Goodbye Daylight Savings: Hello New (Wealthier) Me!

Goodbye Daylight Savings: Hello New (Wealthier) Me!

This Easter long weekend we will say goodbye to the warmer months for good by turning our clocks back an hour. That’s right daylight savings is coming to an end (*sigh*), which means cold weather, shorter days and those dark, depressing trips home from work.

But the good news is we will gain an extra hour on Sunday which we know you’ll want to use to reassess your finances. So forgo that extra shut-eye and whip your finances into shape.

1. Create a Winter budget

Winter is coming and if you’ve struggled to stick to your financial resolutions now’s the perfect time to start afresh and work out a budget for the autumn/winter months. Include all your expenses such as your home loan repayments/rent, utility bills, insurance premiums and even your morning takeaway coffee to get an idea of where your money is going and how much you have left to put towards your savings. Use Mozo’s budget calculator here.

2. Switch your savings account

Once you’ve worked out how much you can put towards your savings use your extra hour to go on the hunt for a high interest savings account. While the average savings rate currently sits at just 2.62%, with a quick search of the savings account market you’ll soon find some savings accounts with competitive interest rates well over 3% including:

  • RAMS Saver – 3.91% ongoing interest rate if you make no withdrawals and deposit at least $200 each month from an external source.
  • UBank USaver with Ultra Transaction Account – 3.77% ongoing interest rate if you link your USaver account with the UBank Ultra Transaction account and deposit at least $200 into either account each month from an external source.

3. Assess your utility bills

Electricity bills in the colder months can send a chill down your spine especially if the account you signed up for a few years ago is not the most competitive in the market today. So take some time to compare electricity providers online because you could potentially save yourself hundreds by simply making the switch to a better deal.

4. Blast your credit card debt

Dump your debt through taking advantage of a 0% balance transfer offer. For example if you owe $3,000 and take out a balance transfer card for a period of 6 months you will need to pay $500 each month to blast your debt within the BT period and avoid the high revert rate.

Check out these balance transfer offers with a generous BT period:

  • St George Vertigo – 0% balance transfer rate for 18 months, then reverts to a 21.49% ongoing interest rate.
  • ANZ Low Rate – 0% balance transfer rate for 16 months, then reverts to a 13.49% ongoing interest rate.

 5. Refinance your home loan

Finally, why not use that extra hour towards refinancing your home loan to a better deal. Say you have a $500,000 home loan with a 5.25% interest rate. By switching to loans.com.au’s low 4.23% refinance home loan rate you could save $87,944 over 25 years according to Mozo’s switch and save calculator.

Remember there are plenty of things you can do in just one hour that can pay huge dividends for your financial future. How will you use your extra hour this Sunday?

Please note, any rates or features mentioned in this blog were available at the time of writing and may have changed. To check on today’s product information, please click on the highlighted product above.

Goodbye Daylight Savings: Hello New (Wealthier) Me! was last modified: June 29, 2015 by Kirsty Timsans

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