RBA Increases Cash Rate to 4.10%
The Reserve Bank of Australia (RBA) has announced a significant monetary policy adjustment, increasing the official cash rate by 25 basis points to 4.10%. This marks the second consecutive rate hike in 2026, following a similar 25-basis point increase in February. These recent increases have effectively ended a series of three rate cuts that occurred in 2025.
This adjustment is expected to impact mortgage holders through higher repayments, while savers may benefit from increased interest rates on their savings accounts.
Bank Savings Account Rate Changes Following RBA Decision
Following the RBA's announcement, several banks quickly moved to increase their variable interest rates on savings products, passing on the rate hike to their customers.
Macquarie Bank
Effective April 2, 2026, Macquarie Bank will raise its variable interest rates by 0.25% p.a.
- Macquarie Savings Account customers will earn 4.75% p.a. (up from 4.50% p.a.) on balances up to $2 million.
- New customers will receive a welcome rate of 5.10% p.a. (up from 4.85% p.a.) for four months on balances up to $250,000.
- Transaction Account interest will also increase to 2.50% p.a. (up from 2.25% p.a.).
AMP GO Save
From March 23, 2026, AMP Bank's AMP GO Save account rate will increase by 0.25% to 4.85% p.a. (up from 4.60% p.a.) for personal balances up to $500,000. Balances between $500,000 and $5 million will earn 4.00% p.a. (up from 3.75% p.a.).
ING
Effective March 27, 2026, ING will raise variable rates by 0.25%.
- The Savings Maximiser account will offer 5.25% p.a. (including a 5.24% p.a. additional variable rate, up from 4.99% p.a.) for balances up to $100,000, subject to conditions. These conditions include depositing at least $1,000 from an external source, making five ING card purchases, and growing the nominated Savings Maximiser balance.
- The Savings Accelerator will see Kickstarter variable rates for new customers increase for the first four months, reaching up to 5.65% p.a. for balances $150,000 - $500,000. Ongoing variable rates will rise to a maximum of 4.60% p.a. for similar balances.
St George, Bank of Melbourne, BankSA
These Westpac group brands will increase deposit rates on their Incentive Saver accounts from March 27, 2026.
- The top variable rate will rise by 0.25% to 4.90% p.a. (up from 4.65% p.a.) on balances up to $250,000 for those meeting bonus conditions (account balance must grow in the month and be above $0).
- For balances of $250,000 or more, the top variable rate will be 4.75% p.a.
Judo Bank
From March 23, 2026, Judo Bank's Personal Savings Account variable rate will increase by 0.25% to 5.35% p.a. (up from 5.10% p.a.) for balances up to $250,000, requiring a monthly deposit of $300.
Teachers Mutual Group
This group, including Firefighters Mutual Bank, UniBank, and Health Professionals Bank, will increase variable interest rates by 0.25% p.a. across its savings products, effective March 26, 2026. The Starter Saver account's top rate will reach 5.00% p.a. (up from 4.75% p.a.) on balances up to $50,000.
Ubank
Effective March 24, 2026, Ubank will increase its Everyday Bonus rate to 4.85% p.a. (up from 4.60% p.a.) on balances up to $1 million, subject to bonus conditions. The variable welcome rate for new customers will also increase to 5.60% p.a. (from 5.35% p.a.) for the first four months.