Best Banks in Australia: What You Need to Know

Choosing a bank can feel overwhelming in today’s competitive financial landscape, especially in Australia, where both traditional giants and newer players offer a wide variety of services.

While the country’s economy has recently experienced modest growth and persistent inflation, several Australian banks have shown strong performance and continued innovation—proving that selecting the right financial institution can truly make a difference in managing your money.

This article will help you cut through the noise and make a confident, informed choice. We’ll explore the best banks in Australia, how they’re performing financially, and what to look for when picking the best one for your personal or business needs.

The Economic Context: How Are Australian Banks Performing?

According to the Australian Economic Update – GDP Q4 2024: Past the Trough, published by NAB Group Economics, Australia’s economy saw a 1.3% GDP growth in 2024, but household spending remained sluggish, growing only 0.4% in the last quarter of the year. Interestingly, real disposable incomes grew modestly in Q4 2024, supported by labour income, with annual growth nearing pre-pandemic levels. In this environment, banks have had mixed results.

Some institutions stood out. ANZ, the largest bank by tier one capital, expanded its capital, assets, and pre-tax profits. Westpac led in asset growth with a 12.6% increase and showed strong improvement in operational efficiency, earning the top spot in The Banker’s performance table.

Other banks faced setbacks. Commonwealth Bank had a 4% increase in operating expenses. Macquarie Group experienced a significant 32% profit drop amid market volatility. The Bank of Queensland also struggled, with cash earnings per share dropping by 33%.

Despite varied performances across institutions, the overall banking sector experienced growth in total assets. However, pre-tax profits declined, mainly due to higher operational expenses. While some of the major banks faced significant cost increases, others were able to keep their expenses relatively stable.

Who Are the Best Banks in Australia?

When choosing the best bank, it’s important to understand not just performance indicators but also each institution’s history, services, and reach. Here’s an overview of the best banks in Australia today:

1. ANZ (Australia and New Zealand Banking Group)

The bank traces its origins to 1828 and has evolved through a series of mergers with various institutions over the years. ANZ is a major player in Australia and operates across close to 30 markets. It serves a wide range of customers, including retail, high-net-worth individuals, small businesses, and institutional clients — totaling more than 8.5 million customers.

ANZ offers a variety of services, including personal loans, credit cards, home loans, and wealth management solutions such as insurance and superannuation, all with the goal of shaping a world where people and communities thrive.

2. Commonwealth Bank of Australia (CBA)

Founded in 1911, CBA is one of the country’s most recognizable financial institutions. The bank has grown into a business that serves 17 million customers, employs 48,900 people, and is supported by over 800,000 shareholders.

The bank focuses on delivering retail and commercial banking services primarily in Australia, and in New Zealand through its subsidiary, ASB. Its products and services are offered through several divisions: Retail Banking Services, Business Banking, Institutional Banking and Markets, and ASB New Zealand.

3. National Australia Bank (NAB)

National Australia Bank (NAB) is one of Australia’s largest financial institutions, offering a wide range of services across personal, business, and institutional banking. With a global presence, serving over 8.5 million customers worldwide, the bank stands out for its leadership in sustainability and social responsibility, particularly in areas like climate action and affordable housing.

4. Westpac Banking Corporation

Westpac was Australia’s first bank, established in 1817. It operates through several divisions delivering a wide array of consumer, business, and institutional banking services, along with wealth management solutions, through a diverse portfolio of financial brands and enterprises..

For over 200 years, Westpac Group has played a vital role in shaping Australia’s economic and social landscape. Its purpose—’creating better futures together’—reflects the organisation’s identity, mission, and daily commitment.

5. Macquarie Bank

Macquarie Bank is one of Australia’s top financial institutions, recognised for its innovation and customer-focused services. Founded in 1969, it offers a broad range of solutions across personal, business, and investment banking.

The bank is committed to using technology to enhance security and convenience. With a focus on transparency, low fees, and customer satisfaction, Macquarie has earned the trust of Australians looking for reliable support in managing finances and reaching long-term goals.

6. Bank of Queensland

Bank of Queensland (BOQ) is a prominent regional bank in Australia, established in 1874, known for its personalised service and strong community focus. It provides a variety of financial products, including everyday banking, loans, insurance, and credit cards.

7. Bendigo and Adelaide Bank

Bendigo Bank traces its origins back to 1858 on the Bendigo goldfields, where it was established as the Bendigo Mutual Permanent Land and Building Society in response to a surge of migration. Its founding mission was to improve living conditions for thousands of fortune seekers.

Today, the bank supports over 2.4 million customers, with a team of more than 7,000 employees committed to delivering community-focused financial services.

8. AMP Bank Ltd

AMP Limited is a financial services provider in Australia and New Zealand, offering banking, superannuation, and retirement solutions to over one million customers. With around 3,000 employees, AMP also operates North, an award-winning technology platform that supports financial advisers in serving clients across all life stages.

With a legacy spanning more than 170 years, AMP is committed to helping individuals achieve their financial goals through personalised support and long-term planning.

9. Suncorp Bank

Suncorp Bank’s origins date back over 120 years to Queensland, where it began as the Queensland Agricultural Bank with a modest £60 loan to a Wallumbilla farmer. From these humble beginnings, the bank established its first branch to support rural communities through accessible lending.

Today, Suncorp Bank has grown into a trusted financial institution committed to driving positive change—for its people, its customers, and the environment—while continuing to build a brighter and more sustainable future.

10. Bankwest

Bankwest began in 1895 as a rural lender and has evolved into a full-service bank operating across Australia. With a heritage spanning 130 years, Bankwest has continuously evolved to better meet customer needs. It also maintains a strong community presence, proudly partnering with local organisations to create positive social impact.

Bankwest is supported by over 3,000 dedicated employees focused on making banking simple and accessible. With a customer base of one million people, the bank provides services ranging from everyday banking to support for first home buyers.

How to Choose the Best Bank for Your Needs

With so many strong contenders, how do you decide which one is right for you? Here are a few key tips to guide your decision-making:

1. Assess Your Financial Goals

Are you saving for a home, managing a business, or just looking for a fee-free everyday account? Understanding your needs helps you narrow down the right features and services.

2. Compare Fees and Charges

Pay attention to account maintenance fees, transaction costs, and potential penalties. Some banks offer waivers or discounts under specific conditions—make sure to ask.

3. Evaluate Digital Banking Tools

A user-friendly mobile app and online banking platform can make a big difference. Check app store ratings and explore the bank’s digital features.

4. Consider Special Offers

Many banks offer promotional rates on savings or loans for new customers. These deals can add real value if they align with your financial plans.

5. Read Customer Reviews

Websites like Canstar and Mozo provide useful insights into customer satisfaction and service quality. Real user experiences can highlight both the strengths and weaknesses of a bank.

6. Test Customer Support

Prompt, helpful customer service is crucial when issues arise. Try calling or chatting with support teams to see how responsive they are.

7. Review Security Measures

Choose banks with strong security features like two-factor authentication and real-time fraud alerts. Protecting your personal and financial data should be a top priority.

The Future of Banking in Australia: What to Expect

Australia’s best banks are not just maintaining their positions—they’re actively evolving. Here are a few trends shaping the future of banking in the country:

Enhanced Digital Services

Expect ongoing improvements to online and mobile banking platforms, with features designed for speed, convenience, and personalization.

Sustainability Focus

More banks are committing to ethical and environmentally friendly practices. Look for options that support green investments and offer sustainable financial products.

Personalized Financial Tools

AI and data analytics are enabling banks to deliver tailored advice, personalized loan options, and customised savings plans to better meet customer needs.

Increased Market Competition

With the rise of neobanks and fintech companies, traditional banks are upping their game. This increased competition benefits consumers through better rates, improved service, and more innovative offerings.

Final Thoughts: Making the Right Banking Choice

Choosing the best bank in Australia doesn’t have to be confusing. By focusing on your individual needs and understanding how each institution performs and operates, you can confidently select a bank that aligns with your financial goals.

Banking should work for you—so make your next financial move count. Take the time to evaluate your options, read the fine print, and don’t hesitate to switch if your current provider isn’t meeting your expectations.

And if you’re looking for a great credit card from a trusted bank, check out our credit card section.