Why are you not allowing new accounts to be opened?
The RBA rate cut makes it more expensive for Xinja to hold deposits at the same rate before the launch of our lending program; there has been an unprecedented influx of funds; and now, we - as a new bank - need to manage the costs of those deposits. We decided the fairest way to do that was to look after our current customers and maintain the rate, and instead stop new Stash accounts being opened.
Are you closing stash accounts/discontinuing Stash?
Not at all. No Stash accounts already opened will be closed - they will continue as normal. And we will be offering new Stash accounts as soon as possible. This will be reviewed in April and we'll let Xinja bank account customers know as soon as new Stash accounts are available again.
Why didn't you just drop the interest rate?
Dropping the interest rate is a simple solution to the problem for the bank, and typically what happens, however we decided that was unfair on our current Stash account customers, so we've gone down a different path.
What if I have a stash account?
Then carry on as you are. You can put more money in - take money out - no change at all. And your rate remains the same.
Is there a risk to any of my money?
No. This doesn't impact bank account or stash account customers at all. As you may know, like any other bank, we're covered by the financial claims scheme, which means up to $250k of deposits are guaranteed by the Government.
Can I put more money into my stash?
Yes - there are no restrictions for current stash account customers.