Macquarie increasing their savings rate from 4.50% to 4.75%

[lrossin]

From 17th November 2023, up to balances of $1 million. Over $1 million is now 3.35%. To note, this is applied on the transactional account as well and also no BS hoops to get it.

Their discount e-voucher store is pretty great as well e.g. 3% off ColesWorth and Amazon (and plenty more). And they have the most secure two factor authentication implementation with their own separate authenticator app.

Like Up! and uBank, no FX fees, no overseas ATM fees and the exchange rate is at the mid market Mastercard rate.

 

[b%E1%BA%A1ch0933]

@lrossin I've been with Macquarie for years now and love everything about it. This news makes me think I'm better off putting the money that's in my offset account (for my fixed 2.29% loan with a different bank) into my Macquarie account and even with the tax whack I'd still be ahead.

Who is the best person/group to confirm this? The advice I've seen here and elsewhere says "offset will always be better" but I'm not convinced that's the case any longer.

 

[jaecubed]

@b%E1%BA%A1ch0933 Most of the time you can’t offset a fixed rate. I’d say your offset account is against the variable portion of your loan and thus offsetting at 6%+ which is a hell of a lot better than 4.75% (or 3% after tax).
Could be wrong here as there are 1 or 2 lenders that do allow you to offset fixed loans. Suggest having a look to confirm

 

[resjudicata]

@b%E1%BA%A1ch0933 What bank offerers an offset for a fixed rate mortgage?

 

[david652020]

@resjudicata I know Bendigo and Adelaide Bank do

 

[paul1976]

@resjudicata CBA did but I think it was at a reduced rate.

 

[resjudicata]

@b%E1%BA%A1ch0933 Hmm, my mortgage is with Macquarie and still thinking putting all excess cash and wages etc into the offset is better idea than a savings account. The interest you’d save over the mortgage due to benefits of offset seems to outweigh the savings but I haven’t done calcs to back that up.

 

[fernandosn]

@b%E1%BA%A1ch0933 This is exactly my situation (even down to the fixed rate) and what I'm doing. If I recall running the numbers it was worth it once rates were about 3.8% or higher, so I moved it out. If you've got time and energy you can keep moving the money around every few months, provided you meet the criteria to capture the bonus interest you can get with some banks like Ubank or Rabobank or Macquarie etc and keep it 5%+.

 

[regent]

@b%E1%BA%A1ch0933 Offset is usually better because mortgage rates are generally higher than saving rates. But obviously if your offset would only save you 2.29%, and the savings rate gets you 4.75% (minus your marginal tax rate) then savings may work out better.

 

[hopeful82]

@b%E1%BA%A1ch0933 You should definitely put your money in a savings account. Literally will be double profit

 

[kjv4me]

@lrossin Macquarie is great. They don't have the absolute best rates, but banking with them is simple, secure, and hassle-free. Love it.

 

[photine]

@lrossin Can business accounts get this as well?

 

[charles4u]

@photine Yes the Business Savings Account is moving to 4.75% up to $1,000,000 or if you are intelligible for the Business Savings Account or have > $1,000,000 there is the CMA Accelerator account which is moving to 4.75% up to $2,000,000.

 

[chrism08]

@charles4u Well this was worthwhile.

You know how i come on here sometimes saying bonds are usefull for people with smsf and the like that they cannot access high interest savings.

I am going to ask macquarie today why cant my smsf account be the CMA accelerator in stead of just CMA.

Im getting 3pc odd im their CMA

And have more than i probably should just in cash at present too.

 

[kandc]

@photine Yes, we have it on the business account!

 

[photine]

@kandc Do you get the 5.5% for first 4 months with a business account? Or does it just jump to 4.75?

 

[kandc]

@photine No, I don't think this bonus rate applies to business accounts. At least I don't remember us getting it!

 

[somethingon]

@lrossin It's 4% for Woolworths.

 

[pinkyrock]

@somethingon Can you buy the gift card for your exact shopping price, or do you have to buy like a round number? Does that make sense?

 

[lrossin]

@pinkyrock For Woolworths you can do custom amounts, for Coles you can’t