Sweep Accounts Australia 2025: Maximise Your Cashflow

In a world where every cent counts, sweep accounts are emerging as a must-have tool for Australians who want to put their money to work. Whether you’re running a business, managing a household, or simply looking to make your everyday banking smarter, sweep accounts offer a seamless way to maximise interest and manage cash flow without constant manual intervention.

What is a Sweep Account?

A sweep account is a banking feature that automatically transfers (or ‘sweeps’) excess funds from a primary account—like a transaction account—into a higher-interest savings or investment account. When the balance in the primary account dips below a set threshold, funds are swept back to cover payments or avoid fees. The goal? Ensure your idle cash is always earning or working for you, but remains accessible when needed.

• For businesses, sweep accounts help manage operating funds and optimise returns on surplus cash overnight.
• For individuals, sweeps can move leftover funds from your everyday account into a savings account, boosting your interest earnings automatically.

2025: Why Sweep Accounts Matter More Than Ever

The Australian banking landscape is shifting fast in 2025. With the Reserve Bank of Australia’s cash rate stabilising at 4.35%, and banks offering competitive rates to attract deposits, every opportunity to earn a little extra matters. New Open Banking rules also mean more people are comparing accounts and moving money with unprecedented ease.

Here’s why sweep accounts are in the spotlight this year:

• Interest Rate Volatility: With rates higher than recent years, letting cash sit idle in a low-rate account is more costly than ever.
• Business Efficiency: SMEs are using sweeps to automate treasury functions and avoid overdraft fees, especially as many banks have hiked fees on manual transfers.
• Personal Savings Goals: As Aussies chase better returns, sweep features are now standard in many digital banks and neobanks, making it easier to reach savings milestones without extra admin.

For example, major banks like CBA and Westpac have expanded their sweep account offerings for business customers, while neobanks like Up and 86 400 (now part of ubank) have introduced easy-to-set sweep rules for everyday savers in their apps.

How to Set Up and Get the Most from a Sweep Account

Setting up a sweep account is usually straightforward, but the benefits multiply if you tailor the settings to your needs. Here’s how to get started in 2025:

1. Choose the Right Accounts: Most sweeps operate between a transaction account and a linked savings or cash management account. Check that both accounts are eligible for sweep features (not all are).
2. Set Your Thresholds: Decide the minimum and maximum balances for your main account. For example, keep $2,000 for monthly expenses, and sweep any excess into a savings account earning 4.5% p.a.
3. Automate and Monitor: Use your bank’s app or online portal to activate sweeps. Many platforms now let you customise frequency—daily, weekly, or monthly—and send alerts if balances fall below your safety buffer.
4. Review Regularly: With Open Banking, you can compare returns and switch accounts more easily. Make sure your sweep is still optimising your money as rates and offers change.

Real-world example: An SME in Melbourne set up a sweep to move all funds above $10,000 from their business account into an online saver at 4.7% p.a. Over 12 months, they earned an extra $1,800 in interest—funds that would have earned almost nothing in the transaction account.

Risks and Fine Print to Watch in 2025

While sweep accounts are mostly win-win, there are a few things to keep in mind:

• Transfer Limits: Some banks cap the number or value of sweeps per month. Exceeding these could trigger fees or a lower interest rate.
• Interest Rate Changes: Rates on linked savings accounts can change quickly. Watch for notifications and adjust your settings if needed.
• Liquidity Needs: If you have major expenses or variable cash flow, set a higher threshold to avoid the risk of bounced payments or overdraft fees.

In 2025, the big four banks have updated their terms on sweep functionality, so it’s worth double-checking the latest policy details on your provider’s website before making changes.

The Bottom Line: Making Sweep Accounts Work for You

Sweep accounts are one of the simplest ways to get more from your everyday money—no spreadsheets or manual transfers required. With competitive rates, smarter digital banking features, and a focus on automation, there’s never been a better time for Australians to take control and optimise every dollar.