a | $509,061 | $9,061 |
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Need somewhere to store cash and earn interest? The table below features savings accounts with some of the highest interest rates on the market.
Picture by Glen Carrie
Denise Raward
Harry O'Sullivan
