This week in banking news - savings sadness, RBA aftermath, energy and a frugal festive season

• The bad energy habit that 22% of Aussies are guilty of.
• Have business loans been affected by the October RBA cut?
• Find out just how low the average ongoing savings rate has dropped.
• Why Aussies are struggling towards payday.
• Are you dreaming of a frugal festive season?

All in this week’s banking recap.

Have business loans been affected by the October RBA cut?

With the Reserve Bank of Australia deciding not to cut in November, interest rates have arguably had a bit of breathing space to settle down. And with that, the impact on business loans has become clearer.

Excluding a handful of lenders, almost every bank has decided to pass on a portion of the cash rate cuts from June, July and October to their business loans. In fact, according to the Mozo database, the average residentially secured, variable rate business loan has dropped 0.40% in the past five months, from 5.52% to 5.12%.

22% of Aussies are guilty of this bad energy habit, research finds

According to the recently released Mitsubishi Electric Australian Home Trends Report, 22% of Australians are guilty of turning the aircon on with the windows still open, while 20% admitted to leaving it on when no one was home.

Mozo’s energy expert Nathan Warne named habits such as these as the reason why your energy bill may wind up being bigger than expected this summer. Warne suggested keeping on top of what appliances you’re using and when, to make sure you don’t have any nasty surprises when it comes to billing time.

Average ongoing savings rate at a record low

For the first time since Mozo started tracking rates back in January 2012, the average ongoing savings rate has dropped below 1.00%. This figure is based on the combined data from 188 different personal savings accounts with an ongoing rate or ongoing bonus rate.

Five years ago, in November 2014, the average ongoing savings rate in the Mozo database was almost triple what it is today, at 2.53%. So it’s bad news for savings accounts, with possibly even more grimness to come as experts predict future cuts from the Reserve Bank of Australia either later this year or in early 2020.

Aussies struggling to make it to payday, research finds

With interest rates for savings accounts at an all time low, it’s no wonder more and more Aussies are struggling to save. In fact, according to recent research conducted by Mozo, 1 in 2 Australians save less than $200 a month, with 16% of those aged from 25 to 34 admitting to running out of money altogether, before payday.

As Mozo spokesperson Gemma Rasmussen suggested, increased costs of living and stagnant wage growth has most likely played a big part in Aussies finding it hard to get ahead of the game. 

Reports find Aussies more frugal than festive this year

With this in mind, it shouldn't come as any surprise that Australians are planning to spend less this Christmas. Indeed, according to a report from St George Bank, 43% of Aussies are setting a budget for spending on family and friends this festive season.

ING also found that more and more Australians are leaning towards a greener Christmas, with 57% of the country saying that they would opt for more sustainable presents this year. This comes after an approximate 10 million unwanted gifts were given last Christmas.

Now if you are planning to save money and have a more eco-friendly Christmas this year, why not check out the savings accounts below, to find the best interest rate for your hard earned stash.