If anybody is interested, HSBC have just increased the interest rate on their Serious Saver account to 7.5%. I think this is probably the highest non-introductory offer rate at the moment.


S

Hi 7.75% Members Equity Bank

Try Citibank. You may be pleasantly surprised.

Buzzy

Citibank's rate excludes the first 10,000 invested.

I had a look at Citibank myself. Initially, the 8% rate looks tempting.

But if you use a compound interest calculator, you will discover that the witholding of interest on that first $10k can really hurt your interest payments over a reasonable amount of time.


S

hi can anybody tell me how much can be invested per bank over there with money all protected guaranteed as it is over here for £35000 anything over and if the bank goes bust say goodbye to the rest , would be good to know

There is no Guarantee in Australian banks

G

Didn't I hear that Citibank are in trouble, a few weeks go?

Hope Citibank aren't in too much trouble as i heard they are the worlds biggest bank.
I think the banking sector has had the jitters recently but this has created some good opportunities for investors who are cashed up.You can either sit back & enjoy the higher interest rates or take a punt on the lower bank share prices currently available

Hmmm - basic question here, but...

Lots of the interest rates are tiered - e.g.

Balance Interest rate
$0 - $9,999 0.01%
$10,000 - $19,999 5.75%
$20,000 - $49,999 6.25%
$50,000 - $99,999 6.25%
$100,000 - $249,000 6.80%
$250,000 - $499,999 6.80%
$500,000 or more 7.00%

So if you stick a balance of $275,000 into the account, does it all qualify for the 6.8% rate, or will $9,999 be at 0.01%, the next $10k at 5.75%, the next $20k at 6.25%, etc.

Thanks.

Hi, are you sure about this? Not good news if it is the case? Look at Bear sterns during the week!!

I started a thread about it a few weeks ago

http://britishexpats.com/forum/showthread.php?t=510531

does not look good.

G

thanks for the replies can anybody tell me at what rate you get taxed on your savings like over here 20% then 40% for high rate tax payer and do these accounts pay monthly / annual interest . only reason i am asking as will be bringing house sale money over ( like many others ) and until we decide to buy would like it earning us some good old fashioned interest

The interest will be considered as part of your income and taxed at whatever rate applies to you.

G

It all depends on what account you have. Some pay interest monthly others yearly etc. For rates etc have a look on

www.ratecity.com.au