3 tips to beat money woes in 2025

The start of a new year is the perfect time to take control of your family's finances. But where should you start? 

According to Mozo money expert Rachel Wastell, there are three key steps to getting your money in order: review, consolidate, and plan ahead. 

"Reviewing your finances is all about knowing your numbers - so the best place to start is with your interest rates," says Wastell. "If you don't know your rate, you don't know how much more you could be saving, or earning - and more often than not the interest rate is the main factor in determining costs."

1. Start by reviewing your home loan

If you’ve got a home loan this is particularly important. 

Mozo research found that 42% of Australians with a home loan don't know their interest rate. 

"That's a big problem because your rate is the key factor in determining how much your home loan is costing you," Wastell says. 

She notes that over a dozen lenders currently offer rates of 5.99% or below, including both major banks and smaller lenders.

To put this in perspective, here’s an example: on a $500,000 loan over 25 years, the difference between a rate of 5.99% and the database average of 6.73% amounts to $230 in monthly savings. 

2. Don't overlook savings conditions

When it comes to savings accounts, knowing your rate isn’t always enough. 

“It's about knowing how to qualify for it and understanding the fallback rate if you don't meet the conditions," Wastell cautions.

Currently, some of the most competitive bonus rates in the market reach 5.50%, significantly higher than the average of 4.66%, as per the Mozo database. This difference can add up - on a $50,000 savings balance, earning 5.50% instead of 4.66% results in an extra $440 per year in interest.

For those who prefer simpler options, there are some unconditional savings accounts with high rates. In fact, the highest base rate account on our database is up to 5.10%—the Australian Unity Freedom Saver account.

3. Consolidate debts to save

Another key area to consider is your debts. Debt consolidation brings your finances together, making money management easier and ideally saving you more.

So what are your options?

According to the Mozo database, eight credit cards currently offer 0% balance transfers with a 1% fee, with terms ranging from 6 to 24 months. Some options extend up to 30 months for those needing more time, though with higher fees.

Alternatively, debt consolidation loans are available with rates as low as 5.76% p.a. (6.55% comparison rate) from lenders such as Harmoney, as per Mozo data.

"Consolidation is about cutting down on complexity and creating a clearer picture of your financial situation," says Wastell. "It's especially useful for anyone who feels overwhelmed or disorganised when it comes to managing their money."

The key to success is setting clear, achievable goals and breaking them down into manageable steps. 

"Whether it's paying off debt, saving for a holiday, or building an emergency fund, define your goals for the year ahead," she says. "Small changes can lead to big results." 

The bottom line is that planning leads to big savings in the future, and that starts with comparing. Check out the hub pages for home loan and savings account providers to get an idea of how your current accounts stack up. 

Alternatively, to help you get started, we’ve listed some of the leading savings accounts on the market in the tables below.