Expert: ANZ Extras is part of innovation in savings account market

Those choosing the ANZ Extras product should be aware there is an $18 fee per month.

The new ANZ Extras product is part of innovation in the transaction and savings account market, according to one industry expert.

John Kavanagh, writing for the Sydney Morning Herald, said the ability to withdraw money from time to time with the account is useful.

But he added: "The choice of only one credit card is a limitation."

Customers who opt for the product will have a fee-free overdraft of $500 and it can be linked to an online savings account, whereby customers will get an additional 0.2 per cent on top of the base rate.

But ANZ Extras also has a monthly $18 charge, which covers a $30 annual Aussie credit card fee, as well as a $5 a month fee for the overdraft facility.

Earlier this week, Sir Richard Branson launched a new Virgin online savings account and two credit cards in Australia in an attempt to take on the 'Big Four' banks.

By Emma North