Looking for a savings account that actually pays something meaningful? This guide explains which types of accounts currently offer the best interest in New Zealand, highlights accounts worth checking, and gives practical tips to boost your returns — all written simply so you can act quickly.
Quick snapshot: what's happening with rates right now
After a period of falling Official Cash Rate guidance through 2025, many banks adjusted retail deposit rates. That means both on-call savings and short-term term deposits can offer better returns than the big flagship transaction accounts, though offers and bonus rates change often.
Top picks to check right now
Consistently competitive call and notice saver rates, low minimums, and easy online application.
Often offer the best fixed term rates (1–5 years). Locking money away means higher certainty of returns.
Call/online vs term deposits
Call / Online savings let you withdraw anytime (sometimes with conditions) but rates can change. Term deposits lock your money for a fixed period, usually with higher guaranteed rates.
How to choose
- When will you need the money?
- Do you want flexibility to withdraw?
- Would you move funds if a better rate appears?
Tips to get more interest
- Set automatic transfers each payday.
- Check for bonus conditions like “no withdrawals”.
- Use comparison sites (MoneyHub, interest.co.nz, Canstar) for updated offers.
Tax and PIE funds
Interest is taxable income. Some accounts are PIE funds, which may reduce tax depending on your PIR. Always check how interest will be taxed before you open an account.
Step-by-step to open an account
- Check comparison sites for today’s best call and term rates.
- Open the on-call account for your emergency fund.
- Put money you won’t touch into a 6–12 month term deposit.
- Set a reminder to re-shop rates when the term matures.
FAQ
Which is better? Term deposit if you want certainty, online savings if you want access.
Are smaller banks safe? Registered banks and building societies are regulated by the Reserve Bank.
How often do rates change? Promotions may change monthly; term deposits stay fixed for the term.
Summary
For best returns in 2025, mix a high-interest call account for emergency savings with a term deposit for longer money. Smaller banks often pay top rates. Always confirm the live rate and conditions on the bank’s site before moving money.
