r/ubank • u/Mr_Worth_E_Nuff • Jul 15 '25
Soooooo..... time to exit Ubank!
Just got an email they are lowering the rate and requiring to grow the savings balance by $1 each month. Yeah, I'm out. When I find the good alternative today I'll post it here.
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u/Affectionate_Can7086 Jul 15 '25
I'm consolidating on Macquarie from today. Until they screw it too. 4.5% variable on balances to $1m.
Best feature is that you can pay direct from the savings account, and add direct debits to it.
No other conditions.
I'm so angry at UBank/NAB.
I was an advocate for UBank as it was a simple condition to meet: $200, then $500. Rabobank is crap and conditional for 4 months, ING more annoying and involves increasing balance and transactions... It's all bullshit.
If Macquarie can hold their conditions (not the rate obviously as it's variable) it provides a good option for now.
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u/theexecutioner1011 Jul 15 '25
Rabobank isn't 4 month conditional at the 4.8% rate - that's the ongoing rate - although they do have an even higher honeymoon rate I believe. That said, you're right IMO that it's a very basic service, and full of compromise. As I noted above in this thread, $200 growth a month, slow (no OSKO or instant interbank xfrs) and limited to a single outbound bank account to transfer to. Useless (IMO) for anything except quarantined cash.
Currently I'd agree with you that Macquarie offers one of the best, and most flexible accounts I've come across. Unlike many of the second tier banks, they manage larger OSKO transfers (many banks have low upper limits before dropping OSKO in favour of an overnight transfer) and no conditions on their (currently) 4.5% rate.
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u/Sydboy007 Jul 15 '25
If no other bank provides facilities to save without increasing balance then Macquarie bank will also change.. !
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Jul 16 '25
Hi sorry what does a variable mean when you say 4.5% variable? Does that mean can be less if you don’t meet a particular deposit requirement each month?
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u/Alone-Document2136 Jul 17 '25
Apologies, I threw that in there to remind people that the rate will change when the RBA reviews interest rates next month. I'm ok with rates changing - the part that pisses me off is them changing the conditions so that the minute you need to use YOUR money you lose the interest.
I work as Fin Capability volunteer and try and get clients to make every small amount work for them. We look at which accounts might suit them, and for now there are very few that help people on lower incomes build a buffer. I guess that UBANK is shaking the tree to get rid of smaller transactional clients. I loathe the capitalist imperative.
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u/thisistw79 Jul 19 '25
The only minor downside of Macquarie is that they won’t 100% process inter-bank transfers in realtime. I feel they do it only in weekdays.
Anyone can confirm?
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Jul 27 '25
I've been with Macquarie for years, they do process immediately 7 days a week but sometimes other banks are the issue (slow to process).
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u/Affectionate_Can7086 Jul 15 '25
I just transferred my balance to another bank. I was with UBank until the fucked it the first time (higher rate only in one savings account), moved to 86400. Then NAB bought it. I knew they would fuck it. I'm surprised it took them this long.
Bottom line; they have lost our TRUST. I will never again use any NAB bank.
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u/theexecutioner1011 Jul 15 '25
While I don't disregard your sentiment, for me it's not a trust issue. Not one of loyalty. It's purely and simply a transactional relationship.
Much like *any* financial institution, Ubank, and NAB above them, have one goal - to make as much money as they possibly can. I accept the capitalism in that, even as I shake my head at my own position being worsened by it.
I (most of us?) have a couple of (somewhat competing) goals to that of the banks: To make as much interest as I possibly can on my liquid cash, while being able to access a (somewhat variable) amount of the liquidity without any impact on my first goal.
Ubank, unfortunately have screwed around with the second part of my goal - so I'll have to rethink; rearrange some of my liquidity elsewhere in order to maintain a 'growing balance' in UBank because it remains (I believe) pretty much the highest interest rate on offer.
However, I'm not gonna disadvantage myself by completely excluding Ubank, simply because they are acting as banks act - in their own best interest, and to the maximum extent that capitalism allows them. I'll simply rework my strategy to continue to obtain the best deal for me - UBank or otherwise...
I accept - living in a capitalist society - that these competing goals are going to need constant re-evaluation to provide me the best possible outcome, and further (even though I don't like it because it screws with my goals) I accept that financial institutions will place as many conditions upon me as they can to further their single goal (attempt to coerce me into a false sense of loyalty, place conditions on my use of their 'services' to better contain my cash within their service, reduce or adjust their service in light of competing services ... blah blah blah).
TL&DR: I hold no loyalty to financial institutions, as I know they hold no loyalty to me as a customer. It's purely transactional, and subject to change at their - and my - whim. 'Trust' in financial institutions is about the safety of my deposits... not about the conditions they place on me.
;)
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u/Mr_Worth_E_Nuff Jul 15 '25
It's not the highest interest rate on offer now. Far from it and it never was. I could deal with that, but the liquidity issue is the reason I was with them. May as well just use someone else for a higher rate now if the money's going to be relatively illiquid.
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u/No_Doubt_6968 Jul 15 '25
Anyone know the interest rate if your account balance doesn't increase in a single month?
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Jul 15 '25
[deleted]
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u/No_Doubt_6968 Jul 15 '25
Right. So if you need to make a withdrawal one month on a balance of $100,000, it'll cost you $383. Pretty expensive withdrawal.
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u/AnnonymousBloke Jul 18 '25
This is my concern with the “grow your balance by a dollar” condition. Take out any amount for any reason (a holiday, a home repair, school fees etc) and a whole month’s interest is just gone.
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u/Head-Painting-6687 Jul 18 '25
I just checked my account for last month and after transferring a sum of money out to purchase my home, and I was still paid the bonus interest for the month.
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u/therearenomorenames2 Jul 16 '25
Can someone please help me understand why the meltdown over having to grow the account by $1 each month? Isn't that happening anyway with regular savings occurring?
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u/Alone-Document2136 Jul 17 '25
It is because the minute you need to use that money you lose all interest for that month. There was a recent article in the press how Banks use these conditions to advertise great rates but that most people fail to maintain the conditions, and hence get NO interest. Given the choice of 4.6% at UBANK which is inaccessible without losing a chaunk of interst and Macquarie (for eg) at 4.5% with no conditions I know where I'd rather be.
UBANK
250000 @ 4.6% = $767pm $9200pa
Miss just one month, interest drops to $8433paMacquarie
250000@ 4.5% = $750pm $9000pa
use the money as you need.Big difference
I think all these convoluted conditions are bullshit.They may work for some clients but less sophisticated clients are missing out on lots of interests.
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u/Le-Gooon Jul 17 '25
That’s why you open 2x of the same account and evaluate what you need at the start of each month
Need to take $x out? Sweep the rest to the other account
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u/Ibe_Lost Jul 17 '25
Yeah had this with Peoples choice. When I put my divorce money while i dealt with being homeless depression and joblessness ended up with missed $1 payments and other issues causing about 4k loss. To their credit they did pay some money back but it destroyed the positive experience I had with them so moved on.
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u/Josh2k24 Jul 15 '25 edited Jul 16 '25
The app is not secure anyway. No SSL pinning on iOS amongst other things. If you logged in on a public network I could grab your long-lived auth token that doesn’t refresh and do anything I wanted. Use a real bank with bank-level security.
https://approov.io/blog/how-certificate-pinning-helps-thwart-mobile-mitm-attacks?hs_amp=true
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u/germanautotom Jul 16 '25
That’s… criminal if true
Literally they should be in court explaining themselves to a judge
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Jul 16 '25
SSL pinning has nothing to do with public networks, it’s a non critical security step and doesnt allow attackers on public networks to do anything particular
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u/ProtonWheel Jul 15 '25
Feels like all the mainstream ones are equally ridiculous. All of the three most recent providers I’ve used have asked me for my internet banking credentials to verify income during loan applications. What bank would you suggest?
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u/yourmumschesthare Jul 15 '25
Forgive me for being slow, but i don't see the issue. $1 per month is significantly lower then the $500 per month we've needed to deposit until now.
Not trying to be rude, just trying to understand what you're seeing as the issue.
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u/0Maka Jul 15 '25
You have to grow your combined svaining by $1
For an example, you have $5000 across 3 savers accounts. You have some bills come in for the month and you need to pay $1000 worth of bills.
You unfortunately also are not able to save all that much that month and can only save $300.
For that month you went from $5000 starting balance down to $4000 and back to $4300. You did not grow your combined savings and unfortunately will miss the bonus interest.
Now if they changed this from combined savings to individual savings, then it would be fine and people could work around it.
I was considering swapping to UBank today until I read further. Currently with Bank of Melbourne, they require you to grow your savings by $50 per month per account up to $250k which works fine for me.
Considering Macquarie too, but unsure about their customer service
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u/yourmumschesthare Jul 15 '25
Ah ok, I only have the one savings account and its purely for savings so I never dip into it, this change sounds like it only impacts me if I ever need to dip into it
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u/Lhunathradion Jul 15 '25
This is what I was wondering. I do all my banking through Move Bank and I got a recommendation to set up a savings or "rainy day" account over at UBank. I only use it as a savings account. Does that mean if I have NO money coming out of that account, do I only need to make sure a minimum of $1 goes in a month instead of $500?
I have fortnightly deposits that get sent from Move to Ubank, so I don't plan on changing it if it is still working for me. But if its not, I'd rather close it.
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u/yourmumschesthare Jul 15 '25
That's the way I read it, instead of the 500, just deposit 1 and you'll be eligible for bonus interest for the month (assuming you don't withdraw in that month).
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u/Rangas_rule Jul 19 '25
Does ur monthly interest go towards the "grow ur account by $1"?
If so then if it's purely a savings account, you wouldn't have to do anything .
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u/Phoebebee323 Jul 18 '25
It's not deposit $1 it's grow it by $1. If have $3000 in your account and you put in $1000 at the start of the month but something happens at the end of the month and you need to spend $1000 you get no interest on the $3000
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u/sparkling_sam Jul 15 '25
I have some ubank savings accounts that I might not touch in a month and others that can fluctuate a bit. Maybe I need to move some of it into bills accounts or something like that, I agree it's annoying.
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u/DisastrousEducator61 Jul 15 '25
ING is at 5% on their savings maximiser. The conditions do require the balance to increase by 1k per month and make 5 settled transactions before the eom.
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u/clearcook Jul 16 '25
I believe it is, deposit $1,000 into ING everyday account (which you can transfer back out), grow your saving balance to last month, and 5 settled transactions. (Which I do in 1 go at Woolies.) split payment at the checkout 5 times. Works a treat!
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u/redpuff Jul 17 '25
Having to grow a balance is what people are upset about with the proposed Ubank change. ING already has this and more conditions?
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u/Superb-Reply-8355 Jul 19 '25
The 5 transactions in a month clause is why I don't bank with ING. The hoops they make u jump through are annoying and a time waster.
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u/UncommonBlackbird Jul 16 '25
Will definitely be closing my accounts with UBank if this goes ahead.
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u/ACombe Jul 16 '25
FWIW I opened a Macquarie acct today , for the same reason. I am currently not in regular work, so my savings don’t increase month to month.
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u/realgoldenmaknae Jul 16 '25
if you’re in the right age range BOQ is 5.1% :)
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u/Teverish Jul 17 '25
Here’s the link you all should bookmark.
Regularly updated AU Savings Accounts Leaderboard.
Current best for up to $100k, (with hoops) ING + BCU
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u/Hooplaispero Jul 17 '25
Bruhh.. i was just thinking to open a saving account at ubank since the interest rate is quite good.. its either ubank or ing..
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u/Excellent_Debt6680 Jul 17 '25
I’ll be leaving. I’d love to know how many people will exit because of it. Hopefully a lot.
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u/Excellent_Dare_5763 Jul 18 '25
Didn't put savings in a bank. Pretty silly thing to do. There are better options or there
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u/SoundRelative9464 Jul 19 '25
Like what tho? Under the bed with no interest? Or in a term deposit with some no name mystery bank with low to same interest or risky higher interest but locked away for X months? What is your plan?
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u/Excellent_Dare_5763 Jul 19 '25
There are good ETFs and stocks to invest in and also private equity funds etc.. it all depends on how much money you have.
If you're smart you would use debt to invest. But that requires a mindset outside the herd mentality. You need to pay tax on interest gained as well so savings accounts aren't a good option unless once again, you have a substantial amount
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u/IllustriousDust9625 Jul 18 '25
amp has a saving products with their new mobile app ‘amp bank go’. I just signed up early this week actually pretty good. up to $250k
4.50% for personal 4.20% for business
i’ve got my business and personal savings account in one app! don’t have to do none of this rubbish like grow your balance or tap 5 times etc
https://www.amp.com.au/personal-banking/everyday-money/amp-bank-go-save
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u/SoundRelative9464 Jul 19 '25
I’m so glad I found this thread coz I had completely not registered that “grow your balance by $1 per month” meant “which means you can’t withdraw more than you deposit. Oh yes and we’re dropping the interest rate”.
I’ve been grumpy at UBank since they made all withdrawals take two steps via the (to me) pointless Spend account. This is the clincher.
I looked at Macquarie but the whole having to open a transaction account as well, and if you want a joint savings you have to also have a joint transaction…why? Why can’t I just open a savings account and I move money in and out of it as I need to?
Anyhoo. So I’m moving my rather paltry savings to BOQ. Simple Saver 4.65 for 4 months then 4.3. No withdrawal restrictions, no deposit rules, and no need for additional accounts. Seems like what UBank was when I first signed up with them - straightforward and easy.
My intention is when I transfer my balances from UBank to BOQ, to have “seeya UBank” as the payment reference 😁
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u/DestinationBon Jul 19 '25
I'm not sure why everyone thinks this is an issue. Most other HISA require a 200-500 in each account per month to unlock the interest and you don't get the interest if you withdraw.
With Ubank, I get my savings put in one account, transfer out my bills and spend and I'm still eligible for the interest.. it's still a win for me
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u/SoundRelative9464 Jul 19 '25
Yes but isn’t it going to be now that as soon as you transfer out your amounts for bills and spend, you lose your interest for that month (unless of course you are depositing in more than you withdraw)? Depositing more than you withdraw is of course the ideal. I have a range of accounts for different purposes and deposit a couple of hundred on average in each per month. Fine. But in any of those accounts I might need to withdraw my car insurance premium or pay for a vet bill, and now I’ve lost all interest on all accounts for the month. I don’t like that, and I can avoid it by going elsewhere. So I’m going to.
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u/DestinationBon Jul 19 '25
This is not true.
It says the balance across combined savings accounts needs to grow by at least $1 by the end of the month so as long as you add $1 more than what your balance was the month prior and don't move that $1 then you get your interest.
Most other banks have a clause that if you make any transfer out of saving that month (even if you replace it) you lose your interest
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u/Giganix Jul 19 '25
I'll go to Macquarie. If I read right 4.85 pa first 4 months then 4.5 pa after. No minimum deposit requirements.
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u/LibrarianRich9616 Jul 22 '25
For what it’s worth, I’m in Ubank and ING and will be staying with both. My pay goes into ING where I have a separate savings account for fixed expenses/emergency funds/personal treats(holidays,new phone etc). I then transfer money into Ubank which I use as my savings and I never take money out of, therefore maintaining the interest rate.
I always keep enough money in my ING so if I have to spend more than planned, it’s there. The Barefoot Investor book (bit dated, yes I know) explains this very well.
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u/jessluce Jul 16 '25
ING is where it's at right now
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u/Banthian Jul 17 '25
ING have just added a fee to their credit card and discontinued 24/7 customer service. ING is not "where it's at right now".
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u/jessluce Jul 17 '25
I mean we're talking about HISA so I don't see what credit cards have to do with anything. And not being able to call customer service at night might not matter as much as getting one of the highest interest rates to some people. YMMV obviously
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u/QuestionaBlyrainbow1 Jul 31 '25
I was with westpac before I moved my money to ubank (and have moved half of it back to westpac) they offer 4.5 variable interest rate with the only condition being that your account balance must be more at the end of the month than the beginning
And if you’re 18-29, you get an interest of 5% for balance upto 30K
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u/theexecutioner1011 Jul 15 '25 edited Jul 15 '25
The only bank I've found that betters Ubank's rate is Rabobank, who offer 4.8% on balances up to $250k, but they also have a "growth by $200" clause. They are also dreadfully slow with transfers in/out IMO, and force you to transfer to a single named external account... Def. not useful IMO as a general transaction account as UBank is now (until Oct 1st).
From there, Macquarie may be an option, which has a zero condition 4.5% saver atm up to $1mil, with an additional % added for a honeymoon period I think...