This comes as part of the regulator's retail deposit inquiry, in which the final report was released on Friday.
Customers are confused by the various products on offer and the consequences for not meeting deposit criteria on many online savings accounts.
ACCC Chair Gina Cass-Gottlieb said the regulator is recommending banks roll-out a reminder system if savers are going to fail to meet deposit criteria to attain the top interest rate.
It also recommended banks alert customers to if another product is better suited to them - either one with fewer interest rate sacrifices if the customer is disengaged, or one with a higher rate if the customer is engaged.
“While high headline interest rates may seem attractive to customers, they can come attached with conditions that are hard for customers to meet and keep track of,” Ms Cass-Gottlieb said.
“During our inquiry, we were concerned that several banks could not tell us how many of their customers had missed out on bonus interest, or which specific condition they failed to meet.”
In InfoChoice's database, there was only one savings account with an unconditional rate over 5.00% p.a. which belonged to Australian Unity. However that account has been mired in controversy.
Upwards of 30 banks offer savings accounts over 5.00% p.a. but most come attached with bonus conditions such as minimum deposits, introductory periods, age limits, card transactions, no withdrawals, growing the balance, low balance caps and more.
The sacrifices for not meeting the deposit criteria can be steep, with many base rates on these products less than 50 basis points.
The report also found there are significant barriers to entry when switching to a better deal.
"Only 38% of savings account consumers search for information on alternatives, following through to only 25% of consumers switching over a three year period," the report found.
The ACCC has also recommended the government roll out easier bank account porting so they can switch and take advantage of higher interest rates.
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