ING Australia has rolled out its first major overhaul of savings products in 18 years, launching a Savings Booster account that pays 6% interest for new customers on balances up to $500,000 for four months.
After the introductory period the rate drops to 5.4%, putting ongoing returns at the sharper end of the market.
ING Australia describes the offer as central to its local growth push, even as the Dutch-owned lender holds back from revealing specific expansion targets.
The offer lands as traditional banks face intensifying pressure from fintech platforms such as Revolut and a softer outlook for lending.
Under the Savings Booster design, customers only need to increase their balance by $100 a month to qualify, a relatively low hurdle compared with competing high-interest accounts that often demand higher monthly deposits or transaction conditions.
ING Australia positions the product as catering to a broad mix of savers, from those with modest amounts to those holding larger cash buffers approaching the $500,000 cap.
The bank is betting that a strong introductory rate, paired with a still-elevated 5.4% ongoing rate, will convince customers to shift and consolidate savings.
Competitors now have to weigh whether to match the 6% headline or risk losing rate-conscious depositors.
Deposit pricing has become a frontline weapon as fintech entrants chip away at legacy banks with app-based accounts and aggressive promotions.
ING Australia’s offer is designed to lock in customers ahead of any further slowdown in loan demand, making deposits a more critical profit driver.
Savings line-ups that had been static for years are being refreshed under pressure from digital challengers and more mobile, comparison-savvy customers.
