News Archive for March 2020

Trend alert! Now you’re probably familiar with the whole concept of ‘passive income’, but have you heard of passive savings? Let’s break it down.

With a global health crisis ongoing and the future of a lot of jobs on the line, it’s understandable if you’re feeling anxious about your rainy day fund. Savings rates are changing all the time, so if you haven’t looked around for a while you may find your current account isn’t giving you the interest you deserve.

Judo Bank has opted to increase its six-month term deposit rate to 2.12% p.a. today, joining several other banks that have hiked rates following this month’s surprise RBA cut. The 2020 Mozo Experts Choice Award winner now offers rates of between 2.05% p.a. and 2.15% p.a. on three month to five year terms.

Aussies all over the country are being financially hit by the outbreak of COVID-19, and while the government is putting some stimulus packages in place to help those affected, practicing ‘Money Kindness’ with what you have is just as important as ever.

A further 30,000 Australian businesses will be able to defer business loan repayments following an expansion to the Australian Banking Association’s Small Business Relief Package on Sunday.Previously, only businesses with lending limits of up to $3 million were able to access a six-month deferral of loan payments. The changes will see that threshold increased to $10 million.According to the ABA, this will provide cover for 98% of businesses with a loan from an Australian bank. ABA CEO, Anna Bligh said the latest round of support will help keep small businesses humming at a time when many are struggling to stay afloat.“As this crisis has deepened and more businesses are affected we are building on the Small Business Relief package to ensure more businesses are given a lifeline to help them survive through the coronavirus pandemic,” she said.RELATED: Guide to Australia’s coronavirus financial support for small businessesCommercial property landlords will also benefit, on the condition they refrain from terminating leases or evicting current tenants for not paying rent as a result of the coronavirus outbreak.“This will help protect many more thousands of small businesses from being evicted if they are struggling to pay the rent as it covers approximately 90% of commercial property owners who have loans with an Australian bank,” Ms Bligh said.“Where landlords within this threshold do the right thing by their tenants, banks will do the right thing by them.”The major banks have been quick to voice their support for the new measures.“We are dealing with a health crisis which is precipitating a significant economic shock, and the most vulnerable in our community are especially in need of our collective support,” said CommBank CEO, Matt Comyn. Westpac Chief Executive Business, Guil Lima added that “these are unprecedented times and they call for strong, meaningful actions”. “Ultimately, what’s most important is ensuring businesses - and the economy - can come out the other side of this.”Over the past two weeks, several measures have been introduced to help reduce some of the uncertainty Australian businesses are currently facing. For more information, read our overview of financial support available to small businesses.

Prime Minister Scott Morrison today announced an initiative to help keep as many as 6 million Australians employed over the next six months.

Whether it’s earning a free coffee, using a coupon code to save at the checkout or scoring a two for one deal on cookies, most Aussies know a good bargain when they see one.

All in this week’s banking recap.

As the nation continues to keep up with the latest COVID-19 updates, rules and regulations, one area under the spotlight is how Aussies will cope financially during the pandemic.

Like other items or surfaces that come into contact with viruses, cash has the ability to carry and spread COVID-19.

With so many non-essential businesses closing their doors and health officials urging people to practice self-isolation, many Australians are facing the very real possibility that they will lose their jobs in the coming months.

Online lender, Reduce Home Loans has today announced it will be cutting both fixed and variable rates across its suite of home loan products.

As the coronavirus outbreak grows more severe day by day in Australia, many businesses are struggling to keep afloat and keep their doors open. To support small businesses during these tough times, both the government and banks have stepped in with emergency financial relief strategies.

Following the outbreak of the novel coronavirus, and the Reserve Bank of Australia’s (RBA) emergency cash rate cut, now may be the time to think about locking in a fixed home loan rate.

The National Cabinet discussed new measures on the evening of March 25 protecting renters from eviction if they face financial problems due to COVID-19.

As the fallout from the continued Coronavirus shutdown is felt more and more each day, Macquarie has become the first Australian bank to protect borrowers’ credit scores.

It’s no secret savings rates have been plummeting non-stop over the past year, but this time round, the big banks seem to have bucked the trend.

If money troubles are at the forefront of your mind right now, you might be tossing up ways to reduce ongoing costs. One option could be to refinance your car loan. If it’s been a while since you got it, you could be missing out on a more competitive deal, plus thanks to the rise in online and non-bank lenders there are now more and more low interest car loans available.

It seems that with each new day comes a new major progression from the COVID-19 outbreak. From the closure of schools and businesses to the cancellation of countless mega-events across the globe, this rapidly evolving pandemic is impacting the human race on an unimaginable scale.

As the nation continues to take each day as it comes during the coronavirus outbreak, many Aussies may have already had to say goodbye to their daily commute.

As the effects of the COVID-19 outbreak hit home for a lot of Australian families, with many people facing financial uncertainty, reduced working hours or job losses, the reality is it’s time for many of us to make shifts to our current financial set up.

Australia’s customer owned banks have been revealed to be among the biggest winners in the recently announced 2020 Mozo Experts Choice Home Loan Awards which aim to shine a spotlight on some of the best home loans in the country.

It’s possible to do just about anything online these days, from managing your bank accounts to getting a degree, and now as it turns out, you can even buy a home virtually!

If you’re stuck working from home or twiddling your thumbs in self-isolation during these tough times, you might be tempted to do some comfort spending online! However, with bush fires, floods and a global pandemic, 2020 is shaping up to be more than a little unpredictable. Now more than ever is the time to get thrifty and entertain yourself and your loved ones without dropping any cash.

Last week, the Reserve Bank made an emergency cut to the official cash rate, reducing it to a record low 0.25% amid fears COVID-19 could tip Australia’s economy into recession.

In response to worsening economic conditions due to the coronavirus outbreak, Australia’s major banks will be allowing home loan customers to defer their home loan repayments for up to six months.

The Reserve Bank cut the official cash rate twice in March to a new low of 0.25% and Australia’s most competitive lenders are dropping home loan rates to gob-smacking new lows.

The coronavirus outbreak has evolved from shadowy threat to full-blown disaster, and governments and central banks around the world are scrambling to contain the fallout.

During times of crisis, it’s not uncommon for online scammers to prey on vulnerable Aussies and their fears.

Grocery shops aren’t the only places having to put restrictions in place as Qantas announced today that it would be limiting the number of products Frequent Flyer members can buy on its online store to 2 items per day.

The Australian Banking Association (ABA) has today announced a new relief package targeting Australian small businesses impacted by COVID-19.

All in this week’s banking recap.

Following the Reserve Bank’s inter-meeting decision to cut the official cash rate this Thursday, Australians have been anxiously waiting for word on how their banks and lenders will respond.

Economically and socially speaking, things are pretty wild right now. You might be learning about Thursday’s emergency RBA interest rate cut - which brought the official cash rate down to an historic low of 0.25% - from home as you self isolate in an effort to minimise the spread of Coronavirus. And if you had plans to attend a concert, see a theatre show, have dinner at a busy restaurant or check out an art gallery, they’ve probably been cancelled.

Life is full of unexpected turns and you might be in a position where you need some extra funds, this is where a personal loan might be an option for you.

The Reserve Bank made the extraordinary decision to cut interest rates ahead of schedule today, as the coronavirus outbreak threatens to derail economic activity across Australia.

As any home buyer or property investor may tell you, it’s hard work shopping around for the right home loan to fund your dream house. But the 2020 Mozo Experts Choice Home Loan Awards are back in town to reveal the lenders who deliver market-leading value to its customers - and coming out on top this year is UBank!

Despite the financial turbulence of recent months - from the impacts of the summer bushfires to the global economy-altering Coronavirus and the recent RBA rate cuts - there’s a shining light of financial hope for mortgage holders: home loan refinancing. Mozo’s done some digging and found that switching home loan lenders now could provide big returns down the road.

Defending a title is never easy, but online home loans provider Tic:Toc has done just that by winning the major 2020 Mozo Experts Choice Award title of Online Home Lender of the Year for a second year running.

If there’s one home loan lender that more and more Aussies are hearing about, it’s Athena - and it's not because of their unconventional advertising.

When it comes to buying a house, finding the right home loan with a competitive interest rate and all the best features for you is just as important as picking a property.

A few short months after its introduction to eco-conscious Aussies and Bank Australia’s Clean Energy Home Loan has been awarded the inaugural 2020 Mozo Experts Choice Award for best Green Home Loan.

Although you may not be over the moon to be cooped up inside all day long, if you do have to work from home for the next few weeks, it might be an ideal time to tick off all those finance-related life-admin tasks you’ve been putting to one side. By doing just some of these, you could save yourself some serious dollars.

With many Aussies starting to feel the financial pinch of the spreading novel coronavirus, people are having to rely on their plastic to get them through.

Last Updated: 2:56pm, March 27

In a surprise move, Commonwealth Bank has announced a huge 0.70% cut across its 1, 2 and 3 year fixed home loans, just minutes after the RBA’s decision to bring down the official cash rate to an historic low of 0.25%.

Mozo money experts have urged Aussies to consider fixing their home loan rate, following the Reserve Bank of Australia’s emergency cash rate cut.

Online lender loans.com.au has taken the axe to all of its car loans, bringing its rates to some of the lowest around.

Ever used your debit card overseas and then noticed you’ve been slapped with a build up of international fees afterwards? Take it from us, it’s not a good feeling.

Mozo has found in the wake of the Royal Commission, tighter lending standards, four cuts to the official cash rate in under a year and the emerging threat of the coronavirus, the big banks are still locking up the residential mortgage market. Although they are a long way from offering the best rates around, the domestic major banks are benefiting from blind loyalty that is costing their customers up to $99,945 on an average home loan.

New research from Mozo has revealed that 80% of Australians are worried about the economic impacts of the Coronavirus and that 1 in 5 have no savings and cannot afford to stop working.

Amid fears the coronavirus outbreak will hasten a recession, the Reserve Bank will meet ahead of schedule tomorrow, with analysts expecting interest rates to drop to a fresh low of 0.25%.

With the Coronavirus (COVID-19) declared a global pandemic by the World Health Organisation and the situation evolving daily in Australia, now is the time to do some important prep work.

As the fallout from the COVID-19 outbreak continues, the possibility of Australia entering lockdown is slowly becoming a reality.

The last year has been wild – between Reserve Bank rate hikes, plummeting property prices, and cost of living pressures, many borrowers have copped it at all angles. Not to mention we’re rapidly approaching the fixed-rate mortgage cliff – yikes.

Working from home, self isolation and keeping up good hygiene are all recommendations from government and health officials to minimise the risk of contracting or spreading the coronavirus.

Are you reading this article from your home office? Over the past two years, many lounge rooms have made the transition. While this is a great privilege – not every job was so easily transitioned to working from home (or “WFH”) during the COVID-19 lockdowns – it has presented some unique challenges.

For many low-income earners and retirees, the Australian government’s $17.6 billion coronavirus (COVID-19) stimulus package could mean a bit of financial relief to help cover expenses, from groceries to the electricity bill.

With interest rates in Australia stuck at an all time low, getting the best value savings, bank accounts and term deposits is critical, whether you’re wanting to maximise your interest rate, enjoy fee-free everyday banking or reach your savings goal faster.

The fallout from the March Reserve Bank cut has finally trickled down to neobank savings offers, with three of Australia’s digital banks reducing their respective rates by 0.25% in the past few days.

If you’re looking to save for a rainy day, then chances are you’ve thought about locking some cash away in a term deposit.

Looking for bank relief related to the recent June 2021 lockdowns? See what support the big banks are offering here.

As the impact of the coronavirus outbreak comes into sharp focus, central bankers around the world are taking emergency action.

Overdone it on swish clothing or swanky appliance purchases this month via a Buy Now Pay Later (BNPL) app like Afterpay or Zip Pay? Take solace in the fact more Australians are joining you in this instant gratification shopping spree.

New research data released by the Australian Financial Complaints Authority (AFCA), has revealed that home building insurance was the most complained about insurance product in the second half of 2019.

All in this week’s banking recap.

The development of COVID-19 (aka Coronavirus) as a global pandemic has brought with it a wave of social panic, employment disruption and financial market volatility. While some people are going overboard on toilet paper purchases, others are preparing for the possibility of self-isolation, and the myriad financial complications that could accompany this and other impacts of the constantly shifting economic and political landscape.

Aussies sending money overseas, watch out! The Australian dollar has dropped steeply amid growing fears around the coronavirus outbreak, and it could mean hundreds of dollars lost on your international money transfer (IMT).

If you’re an Aussie sending money overseas, we may have some bad news. In light of investor panic around the coronavirus outbreak, the Australian Dollar (AUD) has tumbled significantly - on Monday morning, its value dropped by about 5% against currencies like the US Dollar (USD) and the British Pound (GBP).

From Aussies doing their grocery shopping to small business owners trying to keep things afloat, the coronavirus has impacted all corners of life in Australia.

It’s no secret that the Aussie dollar has continued to take hit after hit over the last 12 months, whether it’s the trade tensions between the US and China, the recent bushfires or RBA cuts.

As the seasons change and you start using more electricity to combat the weather, it can be hard to stay ahead of your energy consumption. Whether you’re blasting the aircon to stop yourself from overheating or snuggling up next to the heater on a cold day, there are ways you can better manage your energy consumption and save money on your electricity bills.

From the nationwide devastation caused by the Australian bushfire emergency to a global state of panic struck by the current coronavirus outbreak, 2020 is off to a very grim start.

From writing a Google review to sharing a negative experience of Facebook, Aussies aren’t shy when it comes to speaking their minds.

The most important thing to know about a green personal loan is that it works just like a regular loan, but with a distinctly green twist.

It’s wedding season lovebirds, or wedding month for that matter, so get ready for all things flowers, champagne, canapes and all the bills that come with them.

Now that the early-pandemic days of clearing supermarket shelves and hoarding toilet paper are behind us, and most countries are open to travellers, you might be wondering if your complimentary credit card travel insurance policy will cover the spicy cough on your upcoming overseas trip.

Young Australians may pride themselves on being online savvy, but a recent report by the ACCC suggests some of that confidence might be misplaced.

Just as it celebrates 20 years in Australia, a new report released by ING today, shows that the online bank has more than a two decade milestone to shout about. The report revealed that the bank took on a record 423,000 new customers in 2019 alone, making up a total of 2.6 million across the whole of Australia!

Macquarie Bank has jumped on board the rate cut train and dropped variable and fixed mortgage rates by a full 25 basis points.

The first RBA rate cut of the year is behind us, and already we’ve seen plenty of activity on the home loan front. But while reductions to official interest rates come as good news for mortgage holders, they’re less likely to be appreciated by the nation’s savers.

No one likes paying pesky account keeping fees, so how would you feel if you could bid farewell to all of them? Well, with Suncorp, now you can.

UBank customers who logged onto their banking app today might be dismayed to learn the online bank will be cutting rates across its range of deposits.

Sydney-based neobank Xinja Bank has announced that it will be maintaining the 2.25% ongoing rate attached to its Stash savings account, despite the recent RBA rate cut.

It’s a known fact that Australians have travel on the brain, but it turns out that more and more of us are thinking beyond the hotels we’ll be staying at or the food we’ll be eating while abroad.

Neobanks may be the new kids on the block, but they’ve taken the banking world by storm, ruffling the feathers of the big four and offering Aussies a one-way ticket out of savings doom.

Following the Reserve Bank of Australia’s cut on Tuesday, online bank ING has dropped rates on its 1, 2, 3, 4 and 5 year fixed interest home loans by as much as 0.40 basis points!

The Reserve Bank’s continuous cuts to the official cash rate over the past 10 years, have left interest rates for term deposits, savings accounts and home loans at an all time low. While back in 2011 you could easily snag a term deposit with an interest rate over 6% p.a., these days you will be hard put to find one higher than 2%*.

All in this week’s banking recap.

Despite the news of toilet paper outages across the country and the rapid spread of the coronavirus, it would’ve been hard to miss the news that the Reserve Bank of Australia (RBA) lowered the cash rate from 0.75% to 0.50% on Tuesday.

Whether you’ve seen a charging station or driven past one on the highway, electric vehicles (EVs) are here to stay and the Australian Energy Market Commission (AEMC) has stated that Australia needs to start preparing for an EV dominated future.

UPDATE: Mozo's 2021 Bank of Mum and Dad Report is now out with all the latest figures on family lending and property considerations.

Whether you’ve been running your business for 1 week or 10 years, the last thing you want to think about is something going wrong.

After the RBA moved to reduce official interest rates by 0.25%, UBank announced it will be cutting variable rates in kind, making this the fourth time the online bank has passed on the full rate cut to its customers.

Online lender loans.com.au has announced that it will be taking the axe to variable rate home loans following the Reserve Bank’s decision to reduce the official cash rate from 0.75% to 0.50% at its March meeting yesterday afternoon.

Official interest rates in Australia now sit at a historic low of 0.50% following the Reserve Bank’s decision to cut 25 basis points at its October meeting in Sydney this afternoon.

The RBA has just lowered official interest rates by 0.25%, and online lender Homestar has wasted no time in announcing it will be passing on the full cut. The changes will come into effect April 1 for existing customers, and will be effective immediately for new customers.

Fintech Athena Home Loans has maintained its record as one of the few lenders in Australia to pass on the full 25 basis point RBA cut to its home loan customers for a fourth consecutive time following this afternoon’s Reserve Bank announcement.

Big bank Wesptac has become the first of the big four banks to announce it will be passing on the full 0.25% RBA rate cut on its variable rate owner occupier and investor home loans, effective from March 17 2020.

Whether it’s the chance to snatch up a few freebies, a last resort measure for unexpected purchases or the opportunity to blast debt, credit cards can mean different things for many Aussies.

Did you know that when you retire, the everyday transaction and savings accounts you have may no longer suit your financial needs? Now it’s understandable if all you want to do when you leave the rat race is put your feet up, sip a well-earned margarita and not worry about where your money is stashed. But finding a savings account specifically designed for Aussies receiving a pension, could really make a difference.

Ask any first home buyer, and chances are they’ll tell you saving for a 20% deposit is hard work. So much so that for a growing number of young Aussies, ‘rentvesting’ has become the next best thing helping them break into a property market that keeps getting tougher.

Last updated: 2:15pm, Friday March 6.

It’s officially March people! And the summer may be over, but the fun doesn’t stop yet folks! With International Women’s Day, World Happiness Day and St Patrick’s Day all happening in the same month, you can expect March to be a total whirlwind.

The RBA decided to reduce official interest rates today, and mortgage holders the country over are waiting for word on how their banks and lenders will respond. Thankfully, it looks like they won’t have to wait for too long.

Planning your next getaway? Then it might be the perfect time to pick up a new Qantas Frequent Flyer points earning credit card for all your travel needs.

It’s getting to that time of year, when it feels like more than half the country clears off to some exotic destination abroad. If you’re part of this group, firstly, we’re jealous. Secondly, have you thought about how you’re going to pay for all those holiday cocktails and museum tickets? Finding the best credit card for overseas travel should be at the top of your to-do list before you depart.

It’s been twelve months since the infamous Royal Commission into banking and a new report has revealed that the big 4 are still the least trusted banks. According to the study by J.D. Power, customer-owned banks, such as Heritage Bank and People’s Choice Credit Union are winning Aussies’ hearts with higher credibility and overall authenticity.

As fears surrounding the coronavirus outbreak take a devastating toll on global share markets, it’s becoming increasingly likely that the Reserve Bank will cut official interest rates in its March meeting tomorrow.

It’s no secret power prices in Australia have been surging for some years now, but for households who’ve been struggling to keep up with high energy bills, there’s good news on the horizon.

Australia’s property market appears to be bouncing back as median property values have gone up across most capital cities. Plus, home loan lenders have continued to slash rates - so what does this mean for Aussie borrowers?