Older generations missing out on internet savings accounts

Many older Australians are missing out on high-interest savings accounts because they prefer not to bank online.

Speaking to the Sydney Morning Herald, National Information Centre on Retirement Investments spokesperson Basil La Brooy warned that the older generation is getting pinged for their failure to get involved in the web revolution.

The paper explained that while the average savings account interest rate is 3.35 per cent, those who compare savings accounts online can often find rates in excess of four per cent.

Head of the NSW Council on the Ageing Jon Bisset commented: "There could be a lot of older people out there paying a lot more fees than they may need to and probably don’t understand how much they could be saving by doing it on the internet

Meanwhile, La Brooy also pointed out that some of the conditions attached to the most competitive term deposits also make it difficult for older savers to benefit from the best rates.

According to a study produced by ANZ, elderly women have particularly poor financial literacy levels, putting them at risk of scams and fraud.

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