A number of our bank providers offer at-call accounts that pay an introductory bonus rate.
The way this works is that they pay a bonus rate of interest in addition to the standard base rate for a set period of time.
If the base rate is 3% with a bonus rate of 0.5% for 4 months you will receive 3.5% for 4 months, as long as the base rate has not changed. At the end of the 4 month bonus period the rate will reduce to the standard base rate.
Be aware though that the base rate is a variable rate and can change at any time. The bonus rate however, the 0.5% in the example above, remains fixed for the bonus period.
Given it is an at-call account, if the base rate decreases and you want to move your deposit elsewhere, you can do so immediately. You are not locked in until the end of the bonus period. You can also add funds to and withdraw funds from an at-call account during the bonus period.
Introductory bonus rates are generally only available to new client deposits. Meaning that you won’t be able to get that rate if you have previously had an at-call account with that bank. There is also usually a maximum amount that is eligible for the bonus rate.
How to make the most of Introductory Bonus At-Call Accounts
Introductory bonus at-call account rates are often higher than term deposit rates and they offer greater liquidity because they are at-call.
Meaning you can access your funds straight away if necessary, as opposed to being locked in for the duration of a term deposit.
The difference relative to a term deposit is that the rate can change at any time. However, given your funds are at-call, if the rate decreases and you want to move your deposit elsewhere, you can do so immediately.
We will notify you prior to the bonus period expiry date, the same as we do for a maturing term deposit. You can then move your funds to a different deposit to avoid being reduced to the standard base rate.
You may also be able to repeat the process by opening an introductory bonus at-call account with a different bank. Thereby further enhancing your return and liquidity relative to a term deposit.
When you enter your rates search criteria to input a transaction you will see a list of introductory bonus at-call accounts in addition to term deposits, so that you can make a comparison.
If you want to open an introductory bonus at-call account in preference to a term deposit simply click on the rate.
That’s it. You’re done!