Best first bank: NAB, Commonwealth, HSBC or Citibank?

[mistermoose]

For those who've opened an account before moving over, and for those who're already on the other side, which bank offers the easiest and most convenient (number of ATMs, opening hours, no need to visit a branch) service for a new migrant to Australia?

NAB

Commonwealth

ANZ

HSBC

Citibank

?

Edited September 13, 2015 by mistermoose

[EmNew]

We opened a NAB account which was totally hassle free from this side. Within 24 hours of an online application, all was set up and we had welcome letters etc.

They give a product though their migrant banking division that has an iSaver account linked to a cheque account. Yes the interest earned does get a withholding tax levied on it before we land and get our TFN, but some interest is better than no interest.

Apparently all we need to do upon arrival is rock up at the nominated branch with passport in tow, to collect the cards and fully activate the accounts. We have limited internet banking set up already ( they send the OTP to a South African cell number ), which has been great to see that the Rands we sent out did indeed land up In our Aussie accounts.

I will report back in 2 weeks as to how easy the process was on that side :-)

[mistermoose]

My gut instinct seems to be right then I've seen NAB all over the place during the visa journey, from banner ads on forums through to top results in Google, all targeting me as a new migrant. I'm also a fan of their no-nonsense, plain speaking, direct approach to banking (judged only by their website).

Commonwealth claims they're the best for two main reasons: their Netbank internet banking option, which is apparently the "#1 internet banking app in Australia", and the largest number of ATMs in the country. The ATM story only matters if the second-highest is down a few thousand from their number, but I think someone who gets around Aus quite a bit is in a better position to answer this.

HSBC and Citibank are obviously international franchises, which are good options only if the homegrown alternatives aren't up to scratch.

I'm looking for a bank that is first to innovate, quick to move to paperless systems and branch-free digital options. This looks to me to be NAB, but it would help to hear from a few more people who've used the bank for a while. And, yes, you Em when you land, get your cards, and start splurging your millions all over town!

[Mara]

Although I bank with ANZ, it is quite interesting how good Commonwealth Bank is with their online banking... if that is what you want.

[Chips]

Been looking for such a topic for a while thanx mistermoose.

[mistermoose]

Although I bank with ANZ, it is quite interesting how good Commonwealth Bank is with their online banking... if that is what you want.

Thanks Mara! I've added ANZ to the list now too

[AFreshStart]

We are with both ANZ and Commonwealth for different reasons. Commonwealth seems to have more ATM's around so easier for drawing cash, their NetSaver account also had the best interest rate and as Mara pointed out their on-line banking and banking app are amazing. If you misplace your card you can log on and freeze it, not cancel it and then unfreeze it when or if you find it and they offer card free withdrawals.

Our credit cards and mortgage are with ANZ though who offer great deals on Frequent Flyer Miles with Quantas.

Cheers

Matt

Edited September 13, 2015 by Mara
Mr Matt you should know by now it is Qantas and not Quantas!

[Eyebrow]

http://www.finder.com.au/savings-accounts/best-savings-accounts?utm_source=google_ppc_birs&utm_medium=cpc&utm_campaign=FSA+-+Savings+Accounts&gclid=Cj0KEQjwvdSvBRDahavi3KPGrvUBEiQATZ9v0Gs4atapVGaowXw01ipKOdsQaXNanR19R2ThP3TF9KQaAmMs8P8HAQ

I used this. And chose the best one. Was initially Commonweatlh, but later I also opened a Ubank. Some have this 3 month rule thing, after which they drop their interest.

[HansaPlease]

I absolutely hated ANZ and after 5 years, left them for Commonwealth Bank.

We still extensively deal with ANZ, NAB and Commonwealth Bank at work and I much prefer Commonwealth. They have the best technology by far our of the big banks, and they have had a really big customer service drive in the last 5 years and was very public - their goal being to be the best bank in terms of customer satisfaction.

Many of my colleagues and friends feel the same and prefer Commonwealth - but this has been a gradual change in the last few years.

In my experience: Their staff are also some of the happiest (along with NAB) and internally they also use far better software than the other banks.

[mistermoose]

Thanks Hansa! Will now have a closer look at Commonwealth and compare their apples with NAB apples

[Sunnyskies]

I work with all of them, and have my personal banking with CBA. CBA is definitely top notch from a digital perspective. They were pretty behind the times 6 years ago, but now they are great. I can run my personal budgeting from my internet banking, as I can easily categorise my spending into as many self chosen categories as I want, I can tag items that I need to keep track of for tax purposes,I can manage all scheduled transactions on the iPad app, they gave me a personal banker when we were buying a property and so I seldom have to go into a branch, but when I do I love the fact that I very seldom have to queue. They zap your card and know exactly who you have spoken to, when and why. I believe NAB is working hard to catch up or keep pace. ANZ and Westpac are definitely further behind, but if you prefer slightly more traditional banking then it doesn't matter.

[Mara]

Hehe, I changed from CWB to ANZ, for their Qantas freqent flyer credit cards!

[mistermoose]

Sounds like Commonwealth is the closest to the kind of innovation delivered by FNB in South Africa. I've had a look at their iPhone app and they've got some great functionality included that make it an attractive option!

[BrendanH]

I was thinking about NAB because they allow you to create an account so far in advance. One thing that really put me off is that their migrant account site is very rough. Lots of sections where there are placeholder "Insert Header Here", "Insert Text Here" sections and their FAQ PDF has an index and nothing else. Makes me worried about what the rest of their online products look like.

Edited September 13, 2015 by BrendanH

[monsta]

Brendanh, most banks will let you create an account in advance.

I know a lot of people rave about CBA here, but remember they are onenof the most expensive banks around. They even half admit they are a bank where you pay more for better service and technology.

I would also consider the 2nd tier banks. These are banks that are mostly online only but offer cheaper fees. If you like CBA, why not look at their online only bank, Rabobank? Some of the 2nd tier banks even have a handfull of branches, e.g. bankwest.

Also, be especially carefully about your superfund (ie your pension fund). Fund managers are glorified gussers. So, one fund may return 14% this year and 4% in 3 years time. The only thing you can control is finding the one with the lowest fees and insurance costs.

[Nev]

I chose commonwealth after a bit of reading up, if you open an account from south Africa before you arrive they will give you a year of no service charges of any kind as well

I do 95% of my stiff online and that is great, international transfers are simple from their web banking, the way the goalsaver account works is great.

I have several accounts with them for managing the different kinds of savings, a bills payment account and a credit card shared with my wife for household spending, car load with the ability to pay extra with no penalty and then draw the extra out again if i need it,

Wont think i will be moving anytime soon, they are great

[Frandri]

The big 4 Banks in Australia are ANZ, CBA, NAB and Westpac.

We have dealt with all of them and our experience so far is as follows:

- ease of opening an non resident account from overseas, all very easy except CBA.

- restrictions ito arriving in Australia after opening account is the same with all and you cant use your account ( besides funding it) until you visit Australia and the Bank to verify your identity . CBA however have an 3 month time limit from when you open the non resident account until you should arrive in Australia for some reason. They are also having some serious systems issues currently and i see there were a lot of complaints recently with customers not being able to access their accounts. ( keep in mind though CBA share price is significantly higher than the rest and they are obviously a very strong bank, $75 vs the other 3 all being around $30)

- interest rates including bonus rates. Westpac the highest of about 3,1% and they have a way to extend your bonus intrest part every 3 months but this should be arranged with them. If you dont receive the bonus part from Westpac their rate will be lower as their fixed interest part is actually less than the other banks. Remember though with the savings accounts if you make a payment/transfer ( after activating your Visa and completing bank account opening process in Australia) from your account as we did to pay our daughters school fee deposit you forfeit the entire interest amount for your account that month. Rather have your savings and transaction accounts separate or avoid using your saving account for transactions.

Withholding tax on your non resident interest is about 10% until you settle permanently whereafter you need to obtain your TFN number or if you dont the bank will withhold the maximum marginal tax rate after you arrive permanently in Australia .

- responsiveness, NAB and CBA very good, Westpac and ANZ average. As always it often depends on the individuals you deal with in the bank and service differ from branch to branch within the same banking group.

- the other services available ie investment, insurance and loans as example we don't use currently and cant comment on them.

[TeeTMI]

If you are creating an account in advance and transferring a reasonable amount of money look at opening an account with a savings account attached and transfer to the interest generating account. There are a number of compare type sites to compare rates (but as above some only have the higher rate for a limited time)

[Nev]

Just a note on ease of opening the CBA account, i did it all over the phone (CBA have a local south african number) and because i called during Australian business hours they did it all while i was on the phone - outside of auz hours they get all your details and do it the next working day.

Not sure how it could be easier than that

[BronPreston]

I would highly recommend Commonwealth bank.

Our company works with them and we/ or our clients have never had a problem with them

Edited September 14, 2015 by Jessi

[RedPanda]

We opened a CBA account online, and were phoned by the immigration accounts section of the bank, a few days later, just to check with us and answer questions. It was easy to do, the account received money sent directly from FNB with no problems, and activation at a branch was easy.

They do offer no fees for the first 12 months, but the branch we went to for activation did not know this, so they made a plan for us. About three months after being back in RSA we noticed a $4 banking fee suddenly being charged, so we emailed the lady we spoke to over the phone the first time, and she replied, apologised for the mistake, fixed the 'setting?' and reversed the fees, all before we woke up the next morning.

We have been very happy with their service so far. Also if you have a GoalSaver account you can earn a bonus interest rate of 3.75%, provided you grow the balance by $200 a month. (It does have a cap on the total balance though. Can't remember how much right now.)

At the time when we investigated banks, we found CBA to have the lowest banking fees. ANZ gave us the 'Nedbank' feeling, from their website.

[BrendanH]

Brendanh, most banks will let you create an account in advance.

Yep, but Commonwealth allows you to create a bank 3 months in advance while some of the others give you a year.

[Frandri]

Currently the interest rate from Commonwealth Bank is 2,85% on their NetBank saver account split between a base rate of 1,85% ( quite good) and a bonus rate of 1%. The Goalsaver rates is 2,79% (0,01% base and 2,78% bonus) the link below lists all the banks in Australias interest rates for savings accounts. If you are mainly interested in the big 4 banks you can look at their rates and conditions by typing the name into the search block. Interest rates are shown in base & bonus rate components and its worth while asking the banks if they will extend the bonus component ( as many will keep extending it ) after the initial 3/4 month period otherwise you will only earn the base rate where bonus rates are offered for an limited period only for new account holders. You might therefore end up being stuck with your funds in an low interest account until you actually arrive in Australia. Not all bonus rates are limited for a few months and some accounts allow customers to even withdraw from the savings account without being penalized.

http://www.canstar.com.au/savings-accounts/compare-savings-accounts/?state=WA&purpose=Bonus%20Saver&amount=1000000

[Mara]

To my limited knowledge Rabobank is actually a Dutch Bank.

[Peterthe1]

NAB is very good, as far as I'm concerned. We opened accounts with them when we first arrived. When we opened the accounts, a personal account also gave you a savings account. We also got a Joint Current Account and Personal Credit Cards. There are no Bank charges on any of the accounts, including the Credit Cards. This is valid for the life of the accounts and the interest rates are competitive. There are enough ATM's about which you are able to use for free, although in the time that I've been here, I think I've used an ATM twice. I pay everything electronically, no need for cash. I've found the Online banking service to be very good, and I'm comparing to the UK (stayed there for 10 yrs before coming here). The UK still has some catching up to do. The best part of opening the accounts with NAB was that all we needed to open the accounts was a Passport and a Aussie Drivers Licence. Convert your SA Drivers Licence to an Aussie one as soon as you get here (it is very easy), it is a huge help as it is your main form of identification here.

Edited September 15, 2015 by Peterthe1