Banks issue festive payment warning

Aussies have been urged not to leave it until the last minute if they want to make payments from their bank accounts this Christmas.

Each year the Reserve Bank of Australia (RBA) sets out the days in which institutions across the country should process transactions.

As well as weekends, banking staff are also given time off on public holidays and some have warned that those hoping to make a payment from their account will have to do so before 18:00 (AEDT) on Friday (December 23rd) if they want the money to be transferred immediately.

Those who miss this deadline have been told that the transaction may not be handled by the banks until December 29th.

The same "bank black out" scenario will also happen over the new year period, as January 2nd has been outlined as a public holiday too.

Earlier this month, the RBA sanctioned a cut to interest rates, which followed on from an identical readjustment in November.

Get more information on the latest Reserve Bank interest rates with Mozo.