Westpac Banking Corporation (Westpac) has agreed to review advertising for the Westpac One savings account after ASIC was concerned that the advertisements were misleading, or likely to mislead.

ASIC was concerned that the Westpac One savings account was advertised with a 5.8 per cent interest rate ‘on everyday savings’. However, consumers have to satisfy a number of conditions to get this interest rate, which makes it potentially unsuitable as an everyday savings account.

The advertised rate only applies if, during the month, the consumer makes no withdrawals and makes at least one deposit, otherwise the interest rate is reduced to zero for that month. The savings account is also only available as part of a package of Westpac banking products.
 
In response to ASIC’s concerns, Westpac agreed to cease its existing advertising campaign.

ASIC’s Deputy Executive Director, Consumer Protection, Ms Delia Rickard confirmed ASIC’s previously stated view that, when a headline claim is subject to exclusions or qualifications,
those qualifications must be contained within the headline claim itself or be very clearly or prominently noted.