Changes to your accounts

To earn our bonus interest rates on your Save accounts from 1 July 2024, you must have a Spend account and deposit at least $500 each month into any of your Spend, Bills or Save accounts before 11:30pm (Sydney time) on the last day of each month.

The $500 deposit must not come from your other ubank accounts.

Until 1 July, base interest is calculated daily and paid monthly based on the total balance of your Save accounts. Each day, we’ll check your account balances and calculate the interest for each Save account using the following formula: Daily closing balance x (applicable interest rate / 365) = Interest accrued on that day. At the end of the month, we’ll add them up and pay it to your Save accounts. Bonus interest is also calculated daily and paid monthly, but only on balances up to $250K per customer. Find out how to check if you’re eligible for bonus interest.

This will change from 1 July 2024

How is interest calculated from 1 July 2024?

From 1 July, the base rate is 0% p.a.

If you are eligible for bonus interest this is calculated daily and paid monthly based on the combined balance of your Save accounts up to $250K. Each day, we’ll check your account balances and calculate the interest using the following formula:

Daily closing balance x (applicable interest rates / 365 days) = Interest accrued on that day.

At the end of the month, we’ll add them up and deposit your earnings into your eligible Save accounts.

At ubank, your savings are divided into different tiers each with its own interest rate. This means that parts of your total savings will earn different rates, depending on which tier they fall into. For example, if you have $250,000 in total savings $100,000 of that will earn the Tier 1 interest rate and the remaining $150,000 will earn the Tier 2 interest rate.

If you have more than one Save account, we’ll allocate your Save account balances to an interest tier based on whether the account is a shared Save account (your half of a shared account first), then the balance of account (highest balance first), and then the date it was opened (oldest account first). As interest is calculated daily, we’ll re-do this each day.

Interest will then be paid into each of your eligible accounts at the end of the month based on our daily calculations.

To earn our bonus interest rates on your Save accounts from 1 July 2024, you must have a Spend account and deposit at least $500 each month into any of your Spend, Bills or Save accounts before 11:30pm (Sydney time) on the last day of each month.

The $500 deposit must not come from your other ubank accounts.

If you still have questions, give us a call.

1 July 2024

Tiers refers to the different rates that apply to portions of your combined Save account balances. You may get different rates for different portions of your combined Save balances. The first portion of your balance $0 to $100,000.00 gets tier 1. The second tier applies to the next portion of your balance from $100,000.01 to $250,000.00. For any remaining balance over $250,000.00 the third tier will apply.

Bonus interest is paid on balances up to $250K per customer.

For Shared accounts, we apportion 50% of the account balance to each customer. This means you and your Partner in Finance can have up to $500k in a Shared account and still earn bonus interest.

What if you have both a Shared and Individual Save account?

In this scenario, if you have a Shared Save account with $200K and an individual Save account with $100K, half of the Shared Save account balance ($100K) and your individual Save balance ($100K) will go towards your bonus interest limit ($250K). This means that you would have used $200K of your 250K bonus interest limit.

Bonus interest is applied on account balances in this order:

• Shared Save balances (if you have more than one Shared Save account, the highest balance first), then
• Individual Save balances (if you have more than one Individual Save account, the highest balance first).
• If required, we’ll also look at the account opening date, prioritising the oldest account.

Interest is still calculated daily and paid monthly based on balances up to $250K. Each day, we’ll check your account balances and calculate the interest for each Save account using the following formula: (Daily closing balance x (applicable interest rate / 365) = Interest accrued on that day). At the end of the month, we’ll add them up and pay it to your Save accounts.

On 1 July you’ll no longer be able to set up new external payments from Save accounts. After 1 July we’ll keep processing existing payments for a short time longer.

External payments are direct debits, BSB and account, PayID or BPAY payments from Save accounts.

Most external payments from Save will stop going through on 1 September, except for existing scheduled BPAY payments and existing payments to ubank home loans.

Ubank home loan repayments from Save accounts will continue as normal.

If you have scheduled external payments, go to the Scheduled payments section of the app which can be found by going to the Accounts page. In online banking go to the Coming up section on the home page and tap “more”. Follow the prompts to switch where you are paying from to a Spend or Bills account. We’ll also send you an email with a list of most of your scheduled external payments.

If you have direct debits from a Save account, we’ll email you a list of most recent payments. We recommend checking for any not listed by looking through your transaction history for each Save account. You can view your transaction history in the app by going to the Accounts page and tapping into each Save account in the accounts list. In online banking you can find your accounts listed on the home page, then tap on an account to see more.

Once you have identified direct debits from your Save accounts, contact the business or service provider to give them new payment information. You can pay from a Spend or Bills account.