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How to reactivate your dormant bank account


How (and why!) you should keep your account active

We’ve come up with a handy 101 on why you should keep your account active, and how to reactivate it, if you ever need to.

Active vs. dormant – what’s the difference?

  • Active account – Unsurprisingly, an active account is a fully functional bank account you can access with no restrictions when it comes to transacting, making withdrawals or deposits.

  • Dormant account – You know how when a volcano becomes dormant it means it’s no longer active? The same goes for your bank account. At UBank, if your account is inactive for 3 years* (no deposits or withdrawals), it’ll be marked as dormant, which means you can’t make any withdrawals until you reactivate it.

* Different banks have different time periods on dormant accounts but, after 7 years, all Australian banks are required to close certain accounts for regulatory reasons.

How can I avoid my account going dormant?

Or maybe the better question is, ‘why should I keep my UBank account active’? If you haven’t been using your USave savings account or USpend transaction account for the last few years – we’ve added some amazing perks, products and features to our offering.

  • Bonus interest rate: When you sign up for a USave and a linked USpend account, you’ll unlock a bonus interest rate of 1.05% p.a.* on your savings. That’s one of the most competitive interest rates in the Aussie market and a huge incentive to save and transact with us.

  • No overseas fees: on your UBank VISA debit card when travelling the globe. This means that both ATM and foreign exchange fees won’t be charged by UBank, leaving you free to enjoy more of your well-earned spending money on things that matter to you (although you may be a charged a fee by the ATM operator).

  • Free2Spend: our incredible in-app budgeting tool that lets you know exactly how much money you’re free to spend, every day, while still saving for a specific goal. You put in your income, expenses, how much you want to save and when you need to save it by. Free2Spend takes care of the rest, generating a daily number you can put towards after work drinks or that last minute birthday present for Mum, while still working towards those #goals.

What do I do if my account has gone dormant?

Don’t worry. It’s an easy fix. All you have to do is make a deposit from an external account into the account (and this can be as little as $0.01!) and you’re good to go.

Whether you decide to take advantage of our amazing perks and regularly transact with us, or make semi-frequent deposits to keep your account active, it’s important to be ‘in the know’ when it comes to your account.


*To qualify for the bonus variable interest rate on eligible amounts in your USave account(s) in a calendar month, you must have both a USave and USpend account and deposit $200 or more into your USpend transaction account or your linked USave savings account from non-UBank accounts during the same month. The bonus variable interest rate will be applied to a combined balance of up to $250,000 held in your USave account(s), including joint accounts. Any remaining balance greater than $250,000 will earn the USave base variable rate. Bonus interest is earned the same month you meet the bonus interest criteria. If you qualify for bonus interest, your interest will be paid in 2 credits. The first credit is calculated using the base variable rate, and will be visible in the morning of the 1st of the following month. The second credit is the Bonus Interest, which will be processed overnight on the 1st, so please check your account on the 2nd of the following month.

The information contained in this article is of a general nature only. It doesn’t take account of any person’s objectives, financial situation or needs. Before acting on this information, you should consider whether it is appropriate for your circumstances and seek independent legal, financial, and taxation advice.