Aussies 'should think carefully about what they need from savings products'

Aussies considering putting funds away in savings accounts or term deposits should take some time to think carefully about what they need from these products, an expert has recommended.

Speaking to the Sydney Morning Herald, chief executive of Credit Union Australia Chris Whitehead said investors should look at factors other than the interest rates on offer.

"People should look for the best rate but they should also be thinking about what access they will need to the money and how certain they want to be that they will get a particular return,'' he said.

According to the publication, the average interest rates those who take out new term deposits can expect to be offered is 5.48 per cent for a 12-month deposit.

Last week, managing director of Professional Wealth Doug Turek told the same newspaper that investors considering purchasing stocks and shares may benefit from keeping some funds aside as cash.

He noted that this could provide Aussies nearing retirement with greater financial security.

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