It is a good time to be a saver, one industry expert has said.
Banks have been nice to people who are saving lately, according to one industry expert.
David Potts, writing for Business Day, said savings accounts are cheaper for the organisations and have become more reliable than the global financial market at the moment.
He added that the current crisis in Greece may make the
Aussie credit squeeze worse.
"The Reserve Bank is done and dusted with
interest rate rises and the banks, not having to pay more for their deposits, will enter a golden era of profitability," Mr Potts noted.
But he does not believe double digit mortgages are something that will be coming up soon, although the market is more interested in how big it could become with lending surging at Westpac – which offers a range of
bank accounts.
The organisation recently announced a 30 per cent increase in cash earnings - $2,983 million for the half year ended 31 March 2010.
By Emma North
