Aussies advised to get saving now with Christmas Club accounts

Australian consumers have been advised to start saving now for the next festive season.

A National Features report, hosted by the Herald Sun, notes that among the various savings products available to consumers seeking to get a head-start on the next Christmas period are Christmas Club accounts – products which are mainly offered by credit unions and building societies.

Commenting on the accounts, Abacus Australian Mutuals chief executive Louise Petschler observed that by setting them up soon after Christmas or in January, people will have the whole year to save and accumulate interest.

"Work out what final amount you would like to have for next Christmas and set up an account and nominate a portion of your weekly or monthly income to go into your Christmas account so that you have that rough amount and then you get the interest on top," she added, noting that because such accounts generally only allow withdrawals over the Christmas period, people are forced to save up.

Consumers aiming to grow their long-term funds could also choose to compare term deposits in search of the best returns. According to Teachers' Credit Union (TCU) chief executive Steve James, who also spoke to National Features, the average TCU club account averages about $1,200 by the end of the year.

This article is brought to you by Mozo – Helping you compare term depositsADNFCR-1761-ID-800332222-ADNFCR