CBA cuts Youth Saver rate 30 bps

Commonwealth Bank has cut the bonus rate on its Youth Saver account from 1.85 per cent to 1.55. The account is open to customers under the age of 18 and to earn the bonus rate they must make at least on deposit and no withdrawals each month.

CBA cut the base rate on the account from 10 basis points to 5 bps.

RateCity.com.au reported that the bank cut the bonus rate on its Goal Saver account by 25 bps. For depositors with balances under A$50,000 the bonus rate fell from 90 bps to 65 bps.

For depositors with balances between $50,000 and $249,000 the bonus rate fell from 1.25 per cent to 1 per cent. And for depositors with balances between $250,000 and $999,000 the bonus rate fell from 1.6 per cent to 1.35 per cent. In all cases, the base rate is unchanged at 1 bp.

RateCity says CBA is one of only six banks to cut their at-call deposit rates so far.

However, 14 deposit takers have cut their term deposit rates.

According to Canstar, the average reduction in three-month rates is 21 bps to 1.44 per cent. The average reduction in six-month rates to 22 bps to 1.44 per cent and the average reduction in 12-month rates is 18 bps to 1.41 per cent.