News Archive for September 2021

Got an investment property? Congratulations! From tax breaks to rental income to giving people a great place to live, becoming a landlord certainly has its membership perks.

If you’re new to the world of credit cards, you may not be aware of some of the perks you can get with some cards.

Need a car loan to help you fund your first or next set of wheels? But don’t know what a good interest rate looks like? We’re here to help. Right now on the Mozo database, the average new car loan rate is 7.44% and the average used car loan rate is 8.16%. So, if you are receiving a rate that is below average then you are getting a solid deal.

Today, Suncorp Bank has announced that it is broadening its services with a new Buy Now Pay Later (BNPL) offering, PayLater.

Many Australians are focussing on reducing household costs right now, and saving on interest repayments by switching to a better value home loan or personal loan is a great place to start.

The Australian Prudential Regulation Authority (APRA) is currently weighing up strategies to cool down the nation’s housing market, citing concerns about growing risks to the economy.

‘Get cover, pay later’ is the slogan of the new Buy Now Pay Later provider Coverpay. It is the latest in a string of newly launched BNPL service providers that promise Australians access to services, without having to pay the full amount, upfront.

Today, payments giant Mastercard announced a new Buy Now Pay Later (BNPL) program. Challenging the likes of BNPL big players such as Afterpay, Zip, Klarna and humm as well as big banks like CommBank, Suncorp and Citi (who each offer their own BNPL options), Mastercard claims to be shaking things up. And that’s with its new program ‘Mastercard Installments’. “At the heart of it, payments come down to choice – and people want more from their money with greater flexibility and control in how they pay and where they shop,” said Mastercard’s chief product officer, Craig Vosburg. “Mastercard Installments has been built on our guiding principles to protect consumers and enable choice without sacrificing trust and security. It is a digital-focused way to pay today and tomorrow, delivered through consumer’s most trusted relationships with their banks and other lenders, at merchants of their choice.”

Suncorp Bank has announced that new and existing home loan customers who have a solar power system or will have one installed before 31 December 2021 may be eligible to receive a cash bonus from the bank.

With NBN Co shifting its focus towards connecting rural and remote communities to the network, the company says it is primed to help the agriculture industry achieve ambitious growth targets.

What most of us are after as consumers is convenience. Convenience of price, access and use. In other words, if someone is selling a product that's easy to get, use and comes at a good price, chances are we'll buy.

Westpac has confirmed it will be offering low-rate finance to Australian businesses under the Federal Government’s expanded SME Recovery Loan Scheme, which is due to commence 1 October 2021.

The only thing worse than being put on hold is the dreaded hold music you have to listen to while you wait. That is, of course, unless you’re calling Newcastle Permanent!

Switching energy providers will become quicker and easier with new rules coming into play from October 1. With a significant reduction in wait times for customers switching providers, we may also see better energy deals being offered across the board.

If saving money on your home loan in 2021 is what you’re after, then you've come to the right place. Discovering a great value home loan could mean the difference between tens of thousands of dollars saved in interest over the course of your loan, but in practice it can be hard to find the best option amongst the dozens of different lenders and rates on the market.

Been holding out to buy a car once post-lockdown? Well, it may be time to think about getting pre-approved for a car loan.Not only could this speed up the process of buying a new or used vehicle, it can give you the peace of mind that you have already been approved for lending from a car loan provider. Plus, it can give you a better idea of what car prices you can go for as well as how far you need to go if it comes to negotiating the price.

It’s never too early to start the countdown to the holiday season. And with Christmas and family celebrations top of mind, your next thought bubble might be filled with shopping ideas as sale season approaches.

Due to the growing environmental concerns, lenders have been launching green loans to help customers make their homes more energy-efficient and eco-friendly.

Australia’s top five internet service providers have again banded together to request greater financial relief from NBN Co. The bosses of each provider have joined forces to pen an open letter to NBN Co and the Minister for Communications, labelling their current relief package as inadequate.

With the end of lockdown in sight (hopefully) the question of international travel is hot on many Aussies’ lips. And it’s looking like if things go as projected, Australian travellers may be jet-setting around the world in 2022. That means many savvy rewards credit card users may be gearing up to earn big rewards points for their spending up until then. And what’s a good way to earn points in bulk by the time international travel resumes? Bonus points. “Earning rewards points can sometimes seem like a drawn out task, which is true as you need to spend over time to build up enough points to get rewards,” Mozo banking expert, Peter Marshall says.“That’s why taking advantage of a bonus points offer on a credit card during periods of higher spending, such as the holiday season, could be a smart way to give your points earning a boost in time for when travel resumes.”

A substantial rise in subscriptions to sports streaming services in Australia has come alongside a large increase in those who say they support an AFL team. With pandemic restrictions limiting the opportunities for Aussies to see their favourite teams in person, consumers have leveraged their broadband connections to support their clubs.

In the year to August, CoreLogic estimates there have been 598,000 house and unit sales across Australia.

Earthquakes aren’t all that common in Australia, which is why many were shocked when a quake hit Victoria on Wednesday. The small town Mansfield was at the epicentre of the earthquake and the highest magnitude recorded was 5.9 at 9.15am.

Australian homeowners want to see change to the two-tier system in which many lenders prioritise new mortgage customers over old by way of lower interest rates.

Credit cards are a common and useful way to pay for just about anything incrementally. Many cards also offer extra benefits, such as rewards programs or insurances. That said, credit cards also often come with fees.

Today, Buy Now Pay Later (BNPL) giant Afterpay has announced a new feature to be launched for customers: ‘Retro’. With Retro, Afterpay users can retrospectively decide to pay off a transaction they've made in four instalments using BNPL - which the platform claims is a world-first. But there are some conditions … The feature will be launched soon with the Money by Afterpay app, a payment platform backed by major bank Westpac. The app will offer BNPL options, a daily transaction account and debit card, as well as up to 15 savings accounts - all in one place.  “As we continue building out the Money experience, we’re creating a platform for customers to change the way they think about their money,” Afterpay executive vice president, new platforms, Lee Hatton said. “The integration of BNPL and now Retro will give customers a one-stop app for their money management, allowing them to be more in control of their money than ever before. Customers can forgo salary advance apps or overdraft facilities in favour of a single solution that doesn’t charge fees. We’re excited to announce this first Afterpay superpower and look forward to sharing more as we get closer to launch.”Essentially, this means that the Retro feature will only be able to be used on transactions made using Afterpay’s in-app Money debit card.   Plus, it’s only available for up to $200 of a customers’ Afterpay account limit. So say a customer has an Afterpay limit of $1,000, $200 can be used for Retro and the remaining $800 can be used for regular Afterpay transactions. On top of that, customers will only be able to use Retro on purchases made up to 72 hours prior.

New Research shows that internet usage has increased in areas of Australia with COVID-19 restrictions in place, and streaming services have been a big part of this.

Online credit card provider Latitude has recently announced that it will be ditching it’s points rewards programs. The change means card holders of either the Latitude Infinity Rewards Visa or the Latitude GO Mastercard, will no longer be able to earn or redeem points from late November.  Here’s a quick rundown …

Families come in all shapes and sizes, and sometimes family members are four-legged furry rascals that like to scratch the couch. Even with their occasional mischief Australians still love their pets and are willing to spend more money on spoiling their pets than themselves.

When it comes to your finances, being a good saver is crucial. And what goes hand-in-hand with being a good saver? A high interest savings account. So if you are currently signed up with a provider that offers low interest rates (or none at all), it’s time to put your savings account on your spring clean list!

Most people insure their cars, home and other expensive possessions, so why not insure your furry friend as well. After all, it is better to be safe than sorry.

Aussie borrowers looking for lower rates, faster approval processes and flexible lending terms are deserting the big banks in earnest for more competitive lenders. But with so many different options available, which rival lenders really stand out from the pack?

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

Getting a pet always seems like a fun idea. Sometimes even a great present for the kids. Who wouldn’t want a puppy or kitten for Christmas?

Spring has well and truly sprung. And while this may have you turning your attention to dusting off drawers, clearing out your winter wardrobe or tending to the garden, now could be the time to spring clean your finances as well!  And what’s a big part of many Aussies’ personal finances? Loan and credit card debt. So we’ve spoken to the experts. Combining the knowledge of Mozo’s banking expert Peter Marshall, Athena’s chief marketing officer Natalie Dinsdale, Nano Digital Home Loans’ chief executive officer Andrew Walker and Alex’s chief financial and product officer Craig Fenwick, here are three top tips on helping you pay down your debt this spring!

Westpac has made a slew of interest rate cuts to its savings accounts, including to the leading Westpac Life rate for 18 to 29-year-olds. The big bank shaved a sizeable 50 basis points off the rate, taking it down from 3.00% p.a. to 2.50% p.a.*

New research has shown most Australians are happy with the price and speed of their home broadband when compared to similar products in peer nations. Figures featured in the report show Australia has seen the largest improvement in broadband affordability between 13 similar nations between financial years 2018-2020.

In the past 12 months more than 1.2 millions Australians have been scammed, says Westpac research.

Western Australian-based P&N Bank has joined a growing list of Australian lenders offering extra incentives to home loan customers with the launch of a new cashback offer.

While tax season may be well underway, it seems as though not everyone is lodging their returns correctly, as the Australian Taxation Office (ATO) has released some advice for Australians new to share trading and investing.

Right now in Australia there are plenty of Buy Now Pay Later (BNPL) platforms available, from services like Afterpay, Zip, Humm and Klarna to specialised options such as BrightePay.  But when it comes to choosing the right BNPL, what features should you look for? What sets each platform apart? Well, it all depends on what you value and how you intend to spend. According to Mozo’s 2021 Buy Now Pay Later Report, there are a bunch of features BNPL users deem as important. For example, 46% of BNPL customers say that the ease of using the platform is the most important feature. Meanwhile, 44% value no account keeping fees, 42% prioritise the amount of repayments purchases are split into and 40% consider the availability of certain BNPL platforms in stores. “It makes sense that Buy Now Pay Later customers consider things like ease of use, fees, repayments and availability in stores before signing up with a particular platform,” Mozo spokesperson, Tom Godfrey says. “But it doesn’t stop there. Mozo’s research found that Aussie shoppers are also weighing up things like spending limits, the returns process and whether or not they are charged anything on the spot when making a purchase using Buy Now Pay Later.”  With that in mind, take a look at our full rundown of what the stats showed about how customers value BNPL features …

If you’ve been missing your op shopping fix during lockdown, then the Garage Sale Trail will revive your sustainable shopping spirit.

Australia’s average variable home loan rate has hit a jaw-dropping new low of 3.14% this month despite the Reserve Bank keeping rates on hold, as the battle for borrowers intensifies amongst the nation’s top rival lenders.

Australia’s top internet service providers have submitted documents to the Australian Competition and Consumer Commission (ACCC) proposing a restructure of the National Broadband Network pricing model that would see NBN Co take less revenue per customer to drive prices down.

As you use your debit card or mobile wallet to tap and pay for your daily coffee, it’s easy to forget there are numerous costs associated with that simple action (and that you may be paying a small fee for this convenience). But small business owners will understand the financial commitment that comes with operating a cashless payment system.

If you’ve sent money overseas, you’ve probably been very confused about how it all works. To start with, the exchange rate you google is different from the one you end up getting (usually lower). And you can find yourself spending more money than you originally planned because of fees that suddenly appear. Overall, it is never quite clear what you will get until you click send.

Research from RACV has this week revealed Victoria’s most affordable new cars - or at least the ones least likely to burn a hole in your pocket.

An upgrade to electricity networks in Geelong and Torquay to improve bushfire safety and accommodate the region’s population growth will begin site preparations this month. Powercor, a Victorian electricity distribution company, will deliver the upgrades at a cost of $110 million.

Avenue Bank, a digital business bank with plans to shake up the SME lending sector, has been granted a restricted banking licence by the Australian Prudential Regulation Authority (APRA).

When it comes to banks many of us tend to stick with the one we know. At least that was the case until recently - the ongoing global pandemic has forced change upon us. As well as learning new skills and starting new jobs, Aussies have been switching banks too.

The Reserve Bank of Australia will be moving forward with its plans to reduce its weekly bond purchases this month, though it intends to extend the program until at least February 2022.

Plenty has been written about the new trends which have sprung up over the past year and a half, but in the financial realm, it’s hard to look past the meteoric rise in popularity of investing during the COVID-19 period.

Looking for more ways to help out the environment? A great place to start is with your energy bill.

Online shopping jumped 65% in 2020, but Australians also lost $418.9 million to card not present (CNP) cybercrime during the period.

The Bank of Queensland (BOQ) has joined a small but growing group of mortgage lenders offering a variable home loan featuring a headline rate starting with a ‘1’.

There are over 20 million registered motor vehicles in Australia and according to online automotive marketplace Autotrader, 75% of Aussie drivers have purchased a used car at some point in time. However, that’s not to say that we are well-versed in haggling prices. In recent research commissioned by Autotrader and undertaken by YouGov, it was found that 64% of Aussie drivers between 22 and 54 feel very uncomfortable negotiating the price of a pre-loved set of wheels. Plus, 50% of Aussie drivers claim they aren’t very knowledgeable about cars at all.

After going national with their Green Loan, CommBank continues with its zero emissions initiative by offering a green loan for commercial properties.

The largest wind farm in New South Wales is due to begin construction at the tail end of this year after reaching financial close. The Rye Park Wind Farm (RPWF) is set to produce 396MW of power with its 66 wind turbine set-up.

Quick facts from our report:

In case you missed the news, lending rates have gone off a cliff in the past two years in the wake of six Reserve Bank interest rate cuts, including one last November. And now that the dust has settled, Aussie borrowers have a real opportunity in 2021 to take advantage of some of the lowest rates on record.Borrowers looking for the sharpest rates will need to look beyond the big banks though. Rival lenders have taken the spotlight: not only dishing up super low variable and fixed rates, but also new features and extra incentives.It’s little wonder that rival lenders are seeing a spike in customers switching their home loans and other borrowings from the major banks, with some genuinely big savings now available for those who are prepared to shop around.So, if you're sick of paying more than you need to on your home loan, personal loan or business loan, you’ll want to get acquainted with these killer lenders taking on the big banks in 2021.

Out of 80 MySuper products assessed last month, 13 failed to meet the Australian Prudential Regulation Authority’s (APRA) objective benchmark.

The flowers are blooming, the sun is shining - Spring is here! Which means your daily lockdown walks just got a whole lot brighter, folks. Unless, of course, you suffer from seasonal allergies.

A property’s cost may be affected by the size, shape and location of the land it sits on. Having property with a lot of land doesn’t immediately equal having high property value though. There are several factors that come into play when assessing the land-to-asset ratio. But the most important is location.

NBN Co has announced the next group of suburbs that will be receiving fibre upgrades as a part of their network improvement program. More than 300,000 homes and businesses in the suburbs will become eligible for broadband speeds up to 1000mbps as a result of the upgrades.