ubank: From 01 Oct 2025, Save Account Balance Must Grow to Earn Bonus Interest

SBOB on 15/07/2025 - 07:48
Last edited 15/07/2025 - 08:04 by 1 other user

As this just isn't the usual tweak to interest rates, and may impact those that use their account where the balance doesn't always increase, worth noting the new change ubank just announced on their website.

I know for me that makes ubank unsuitable and now need to find an alternative for daily banking over the new couple months.

https://www.ubank.com.au/savings-update

From 1 October 2025 (so there’s nothing for you to do now)

We’re evolving the way you qualify for bonus interest on your Save accounts. From 1 October 2025, you’ll need to grow your combined balance across all your Save accounts (excluding linked offsets and excluding any interest credits) by $1 each month.

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Comments

  • JayJay04 on 01/08/2025 - 15:37

    I think leave it in ubank until the new requirement comes into play at 4.6%, towards end of September start moving it to Macquarie at the 4.85% rate for 4 months before it goes back to 4.5% in the fifth month.

    • scalebearer on 01/08/2025 - 15:47
      +3

      I think this is the most prudent approach.

      The RBA is almost universally expected to cut rates at the August meeting after choosing to skip cutting in July, so the rates for various banks will jump around between now and when ubank's deposit increase requirement comes into effect.

      At the moment the frontrunners are Macquarie, ME Bank and Australian Unity, but how much they decide to cut once the RBA cuts is uncertain.

      Waiting until the 2nd half of September allows for all the changes to settle and it will become clearer which ones are the best choices.

      • JayJay04 on 01/08/2025 - 15:53

        Mystate is also a good option but requires the small hassle of 5 transactions
        https://mystate.com.au/bank-accounts/saving-accounts/bonus-s…

        • scalebearer on 01/08/2025 - 18:39

          4.5% up to $500k with a $20 monthly deposit and 5 transactions.

          Same interest rate as Macquarie, but with more hassle and a lower cap.

          Completely redundant unless MyState and Macquarie cut at different rates in the 2nd half of August.

          • JayJay04 on 01/08/2025 - 18:43

            @scalebearer: Depends how many $$$ people have, some people like to spread a maximum of 250k at one institution for the government guarantee

      • lars06 on 20/08/2025 - 13:13

        Probably a good idea. I was about to switch to Aus Unity but maybe should wait for a while and see what they all settle to in September

  • Meeb on 12/08/2025 - 16:46
    +8

    Pro-tip: for those leaving ubank for a less hoopey one - wait until they give you your interest for the month before closing your savings account - otherwise you will forfeit any interest that hasn't been paid to you yet. Found out the hard way.

    • muwu on 12/08/2025 - 16:48

      Makes sense

    • lars06 on 19/08/2025 - 11:32

      Thanks I thought it was calculated daily so assumed prorata. So I guess it makes the most sense to change accounts on September 1?

      • surfingedge on 19/08/2025 - 12:08

        It is calculated daily.

        Empty the account ASAP but you have to wait until 1st Sep to get the interest

        • lars06 on 19/08/2025 - 13:24
          +1

          Oh sorry I misread this. So you can take the money out but not close the account. Thanks

  • mouseman99 on 19/08/2025 - 12:42

    If transferring a large sum from Ubank to Macquarie, I assume you have to call up to do that as there is only a 20k daily transfer limit?

    Did I read somewhere that the Macquarie account has to be opened for a period first before Ubank can do that? I havent opened the Macquarie account as yet

    • surfingedge on 19/08/2025 - 14:12

      Yes or you can do 20k per day without calling. You would only lose $1.37 interest (before tax) by doing 100k in 20k chunks going from 4.35% to 4.6%

      Why would ubank care how long your macq account has been open. As long as it's a valid account number it will work.

      However macq has a habit of closing some new accounts the day after opening due to "suspected fraud".

  • timwog on 19/08/2025 - 12:52
    +3

    Interest rate as of today 4.35%, commensurate with the Reserve Bank drop, and thus removing the possibility that last month's stand-alone drop was just greedily jumping the gun, and that the RB's August drop would be ignored by them.

    So confirmation that they've dropped 0.25% compared to their competition, and thus hammered the last nail into their grave.

    • JayJay04 on 19/08/2025 - 14:56

      Ubank is 4.35
      Macquarie has dropped to 4.25
      Mystate to 4.25
      ING to 4.8

      So they have effectively just realigned themselves with the lower bank offerings and not competing against ING

      • Moo Deng on 19/08/2025 - 16:35

        You forgot ME SpendME, best of the lot

        • HappyPants on 19/08/2025 - 17:28

          What's the rate? I am seeing 3.60%, and there are criteria to meet?

          Can I ask why you recommend ME SpendME?

      • Fobsessive on 03/09/2025 - 01:43
        -1

        Unsure why you got negged. +1 for

  • Pidgeon on 19/08/2025 - 14:26
    +2

    In their app I sent them feedback on the rate requirements change and they are logging it as a complaint and apparently passing on the feedback.

    It is a real pity as I really liked the ubank experience but will now be leaving.

    • HappyPants on 20/08/2025 - 13:33
      +5

      I did the same thing. Logged a complaint, and spoke to someone on the phone about it when needed to up the daily transfer limit. I tried to be super respectful to the Ubank person, knowing the decision was not their fault personally and it was out of their hands, and the Ubank CSR was very understanding also. Nonetheless, literally don't have a dollar sitting in Ubank anymore..its all with Macquarie.

      • SlightlyDusted on 03/09/2025 - 15:47

        made this call yesterday too, think they might be getting a few ppl all doing the same thing

  • neverlate on 28/08/2025 - 17:07

    anyone have problem transferring to amp? says "We couldn't make a payment to this account as it may be closed. Please check the details and try again."

  • Cerdig on 01/09/2025 - 04:15
    -2

    Be aware that Ubank pays no interest for the month in which you close your account.

    • bensl on 01/09/2025 - 12:55
      +2

      How can they pay interest into a closed account? transfer the $$ out, keep it open to collect the interest, then close the following month.

    • Neoika on 02/09/2025 - 12:05
      +2

      Never act on impulse. There's no harm to leave it open for some months.

  • linkser on 01/09/2025 - 13:26

    What a coincidence that at the moment I cannot access my ubank accounts to transfer all money out…

    • JayJay04 on 01/09/2025 - 13:47
      -2

      They would be implementing the change to show you need to grow your balance by October 1 and not just a $500 deposit, it was always going to require some downtime to do that

  • Pigey on 01/09/2025 - 13:27

    Great. Wait times on the phone are 1hr+

    • mouseman99 on 01/09/2025 - 13:40
      +1

      That was on my to do list today also. Increase my limits and get the money out of there!

      • Pigey on 01/09/2025 - 13:43
        +2

        Think I'll try to hold out til 1 October…

        • mouseman99 on 02/09/2025 - 08:20
          +2

          Money all gone from Ubank. Shame really, I was with them a long time.
          Hopefully other vote with their feet against these banks that feel they can rip people off

  • Peck on 03/09/2025 - 12:03

    What a PIA the Macquarie Bank App. and their Authenticator App. are!

    • HappyPants on 03/09/2025 - 12:34

      Really? I'm a new customer with them too, currently overseas, and had zero issues. Authenticator app works well. Macquarie card was the only card I could successfully add to Grab/Bolt transport apps etc. Other cards needed sms verification etc.

      • mouseman99 on 03/09/2025 - 12:53

        yeah really liking it myself. good to have a bit of added security imo

  • foxmulder on 05/09/2025 - 12:08
    +2

    This 'grow balance' thing is indeed tricky - I checked my previous end of month Ubank balances - I did notice there was a month when the saving balance was lower than the previous month.

    Thus the only way to handle this is to have Ubank as another saving account - similar with what I did to ING account. I do have Macquarie account but not using it much previously - this account will be my primary account now.

    • Neoika on 05/09/2025 - 12:32
      +1

      People realizing it ahead are of the minority. Most will think it doesn't happen to me.

      • Danam on 05/09/2025 - 13:36
        +4

        UBank was always my flexible account, with Rabo and AMP having a better rate at the cost of a growth requirement. I treat these like term deposits and never take money out.

        Something to consider if you were going to move money in and and out of an account with a growth requirement is this - It just takes one mistake way in the future to lose a months interest. This will negate YEARS of your gains from that slightly little higher interest rate. In my opinion it's just not worth it.

  • Babynomad on 07/09/2025 - 08:23

    Soooo… if I were to transfer a large sum of money on the last day of the month,
    From my savings account into my spend account
    Then I could transfer it back into savings on the first day of the month…
    Would this then GROW my balance??

    • Neoika on 07/09/2025 - 08:49
      +1

      Technically yes, but you lose one day interest, 12 days per year. Maybe just move a portion for growth purpose next month.

      There are better options like StG (BoM, BSA) with 4.40% p.a. require growth, but treats each saver separately. Open 2 savers, set a remind on the 1st of every month, move the whole balance from one to the other to satisfy growth.

      • Babynomad on 09/09/2025 - 22:05
        -1

        Thanks.
        Might be easier, just to go with Macquarie

    • neverlate on 12/09/2025 - 05:30

      would you risk it by transferring on the last day or the day before?;)

      • Babynomad on 12/09/2025 - 09:11

        Yes, normally I would.
        But if I happened to have a bigger than expected bill for a month, or a spur of the moment holiday.. can't risk loosing a whole month's interest

  • dandealsau on 28/09/2025 - 21:25

    I have a question about the new bonus interest starting October 1.

    If I start the month with $1,000 and increase it to $1,001 by the 1st of the next month, does that qualify?

    Also, what happens if I grow it by $1 (to qualify), but later my balance drops to $900 during the same month? Since I already reached the $1 growth requirement once, would I still qualify for the bonus interest, or does my balance need to stay above the month's starting balance the whole time?

    • foxmulder on 28/09/2025 - 21:47
      +2

      What they see is what your balance start of the month and end of the month, it won't matter if it fluctuates down within the same month.

      • dandealsau on 28/09/2025 - 23:05

        Okay so it has to be higher then than from at the start of the month

        • Vanjane on 29/09/2025 - 09:08
          +2

          Excluding interest

  • Pigey on 01/10/2025 - 09:47

    Great. Wait times of 1.5hrs…

  • Grok on 01/10/2025 - 11:03
    +1

    This morning I transferred all my current balance and the interest for September except for one cent to Macquarie.

    Downloaded the interest summary for 25-26 then deleted the App from my phone.

    It was a good ride with UBank they were the best for many years but not any longer.

  • tenpercent on 01/10/2025 - 11:09
    -1

    Isn't it easier to get the bonus interest now? Only have to deposit $1.00 to the account now, versus $500 before.
    Of course, ING still has a better rate.

    • foxmulder on 01/10/2025 - 11:17
      +1

      This is what confuses me this morning. In Ubank app it says 'Deposit $1 to your savings to earn bonus interest' ($1 changed to $249.69 as I've withdrawn all balance) - I guess they tell you what's needed to be deposit at the time the app was opened - to some people who opened the app early of the month - they think they just need $1 - but if you open the app at the end of the month - you may not be eligible anymore and need to deposit more.

      • Neoika on 01/10/2025 - 13:14

        So you earned $248.69 interest in Sep. You emptied savers on or before 30 Sep so that Ubank only took the Sep interest as your Sep balance that is $248.69.

        To continue doing this, one cannot empty savers on 31 Oct, but leave the Sep interest amount plus $1 as the minimum.

        • foxmulder on 01/10/2025 - 13:27

          The interest appeared on 1 Oct and I've withdrawn all my money out of Ubank before 30 sept. I'm not using Ubank anymore after today.

          • Neoika on 01/10/2025 - 13:28

            @foxmulder: Yes, but dated on 30 Sep. I am saying it for some using it as a second saver.

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