News Archive for September 2021

If your home tops the list of your most prized possessions, it’s only natural to want to protect it.

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.

The New South Wales government has set an ambitious target of a 50% reduction in emissions from 2005 levels by the year 2030, aiming to attract over $37 billion in clean energy investment throughout the state.

‘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.

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.

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.

High debt-to-income ratios will be the focus of home loan reforms signalled by Treasurer Josh Frydenberg this week.

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.

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.”

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.

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!

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.

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.

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.

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

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.

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.

The head of Australia’s largest bank has weighed in on Australia’s runaway housing market, calling on lenders to proactively lift their serviceability floor rates to help temper rising risks.

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

Waiting for your home loan application to be approved can generate a lot of anxiety, particularly in a competitive market when your dream property can slip through your fingers if your bank is taking too long.

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.

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.”

Buying property is a long-term home loan commitment of 20-30 years, so when searching for a home you need to keep in mind its resale value down the line. If you don’t, you may run the risk of losing thousands of dollars.

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.

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.

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.

With a greater number of Australians working from home seeing energy consumption rising nationally by as much as 27%, households with a rooftop solar and battery system could be saving as much as $2,500 per year.

While insurance may not spring to mind when you think of innovative industries, there is a global shift towards a more technologically progressive approach. The recently released 2021 World InsurTech Report noted a surge in investments in new digitally-led insurance players which prioritise customer personalisation through the use of various technologies, aka insurtech.

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.

Parting with something that has been in your possession for a long time can be difficult. Perhaps even harder though, is figuring out where to dispose of unwanted items in an environmentally friendly way. Luckily, having an eco-friendly clear out is possible. We’ve summed up five ways to dispose of your unwanted goods, none of which involve a landfill pit. Happy spring cleaning!

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.

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.

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 …

It’s undeniable that pandemic-induced social restrictions and lockdowns have changed the way Australians handle their finances. Most people have had to reconsider how they spend their money and set their savings goals, and many have experienced financial instability and hardship.

Victoria and New South Wales have banded together to reject the proposal of a ‘Coalkeeper’ tax, seeing it as a plan to prolong the life of coal generators while renewable energy continues to thrive.

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.

An integrity review of Australia’s rooftop solar industry has been published by the Clean Energy Regulator (CER), with 13 recommendations that will see new rules and regulations enforced on accredited solar installers.

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!

In response to growing environmental concerns and increased awareness of the role banks can play in mitigating them, Gateway Bank has announced it will be offering $2,000 cashback to successful green home loan applicants.

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?

In case you’ve been living under a rock, Apple has released the newest iteration of its smartphones - the iPhone 13 series!

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.*

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!

Australians looking for a change of scenery continue to flock to regional areas, with those closest to capital cities emerging as the most popular destinations.

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?

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

Feel like your multiple debts have gotten a bit messy lately? Well, it could be time for a spring clean! Managing multiple debts can be tricky, from making car or personal loan repayments to paying off your credit card. But that’s where a debt consolidation loan can make life a little easier (and likely cheaper!). But are debt consolidation loans really that popular? To put it simply, yes they are. According to online personal loan lender SocietyOne, about half (50%) of their loans taken out each month are for debt consolidation, with the average loan sitting at around $20,000. SocietyOne’s chief marketing officer, Nicole Avery breaks down how it all works.

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.

National Australia Bank (NAB) has increased a number of its fixed home loan rates by between 10 and 30 basis points.

NBN Co has released a series of documents outlining the process for customers to become eligible for free upgrades to an NBN FTTP connection, allowing access to the faster broadband speed tiers on the network.

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.

It’s September, folks (A.K.A., the Silicon Valley equivalent of Christmas). Yep, you guessed it! Apple has just announced its next iPhone drop. Introducing the iPhone 13 series…

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

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.

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

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 …

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.

Residential property prices increased by 6.7% in the June quarter, marking the strongest growth since the Australian Bureau of Statistics (ABS) began this particular index in 2003.

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.

Large-scale battery storage projects have taken off around Australia and the world as the renewable energy transition continues. Now, an Australian-invented battery technology will enable the rollout of safer batteries with a reduced cost.

The battle for Australian investors is continuing to heat up, with Stake revealing that it will be offering the “lowest brokerage fees out there” on Australian shares and ETFs.

As spring season approaches, Commonwealth Bank predicts a growth in digital property purchases and the return of investors.

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.

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.

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.

While credit card spend dropped 14% in July, things are looking up as August saw a 4% recovery on the previous month.

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.

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

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.

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.

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.

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.

While spring has only just begun to bloom, insurance companies are already considering the costs of damages caused by severe weather, and how prepared people are to manage this during summer storm season.

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).

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.

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.

Internet retailer Aussie Broadband has agreed to a fibre-sharing deal with VicTrack, which owns Victoria’s transport land, assets and infrastructure, including the rail transport telecommunications network.

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.

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

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

It is easy to assume that once you get your home loan, you don’t need to worry about it too much (unless you are at risk of defaulting or if you’re close to paying it off).

Simpler energy bills are on the way to homes with the Australian Energy Regulator (AER) asking for consumer input which will be included in its new Better Bills Guideline.

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’.

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

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.

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.

Online bank UBank has lowered its 3-year fixed home loan rate for owner occupiers paying principal and interest.

With Spring finally here, it’s now time for our September 2021 personal loans market update.

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

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.

Quick facts from our report:

Australian residential property prices have increased once again, raising fresh concerns about the issue of housing affordability.

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.

The latest Quarterly Update of Australia’s National Greenhouse Gas Inventory has been released, showing that while Australia’s emissions have fallen to the lowest level on record. Despite the drop, our emissions are still well above where they need to be in order to meet the net-zero target by 2050 in line with the Paris Climate Agreement.

Most savings account interest rates have fallen and plateaued at less-than-appealing levels over the last year, but Virgin Money has some positive news for savers.

Australian homeowners have been switching their home loans like never before according to new figures released today by the Australian Bureau of Statistics (ABS).

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.

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

While the average ongoing savings rate has held steady at 0.41% since last month, there’s been plenty of rate movement over the last few weeks. The Mozo data team recorded 19 cuts in August, as well as three savings account rate increases.

Spring is officially here and with it comes what is traditionally the country's busiest property season, which means plenty of Aussies may be considering upsizing, downsizing or even buying their first home in the coming months.

The ACCC’s latest Measuring Broadband Australia report has found that customers with fixed-line NBN connections experienced record speeds throughout May 2021. Most customers were also able to receive their maximum plan speed more frequently during the peak evening hours of 7pm-11pm.

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.

There is little chance that term deposit interest rates will change dramatically in September. Mozo has counted less and less term deposit rate cuts in the past few months.