News Archive for August 2021

We want our beloved dogs and cats to lead healthy and happy lives. So if you've got a special pet in your life, pet insurance is a great one to have in your back pocket in case of emergencies (along with treats).

From buying that new car you’ve been dreaming of, to consolidating your debt or financing your home renovations, personal loans can have a great many uses. But knowing where you stand when it comes to personal loans can be tricky, with a bunch of common misconceptions floating around that need to be busted.

Many Aussies are turning their attention to electric vehicles (EVs).

For high interest rate chasers, savings accounts are pretty appealing right now. Following multiple cash rate hikes in 2022, rates have continued to increase.

If you’ve ever made an online purchase, you’re probably familiar with PayPal. The payment platform offers a simple way to pay for items without having to provide your card information directly to the merchant.

So, you want to compare TPG and iiNet NBN plans? Well, you’ve come to the right place.

Getting rewarded for your spending is the key to a killer rewards credit card deal, and that’s why many Aussies are turning their attention to cashback offers. And what’s an example of a hot cashback offer available right now? The Kogan Money Black Credit Card, where customers could score up to $400 credit to spend at Kogan.com.“For customers looking for a credit card cashback deal, and who love to shop online, an offer like Kogan’s Black credit card is worth considering,” Mozo spokesperson, Tom Godfrey said. “Whether it’s on home loans or credit cards, we’re seeing a boom in cashback offers at the moment. So if you’re tempted by the prospect of getting some quick cash on your credit card, considering an offer like this that allows you to spend what you earn could be a great perk.”    Check out Mozo’s expert review of Kogan Money’s deal for all the info you need. But get in quick because this offer is soon to expire on 4 October 2021!

Has the new most recent Intergovernmental Panel on Climate Change (IPCC) report gotten you thinking about how to fight the climate crisis? Are you stuck and don’t know where to start? You can start by changing your finances to be with institutions that are doing their part to create a more sustainable economic future. Let’s take a look at how:

Everyone knows that when applying for a personal loan, having a good credit score can give you an advantage. But just how much of an advantage does a good credit history provide?

Property prices have skyrocketed over the last year, but recent lockdowns have caused a ripple of uncertainty in the market which could be a precursor to a brief period of that price growth plateauing. And if you’ve already had your eye on house sale listings for a while, this movement might have you thinking about investing.

Gone are the days where Buy Now Pay Later (BNPL) is only associated with big retailers. In fact, according to Afterpay’s Next Gen Index , more Aussies under the age of 40 are shopping with small businesses using BNPL. With a focus on two age groups: Gen Z (9 - 24 years old) and Millennials (25 to 40 years old), Afterpay recorded that 67% of all Afterpay spend in small businesses comes from these age groups. And since last year, the Millennial collective saw a growth in small business spending of 20% year-on-year, while Gen Z’s contribution grew by 45% in the same time period.  “Gen Z and Millennials are driving change at the intersection of culture and commerce, so it's no surprise they have been key adopters of Afterpay and BNPL more generally,” chief strategy officer at Afterpay, Mark Teperson said.  “This demographic is set to account for nearly half of the globe’s retail spend by 2030. Their influence on the economy will only continue to grow, especially as they reach peak earning years.” Afterpay’s latest stats showed that BNPL usage in Australia has skyrocketed since January 2020. Gen Z and Millennials’ usage grew by 174% and 110% respectively, while credit card spending remained static for those over 25 and dropped for those younger.  “Gen Z and Millennials are becoming a powerful force in the economy. Within the next ten years, they’ll represent nearly half of Australia’s total retail spend,” chief executive officer of the Australian Retailers Association, Paul Zahra said. “BNPL has proven to be incredibly popular for young Australians who are embracing new payment options in growing numbers. It’s important that retailers can adapt to the consumer trends that are emerging, and through the Next Gen Index, business owners have access to the data, insights and tools they need to grow and innovate.”

Whether you are buying or selling a home, going through this process alone isn’t always easy. With the help of a real estate agent, your chances of finding the best possible results may increase.

Faster internet could be on the cards for Victorians with the state government and NBN Co signing a co-investment agreement to deliver more fibre and quicker internet to more areas across the state.

Despite the financial impacts of the COVID-19 pandemic, new research has revealed that the level of ‘financial comfort’ felt by many households, including household savings balances, has actually improved over the past year and a half.

The reason crime rates affect car insurance is because insurance is all about risk.

Aussie households could soon spot a new charge on their electricity bills should Energy Ministers agree to a proposal for a new capacity payment to power companies, according to a recent report from the Institute for Energy Economics and Financial Analysis (IEEFA) and Green Energy Markets.

When it comes to finding a top personal loan, you don’t always need to knock on the door of banks. In fact, there are plenty of competitive low-rate loan options offered by non-bank lenders. Right now, the average unsecured personal loan rate sits at 9.45% in the Mozo database. However, many non-bank personal loan lenders offer rates well below that average, particularly for customers with an excellent credit rating. Due to many lenders adopting a risk-based pricing model on their personal loan products, in many cases the healthier your credit history, the lower rate you’ll receive. So which non-bank lenders offer hot rates right now? Check out these top options below …

In a bid to help small businesses struggling to keep afloat amid ongoing lockdowns and border closures, the federal government has announced it will be expanding the eligibility criteria of the SME Recovery Loan Scheme.

There are changes in the works for ING customers who hold an Orange Everyday transaction account.

Westpac made several changes to its home loans suite today, most notably cutting the discounted variable rate on its Flexi First Option by 20 basis points for both owner occupiers and investors.

Is a small vehicle on the cards for your next car purchase? If so, you’ve come to the right place. According to Carsales’ Best Small Car 2021 list, Mazda3 was named the best small car option for Australian consumers right now. Based on a number of categories like safety, technology, comfort and convenience, driving performance and ownership costs, there were nine winners in total this year. The 2021 Carsales list is as follows:

Whether you enjoy an op shop excursion for the budget-friendly prices or more sustainable consumption, things have certainly changed in how we shop for preloved items.

Did someone say personal loan interest rate cuts? That’s right! While COVID restrictions might have Aussies locked down at home, personal loan rates have been moving.

Though the current lockdowns pose a fresh batch of challenges for Australian businesses, investment in new assets has skyrocketed, with CBA data revealing that asset finance lending was up 20 per cent in FY21.

A new law will come into effect this week via an amendment to the Strata Schemes Management Act, which will allow more apartment residents to keep their animal companions in their property.

Online bank UBank has announced a number of variable and fixed home loan rate changes for property investors.

Great Southern Bank, formerly CUA, recently announced it has reached carbon neutral status following independent certification of its 7,500 tonne carbon offsetting program.

More than 400,000 residential broadband customers moved to higher speed plans in the June 2021 quarter, a report from the ACCC has shown.

Internet service provider TPG Telecom has signed a new wholesale agreement that could see up to 40 new retailers start selling plans on their Fibre-to-the-building (FTTB) network.

One thing that’s gone missing from our average week is small talk at the barbecue.

Loan approvals can seem like a scary thing. Especially when it feels like lenders use a monster-sized magnifying glass to look into every nook and cranny of your finances. But the truth is, when applying for a personal loan, these types of checks are nothing to be afraid of … as long as you’re prepared. So with this in mind, we’ve put together 3 ways of improving your chances of getting approved. Read on and find out!

It’s no secret many Australians have turned to fluffy, four-legged friends to help them get through the instability and social isolation of the last 18 months. Animal rescue and adoption groups like the RSPCA and PetRescue have seen massive surges in people looking to take home pets.

With housing prices skyrocketing in all the capital cities in Australia, it’s safe to assume that buying a house by yourself won’t happen. So maybe you could start by daydreaming about teaming up with your friends.

ANZ has become the latest lender to offer a lender's mortgage insurance (LMI) exemption to eligible home loan borrowers, with doctors, accountants and lawyers among a list of professionals who could benefit from the waiver.

Today, CommBank has officially launched StepPay - it’s brand new Buy Now Pay Later (BNPL) service. CommBank introduced StepPay to customers last month and were taking pre-registrations, however it’s only as of right now that the platform is live for them to use. “We’re excited to create the first BNPL from a major bank which can be used anywhere our cards are accepted,” CBA’s executive general manager, Marcos Meneguzzi said. “We know BNPL is a popular choice among customers, but is hampered by its limited use and availability in only selected retailers and businesses. With StepPay, customers have freedom around where they’d like to shop, offering the same accessibility as our other CBA cards. "

A major move is in the works in the customer-owned banking scene as Toowoomba-based Heritage Bank and Adelaide-based People’s Choice Credit Union are currently looking to join forces.

BHP’s oil business and Woodside Petroleum will merge to become Australia’s largest publicly-listed energy company and one of the 10 largest energy companies worldwide.

In a move designed to expand its digital banking capabilities, Bendigo and Adelaide Bank is set to acquire Melbourne-based fintech Feroicia in a deal worth up to $116 million.

Key report facts:

Finance and business sectors are being urged to fast-track emission reduction efforts after the latest Intergovernmental Panel on Climate Change (IPCC) report . It found current measures will not be sufficient to keep global warming at bay in line with targets.

Aussies are spending almost $500 a month on discretionary purchases via social media and apps, according to a new study from UBank .

The infrastructure upgrade across the NBN network is underway, with the aim for 10,000 homes to be eligible for faster internet speeds by the end of this year before extending to other households over 2022 and 2023.

The number of people planning to renew their life insurance policies has jumped from one in three to 50% of policyholders over the last year.

86 400 has introduced a new 85% LVR tier for its home loans and removed Lender Mortgage Insurance (LMI) payments for customers with a 15% deposit or equity.

Plans for Australia’s largest battery storage project have been revealed by renewable energy developer Syncline. The proposal would see the battery located in Victoria and connected to the state’s main 500kV transmission network.

Australia is behind other developed countries in renewable energy and emissions, a new report shows. Despite increased uptake in green power and a number of clean energy projects around the country, Aussies are still too slow to embrace new technologies and transition away from fossil fuels.

NAB has launched a specialised business financing product for their Muslim customers, the latest result of a program that began five years ago.

Digital mortgage lender Nano has announced that it has hit the $100 million mark of unconditionally approved loans - a milestone that comes just over a month since the lender hit the market.

Citi has today announced an agreement for NAB to acquire its consumer bank in Australia.

Everyone eventually gets some type of buyer's remorse when shopping. It usually happens when you make an impulsive purchase and then after a few hours or days you find yourself regretting your decision.

All in this week’s best banking news recap: editor’s pick.

Today two Hunter-based major regional banks announced that they will merge by the start of  2022, to become a regional bank powerhouse.

The number of first home buyers taking out new home loans has dropped to its lowest level in eight months according to lending indicators released by the Australian Bureau Statistics (ABS) on Tuesday.

It’s a common sight to see ‘for sale’ signs on houses with an auction date all across Australia. House auctions have become popular in major cities in recent years, especially with property prices on the continual rise.

When a business is bought by another company, often some changes are made. For this reason, Afterpay customers may now be wondering whether the service will look a little different, after the buy now pay later giant is sold to Square.

Another bank has announced it’s jumping on board the Buy Now Pay Later (BNPL) train! Today, Citi Australia revealed that in October 2021 it’ll be launching a brand new BNPL service called ‘Spot. Buy Now Pay Later.’ And pre-registrations are now open. Traditionally known for its extensive suite of credit card options, Citi says that the service is a separate brand and will be issued by it’s affiliate company, Diners. “We are excited to enter the buy now pay later market with an offering that will be compelling for customers and merchants,” Head of Cards and Loans at Citi Australia Choong Yu Lum said.“This is a global first for Citi, and we’re confident that success in the Australian market could lead to a worldwide rollout of the new payment method.”

Car insurance provider Youi is offering discounts to customers in NSW and Victoria who have been impacted by COVID-19 restrictions.

The Reserve Bank of Australia will be going forward with its plans to scale back its bond purchasing program in September, despite the economic fallout caused by the delta outbreak.

In some heartening news this week, Telstra has just made calls from its 15,000 existing payphones to Australian landline and mobile numbers free!

Customer-owned bank bcu has announced the launch of a new cashback deal which could see mortgage holders pocket thousands of dollars for taking out a new home loan.

Multinational mining, metals and petroleum giant BHP has announced plans to build two solar farms and a battery energy system to power its Nickel West mining operation in Western Australia. The announcement follows a deal inked with electric vehicle and clean energy company Tesla that will see BHP provide Australian nickel to the company.

Got unpaid debt? Whether it’s a personal loan, credit card or even a home loan, chances are you’d prefer to see your debt out of your life than in it.  So the question is: is it always a good idea to prioritise your debt instead of focusing on growing your savings stash? Or can both be done in tandem? We’ve asked the question of Mozo’s banking expert, Peter Marshall as well as Sebastian Paulin, Plenti’s head of direct lending, and Joanne Edwards, Wisr’s chief risk and data officer. And boy we got the answers!

If you needed proof that competition is running hot for Australian mortgage holders, the last few weeks has done just that, as lenders have taken their knives to home loan rates once again.

We’ve officially entered the month of August (time flies when in lockdown). For real though, we hope you’re all staying safe and keeping your spirits high if you’re in any lockdown-affected areas. That being said, here’s your favourite financial checklist to help keep you busy: