WEBVTT - Use this script to save instant cash 0:00:01.680 --> 0:00:04.200 Welcome to How Today Afford That, the podcast that peeks 0:00:04.200 --> 0:00:07.520 into the financial lives of everyday Australians. I'm Michael Thompson. 0:00:07.640 --> 0:00:09.520 I'm an author and the co host of the podcast 0:00:09.680 --> 0:00:12.760 Fear and Greed business news. As always, I am with 0:00:12.960 --> 0:00:15.960 Canna Campbell, financial planner and founder of sugar Mama TV, 0:00:16.040 --> 0:00:18.319 which is a financial literacy platform that you find pretty 0:00:18.400 --> 0:00:24.520 much everywhere YouTube, podcast, books, Instagram, threads, TikTok, keynote, speeches everywhere. 0:00:25.000 --> 0:00:27.160 Hello, Canna, good morning. How are you? 0:00:27.440 --> 0:00:29.600 I am good and I am looking forward to today 0:00:29.640 --> 0:00:34.519 because we are going to help everyone save a bit 0:00:34.520 --> 0:00:35.240 of money today. 0:00:35.600 --> 0:00:36.960 That's what we do. We're good at this. 0:00:37.280 --> 0:00:40.440 Yeah, it's a lofty goal. Every single person who's listening 0:00:40.440 --> 0:00:42.120 to this right now is going to save some money 0:00:43.320 --> 0:00:46.559 because today we are talking about the idea of a 0:00:46.600 --> 0:00:49.479 loyalty tax. We are looking at who is paying it 0:00:50.920 --> 0:00:55.800 spoiler pretty much everyone right, how much it's costing you, 0:00:56.280 --> 0:00:59.600 how to stop paying it, and most importantly, how to 0:00:59.640 --> 0:01:03.640 start saving some money. Let's get straight into it. What 0:01:04.240 --> 0:01:05.479 is a loyalty tax. 0:01:06.240 --> 0:01:09.119 So loyalty taxes where you simply pay because you've been 0:01:09.160 --> 0:01:12.360 a long term customer and I don't really want to 0:01:12.400 --> 0:01:15.600 point fingers here. But companies sometimes think that we're not 0:01:15.640 --> 0:01:18.720 going to go and check our bills or shop around 0:01:18.720 --> 0:01:23.240 for another deal, so they gradually and gently increase prices 0:01:23.319 --> 0:01:26.840 without us necessarily noticing, or they fail to let us 0:01:26.920 --> 0:01:29.640 know about any new special promotions and discounts that they 0:01:29.720 --> 0:01:33.200 might have coming up. So essentially it's a financial penalty 0:01:33.240 --> 0:01:36.800 for sticking around with one provider for too long and 0:01:37.360 --> 0:01:40.120 not actually stopping to question the actual value and whether 0:01:40.160 --> 0:01:42.720 you could be getting better value potentially elsewhere, or asking 0:01:42.760 --> 0:01:43.360 for a better deal. 0:01:43.959 --> 0:01:46.960 Okay, And so typically this is where you will see 0:01:48.160 --> 0:01:51.400 special deals being promoted for new customers and things like that, 0:01:51.440 --> 0:01:53.559 and you're like, hey, I've been with you for five 0:01:53.640 --> 0:01:56.000 years or ten years or something like, why don't I 0:01:56.040 --> 0:01:57.360 get that price that they're offering. 0:01:57.480 --> 0:01:59.680 That's not fair? I want that deal too. 0:02:00.200 --> 0:02:04.680 Now, I think there is the general assumption that this 0:02:04.800 --> 0:02:07.760 is all about banks. It is not all about banks, 0:02:07.960 --> 0:02:12.840 is it? Because there are other service providers? 0:02:13.919 --> 0:02:17.040 Yes, So look, banks probably get the first finger pointing 0:02:17.080 --> 0:02:20.000 deal when it comes to the term loyalty tax, but 0:02:20.320 --> 0:02:23.639 it's not at all just limited to banks. Insurance companies, 0:02:24.320 --> 0:02:28.080 you know, particularly personal insurance. Then there's gas and electricity, 0:02:29.000 --> 0:02:33.520 you know, gym membership subscriptions, and I remember during Frugal February, 0:02:33.600 --> 0:02:36.800 I called up my energy and gas provider, which are 0:02:36.840 --> 0:02:40.160 the same company, and within minutes I had one hundred 0:02:40.160 --> 0:02:42.720 and thirty dollars per month knocked off my plans. 0:02:44.520 --> 0:02:45.959 Did you say one hundred and thirty dollars? 0:02:46.080 --> 0:02:48.600 Yeah? Have you not been listening to any of my 0:02:48.639 --> 0:02:49.840 Frugal February results? 0:02:51.040 --> 0:02:54.839 Yes, clearly not. Yeah, so well I hadn't. I wasn't 0:02:54.880 --> 0:02:57.640 aware that the savings were so big. Yeah, that is 0:02:57.680 --> 0:03:01.000 really impressive. You mentioned insurers, right, and I want to 0:03:01.040 --> 0:03:02.840 kind of cover a whole lot of those, like gyms. 0:03:02.919 --> 0:03:05.760 I'm surprised by gyms as well. But we just stay 0:03:05.760 --> 0:03:08.320 on insurers for a moment, because everyone has some form 0:03:08.360 --> 0:03:11.320 of insurance, right, whether it's your car insurance, a health insurance, 0:03:11.400 --> 0:03:17.160 or your home insurance. You see that there is like 0:03:17.200 --> 0:03:19.880 a loyalty discount when you go to renew, you get 0:03:19.960 --> 0:03:21.680 kind of like a twenty five percent off of being 0:03:21.680 --> 0:03:23.840 a loyal customer or something. Is that then a little 0:03:23.840 --> 0:03:24.520 bit deceptive? 0:03:25.280 --> 0:03:27.920 It can be, So there's all sorts of benefits and 0:03:27.960 --> 0:03:31.359 perpose it can come with some of these insurance policies, 0:03:31.800 --> 0:03:36.040 you know, access to certain parks and entertainment and various 0:03:36.200 --> 0:03:38.920 sporting activities. But you've got to really look at what 0:03:38.920 --> 0:03:40.920 obviously what's applicable to you and whether you're going to 0:03:40.920 --> 0:03:44.840 make the most of that. So, yes, there are discounts, 0:03:44.880 --> 0:03:47.600 but there also are ones that can also encourage you 0:03:47.640 --> 0:03:51.080 to spend money where you weren't going to necessarily, so 0:03:51.120 --> 0:03:52.800 actually you can end up costing you even more, as 0:03:52.840 --> 0:03:54.960 well as the fact that it's not necessarily that competitive. 0:03:55.800 --> 0:03:58.000 A classic is you know that you see and it's 0:03:58.040 --> 0:04:01.360 not just insurance companies, even particularly retail. You know they'll 0:04:01.360 --> 0:04:03.520 have a special sale for the weekend where you spent 0:04:03.640 --> 0:04:06.480 three hundred, but you don't have to pay two hundred. Now, 0:04:06.480 --> 0:04:08.240 you may have never intended in going and spending three 0:04:08.320 --> 0:04:10.400 hundred dolls in that store, even a fifty dollars in 0:04:10.400 --> 0:04:13.960 that store, because of that offer, they've been enticed you 0:04:14.000 --> 0:04:17.520 in and to spend and do obviously partner with their 0:04:18.760 --> 0:04:20.560 colleagues and associates and partners. 0:04:20.880 --> 0:04:24.839 Okay, let's kind of go to home loans because or 0:04:24.880 --> 0:04:29.040 banks generally, but focusing on home loans, I suppose because 0:04:29.080 --> 0:04:31.479 this is probably the big one and the one that 0:04:31.600 --> 0:04:35.279 is most Look at me making assumptions here, I'm hoping 0:04:35.320 --> 0:04:40.760 this is a correct assumption that a loyalty tax on 0:04:40.839 --> 0:04:43.080 a home loan where you have been with the bank 0:04:43.120 --> 0:04:47.039 for a very long time, and you have been paying 0:04:47.080 --> 0:04:50.000 perhaps one interest rate for quite some time, and you 0:04:50.160 --> 0:04:54.280 see new customers being enticed to come over to this 0:04:54.360 --> 0:04:58.120 bank with a fantastic interest rate, and you're thinking, why 0:04:58.160 --> 0:05:00.719 aren't I getting that rate? Banks would be the one 0:05:00.720 --> 0:05:03.880 that you are paying the most on a loyalty tax, right. 0:05:04.680 --> 0:05:07.280 Look, everyone is obviously in a different situation. But yes, 0:05:07.279 --> 0:05:09.320 and I'm actually really glad you asked this question because 0:05:09.320 --> 0:05:12.279 I've answer some numbers, and the numbers are looking quite sexy. 0:05:12.279 --> 0:05:15.080 If I don't might say so myself. So if you 0:05:15.160 --> 0:05:18.080 look at say an average home loan of about five 0:05:18.160 --> 0:05:21.120 hundred thousand dollars, and you're paying on average over the 0:05:21.200 --> 0:05:24.200 life of the loan, which is typically around thirty years, 0:05:24.320 --> 0:05:27.560 around sort of six point five percent, but you then 0:05:27.920 --> 0:05:32.640 negotiate five years into six percent, that's two and a 0:05:32.720 --> 0:05:36.920 half thousand dollars a year in savings. Now, if you 0:05:36.920 --> 0:05:39.240 think about that just for a ten year period alone, 0:05:39.279 --> 0:05:43.240 that's twenty five thousand dollars. But though that potential cost 0:05:43.320 --> 0:05:45.880 all that potential savings can go even further because if 0:05:45.880 --> 0:05:49.640 you maintain your existing mortgage repayments as though they already 0:05:50.040 --> 0:05:52.000 remain at six point five, even though you're onready being 0:05:52.080 --> 0:05:56.560 charged six, you can potentially, say fifty five thousand dollars 0:05:57.160 --> 0:05:59.400 and pay off your home two and a half years 0:05:59.400 --> 0:06:04.159 off soon. So that loyalty tax is definitely not just 0:06:04.240 --> 0:06:06.640 limited to the two and a half thousand dollars per Yeah, 0:06:06.680 --> 0:06:09.520 it represents so much more. And of course, you know, 0:06:09.560 --> 0:06:11.279 paying off your home loan two and a half years 0:06:11.320 --> 0:06:13.760 earlier that those are mortgage repayments can go into super 0:06:13.880 --> 0:06:17.159 to go into investing, to go into other lifestyle requirements. 0:06:17.200 --> 0:06:21.200 So it really does pay to look at where you're 0:06:21.240 --> 0:06:23.600 potentially being overcharged. 0:06:23.720 --> 0:06:26.920 How do you know? It's all well and good to say, hey, 0:06:26.960 --> 0:06:28.880 you can do this, you can kind of get a 0:06:28.880 --> 0:06:30.440 better deal, But how do you know if you are 0:06:30.480 --> 0:06:33.320 actually paying a loyalty tax, if you are overpaying as 0:06:33.320 --> 0:06:34.600 a loyal customer. 0:06:34.360 --> 0:06:35.800 Well, one thing's for sure, they're not going to call 0:06:35.839 --> 0:06:36.320 you and tell. 0:06:36.279 --> 0:06:38.679 You they might. 0:06:38.960 --> 0:06:40.599 I think I've had one phone call like that in 0:06:40.640 --> 0:06:41.600 my whole entire life. 0:06:41.600 --> 0:06:43.039 Really, what was it? 0:06:43.040 --> 0:06:45.800 It was? I think it maybe be in Foxtell yep, 0:06:46.040 --> 0:06:47.560 And that was probably because I was threatened to leave. 0:06:47.960 --> 0:06:50.040 But so slightly different scenario. 0:06:50.200 --> 0:06:53.360 And I will admit my mortgage broker every year, if 0:06:53.400 --> 0:06:55.560 not twice a year, he will call the bank on 0:06:55.560 --> 0:06:58.240 my behalf okay, And he will then call me and say, hey, 0:06:58.440 --> 0:07:01.240 just letting you know, I've just negotiated X basis points 0:07:01.240 --> 0:07:03.560 off your home loan has already been applied. Just you'll 0:07:03.560 --> 0:07:07.480 see those repayments coming down if you want to maintain them. So, yes, 0:07:07.720 --> 0:07:13.480 I have seen it. But unfortunately, because these institutions play 0:07:13.520 --> 0:07:16.400 you know know what we're like, we they won't go 0:07:16.400 --> 0:07:17.560 and give it to us. We have to go and 0:07:17.560 --> 0:07:19.400 find it ourselves. We need to arm ourselves with the 0:07:19.480 --> 0:07:22.840 right type of information, do our research, know our numbers, 0:07:23.000 --> 0:07:25.400 and then have the confidence to pick up the phone, 0:07:25.400 --> 0:07:28.160 call the phone and say, hey, I think we need 0:07:28.200 --> 0:07:29.040 to have a little chat. 0:07:29.680 --> 0:07:32.040 In a minute. We're going to go through what you 0:07:32.080 --> 0:07:35.200 should say on the phone, almost a little bit of 0:07:35.200 --> 0:07:37.679 a script. We could just role play, role play play. 0:07:37.720 --> 0:07:39.200 Are you going to be the customer and I'll be 0:07:39.240 --> 0:07:39.680 the banker? 0:07:39.760 --> 0:07:42.200 Why I want to be the customer. I'm going to 0:07:42.200 --> 0:07:43.680 be hustling up a better deal. 0:07:43.600 --> 0:07:46.480 Okay, and I will be the service provider, maybe the 0:07:46.520 --> 0:07:47.320 gas provider. 0:07:48.240 --> 0:07:50.200 I was thinking we could do the bank because most 0:07:50.240 --> 0:07:52.800 people like to call their banks. That's the biggest savings. 0:07:52.840 --> 0:07:55.520 Come on, we're all about maximizing our savings here. Let's 0:07:55.520 --> 0:07:58.880 work efficiently. Go for the low hanging fruit here, Michael, So. 0:07:58.920 --> 0:08:02.440 Well, okay, look, shall we can I just touch on 0:08:02.720 --> 0:08:06.640 the how you know you are paying a loyalty tax? 0:08:06.640 --> 0:08:08.720 So first, because we talked about the fact they're not 0:08:08.720 --> 0:08:10.720 going to call you up, you need to be checking 0:08:10.760 --> 0:08:13.120 this yourself. Is it a case of say, with your 0:08:13.120 --> 0:08:18.160 home loan, logging in to your bank account, seeing what 0:08:18.240 --> 0:08:21.680 the home loan rate is that you're currently paying, going 0:08:21.800 --> 0:08:25.840 to the bank website and seeing what the comparison rate 0:08:25.960 --> 0:08:28.720 is or what the introductory rate is for new customers, 0:08:28.760 --> 0:08:30.360 and going, hey, that's less. 0:08:31.160 --> 0:08:33.800 Yes, that's only half the story though. Half the job 0:08:34.080 --> 0:08:35.280 you there need to go and have a look at 0:08:35.280 --> 0:08:37.359 what the competition is offering. 0:08:38.080 --> 0:08:40.720 Okay, and that will tell you whether you're overpaying essentially, 0:08:40.800 --> 0:08:44.120 or just whether you have fallen victim to a loyalty 0:08:44.160 --> 0:08:47.520 tax exactly. Okay, why do you reckon people stay for 0:08:47.559 --> 0:08:51.320 so long? Is it laziness? Is it complacency? Is it 0:08:51.440 --> 0:08:54.880 just the fact that everyone we are all so busy 0:08:55.240 --> 0:08:56.280 and this takes time. 0:08:56.920 --> 0:08:59.560 I think it's three things. I think, as you said, 0:08:59.559 --> 0:09:02.360 life gets really busy, and unless we are sort of 0:09:02.400 --> 0:09:05.200 backed into a corner and forced to actually review our bills, 0:09:05.679 --> 0:09:09.880 like doing Frugal February, we need that trigger or that 0:09:10.240 --> 0:09:13.040 financial crisis in our life to actually make us pick 0:09:13.080 --> 0:09:14.800 up the phone or look at our bills or look 0:09:14.800 --> 0:09:17.040 at our budgets and go all right, something something's got 0:09:17.080 --> 0:09:19.240 to give here, like even an interest rate hike. But 0:09:19.240 --> 0:09:22.240 then there's also the psychological factor. So a lot of 0:09:22.360 --> 0:09:25.400 us assume that we're being taken care of because we're 0:09:25.440 --> 0:09:28.360 being so loyal to our bank, to our gas provider 0:09:28.400 --> 0:09:31.040 or energy provider, so we assume that we're going to 0:09:31.080 --> 0:09:33.319 be We've being rewarded. Of course, we're on the best deal. 0:09:33.320 --> 0:09:35.040 I've been with my bank for twelve years. Why would 0:09:35.080 --> 0:09:37.959 they jeopardize, you know, damaging, and we're hourting and we 0:09:38.000 --> 0:09:41.640 are overcharging. It's just ridiculous. So we kind of paint 0:09:41.679 --> 0:09:46.040 this false sense of reality, but unfortunately it's not quite 0:09:46.080 --> 0:09:48.280 as simplistic as that, and a little bit naive to 0:09:48.280 --> 0:09:50.320 think like that. And then, of course, I think for 0:09:50.360 --> 0:09:54.000 a lot of people is we feel completely overwhelmed, particularly 0:09:54.080 --> 0:09:57.040 right now, with the idea of having to pick up 0:09:57.080 --> 0:10:02.200 the phone have that awkward, sometimes uncomfor comfortable conversation that 0:10:02.320 --> 0:10:05.040 does actually require you to actually do a little bit 0:10:05.040 --> 0:10:08.160 of groundwork beforehand and then ask for something that we 0:10:08.160 --> 0:10:12.600 don't necessarily fully grasp or understand the actual work involved, 0:10:12.679 --> 0:10:15.120 and if it's even possible, so we could very easily 0:10:15.160 --> 0:10:16.959 put it to the bottom of bileist things to do 0:10:17.040 --> 0:10:20.959 and it never ever gets done. And I have shared 0:10:20.960 --> 0:10:23.400 which I'm really hoping you remember this as a little 0:10:23.400 --> 0:10:25.760 hack for people who are feeling overwhelmed make that phone call. 0:10:26.080 --> 0:10:27.680 To try and make it as easy as possible is 0:10:28.000 --> 0:10:31.360 have the telephone numbers in your phone saved, but in 0:10:31.559 --> 0:10:33.640 the notes section, or even in the notes attached to 0:10:33.640 --> 0:10:36.080 that contact, you have your policy numbers, or your homelow numbers, 0:10:36.120 --> 0:10:38.880 or your customer service numbers, so that when you do 0:10:38.960 --> 0:10:40.640 get someone who answers the phone, you've actually got a 0:10:40.640 --> 0:10:42.760 lot of information that they can look up on your 0:10:42.760 --> 0:10:45.320 behalf to get the conversation going. 0:10:45.480 --> 0:10:47.320 Yeah, and you can do it while they're sitting in 0:10:47.360 --> 0:10:49.439 the car park waiting for someone or something like that. 0:10:49.440 --> 0:10:51.040 You can make the most of those little moments of 0:10:51.080 --> 0:10:52.199 downtime exactly. 0:10:52.240 --> 0:10:54.360 And it just specially when you're sitting there thinking I've 0:10:54.360 --> 0:10:56.480 got to do it. And this is my newest real 0:10:56.600 --> 0:10:58.800 solution is stop thinking about it. Just get it done 0:10:58.800 --> 0:11:01.400 while you can. I'll forget about it all evaporate. So 0:11:01.840 --> 0:11:04.840 I think you know, being on the front foot with 0:11:04.960 --> 0:11:08.160 loyalty tax is really important. And the longer it drags on, 0:11:08.240 --> 0:11:10.480 the bigger the cost to you. And you know we're 0:11:10.520 --> 0:11:13.640 all on type budgets right now. Every dollar counts, So 0:11:14.520 --> 0:11:17.880 cut the excuses, do some research and make those phone calls, 0:11:17.880 --> 0:11:18.920 which will explain in a second. 0:11:19.360 --> 0:11:22.120 Okay, we will take a break, and then we're going 0:11:22.160 --> 0:11:23.880 to talk about the information that you need to gather 0:11:24.440 --> 0:11:28.720 to make these calls. And then and then a role play. 0:11:29.120 --> 0:11:38.840 Very excited about this cana. We are talking about loyalty 0:11:38.880 --> 0:11:41.839 taxes today. This is essentially the idea that you are 0:11:41.840 --> 0:11:44.800 overpaying with a provider of some kind, whether it's your 0:11:44.800 --> 0:11:47.760 bank with your home loan, or your gas, your utilities 0:11:47.760 --> 0:11:52.719 providing your water, anything along those lines. Insurance gyms that 0:11:52.800 --> 0:11:56.480 you have been there for long enough that really you're 0:11:56.559 --> 0:11:58.719 kind of being left behind. There are better offers out 0:11:58.760 --> 0:12:01.080 there and you could getting a better price, And this 0:12:01.120 --> 0:12:03.200 is all about how to get that better price. For 0:12:03.240 --> 0:12:06.920 you to make that call though, to ring up and 0:12:06.960 --> 0:12:09.080 say I want a better deal, what information do you 0:12:09.120 --> 0:12:11.240 need to have in place? You mentioned before, just the 0:12:11.240 --> 0:12:13.600 basics of having your policy numbers and all those kinds 0:12:13.640 --> 0:12:18.200 of things, But surely you also need those some a 0:12:18.240 --> 0:12:20.280 bit of leverage to say I'm getting I could get 0:12:20.280 --> 0:12:22.199 a better deal over at this other place. 0:12:22.559 --> 0:12:25.520 Yes, you are spot on, So the more information you 0:12:25.640 --> 0:12:27.920 have the better. So preparation is key here. Don't just 0:12:28.000 --> 0:12:30.440 jump on the phone because you could end up wasting 0:12:30.559 --> 0:12:32.920 quite a bit of time. So what I recommend you 0:12:32.920 --> 0:12:35.040 do is go and jump on your internet banking and 0:12:35.080 --> 0:12:37.240 look at the interest rate that you are paying. It 0:12:37.280 --> 0:12:39.880 should be clearly marked. Also check and see if there 0:12:39.960 --> 0:12:42.599 is a discount that's been applied. I know in the 0:12:42.640 --> 0:12:44.600 past I've looked at my home loan rate and fookoh, 0:12:44.840 --> 0:12:46.240 I can't believe in paying that. But then I've looked 0:12:46.280 --> 0:12:48.840 a few lines down and there's actually a discount on 0:12:48.880 --> 0:12:51.800 that rate. So make sure you have an accurate amount 0:12:51.840 --> 0:12:55.800 of information about what you really are paying. Also things 0:12:55.800 --> 0:12:57.959 that are really important that you can use your advantage, 0:12:57.960 --> 0:13:00.200 obviously knowing how long you've been with your bank for 0:13:00.320 --> 0:13:03.920 your financial institution and how much you've paid off. And 0:13:03.960 --> 0:13:05.960 of course if you have a good repayment history, you've 0:13:06.000 --> 0:13:09.520 never defaulted, there's never been any late payments, any awkward 0:13:09.520 --> 0:13:12.600 phone calls. You've got a good standing, solid history and 0:13:12.679 --> 0:13:15.360 not only being a loyal customer but also being a 0:13:15.440 --> 0:13:19.120 very responsible, reliable one. Then you also want to go 0:13:19.160 --> 0:13:21.160 and have a low because you mentioned see what they're 0:13:21.200 --> 0:13:26.160 offering new customers and see what if there's any particular 0:13:26.240 --> 0:13:29.520 terms and conditions, because whilst it may look like a 0:13:29.559 --> 0:13:32.320 brilliant honeymoon rate, there could be some final details that 0:13:32.880 --> 0:13:35.000 it's until you go digging, you go, actually that's not 0:13:35.080 --> 0:13:35.920 really that good. 0:13:35.800 --> 0:13:38.800 Adeal because they can often be introductory rates because it 0:13:38.880 --> 0:13:41.320 might only be for say six months or twelve months, 0:13:41.360 --> 0:13:44.400 and you are talking in the case of a homelane, 0:13:44.440 --> 0:13:46.480 you're talking kind of twenty five plus. 0:13:46.240 --> 0:13:48.400 Years exactly, and it may revert to something that's actually 0:13:48.440 --> 0:13:51.840 higher than what you are paying. So it's worth doing 0:13:52.000 --> 0:13:54.400 your research. Then of course you go and look at 0:13:54.400 --> 0:13:58.160 what the competition is paying. What's another institution offering to 0:13:58.559 --> 0:14:02.200 move your loans over to them? Have everything written down 0:14:02.280 --> 0:14:03.760 and make sure you've written it down so you can 0:14:03.800 --> 0:14:05.319 refer to it so you can say bank X y 0:14:05.480 --> 0:14:09.360 Z now offering this, bank ABC or offering that, so 0:14:09.400 --> 0:14:11.800 that they know you are serious, You've done your research, 0:14:11.880 --> 0:14:14.240 and this is not a conversation to be fobbed off. 0:14:14.520 --> 0:14:16.800 The bank would necessarily do that, but you go to 0:14:16.840 --> 0:14:19.120 come across a lot more. You're gonna be taken more 0:14:19.120 --> 0:14:21.080 seriously and you're gonna have a lot more productive conversation. 0:14:21.920 --> 0:14:25.160 So then when you've got all of that information, you 0:14:25.200 --> 0:14:27.640 can now call the bank and you are literally it's 0:14:27.920 --> 0:14:32.400 not all guns blazing, but you can say like you're 0:14:32.400 --> 0:14:36.760 a miss, like pitching yourself as I deserve more me time, 0:14:36.880 --> 0:14:38.440 like I want a better deal on my on my 0:14:38.520 --> 0:14:42.640 home loan. And that is when you get the balls rolling. 0:14:42.640 --> 0:14:44.360 And this is where you can see where it all lands. 0:14:44.880 --> 0:14:45.520 Is it time? 0:14:45.960 --> 0:14:46.480 It is time? 0:14:46.560 --> 0:14:47.600 It's time for the role play. 0:14:47.680 --> 0:14:48.160 That's wrong. 0:14:48.440 --> 0:14:52.520 Okay, I say you are the customer customer, and I 0:14:52.560 --> 0:14:57.040 am the bank employee, and I'm very nice because I've 0:14:57.040 --> 0:15:00.680 just come back from holidays as the bank employ I'm 0:15:00.720 --> 0:15:02.720 really getting into my character here, and you know what, 0:15:02.720 --> 0:15:04.880 I'm feeling refreshed, I'm recharged. I'm looking forward to this 0:15:04.920 --> 0:15:06.040 conversation with my customer. 0:15:06.080 --> 0:15:07.320 Okay, I'll be gentle. 0:15:07.440 --> 0:15:10.160 Okay, ring ring ring, green ring, green ring ring, and 0:15:10.200 --> 0:15:14.760 I'll pick up quite quickly. Hello, welcome to the Homeland's Department. 0:15:14.760 --> 0:15:17.320 This is Steve Hi, Steve, how are you today? 0:15:18.040 --> 0:15:19.800 Very well? Thanks? Can I start with your name? Please? 0:15:19.960 --> 0:15:21.960 Absolutely? Canna Campbell? 0:15:22.160 --> 0:15:24.320 Okay, Canna, just looking up and you're having a good. 0:15:24.240 --> 0:15:25.200 Day, Cannah, I am. 0:15:25.280 --> 0:15:28.320 Thank you for asking, and I've got your number here, 0:15:28.560 --> 0:15:32.160 which I won't give out on the phone for for 0:15:32.240 --> 0:15:35.800 security reasons. Let's just assume that we've done all the 0:15:35.000 --> 0:15:37.840 security checks. I just realized we could have a few 0:15:37.840 --> 0:15:41.320 security preachers here. But what can I do for you today, Cannah. 0:15:41.640 --> 0:15:44.960 So I've actually been a customer of this fine institution 0:15:45.120 --> 0:15:46.480 for about eleven years now. 0:15:46.600 --> 0:15:48.000 I can see that you've been with us for a 0:15:48.000 --> 0:15:48.440 long time. 0:15:48.720 --> 0:15:51.960 Yes, yes, very loyal, and I am just doing a 0:15:51.960 --> 0:15:54.760 bit of a budget revamp and I'm looking to save 0:15:54.840 --> 0:15:58.040 some money because says you can tell the country things 0:15:58.040 --> 0:16:01.120 are quite tight right now. I just wondering about the 0:16:01.160 --> 0:16:04.240 interest rate that I'm paying. It looks like i'm paying 0:16:04.480 --> 0:16:08.600 this and I have been making all my repayments. I've 0:16:08.640 --> 0:16:11.320 been withins with you, but eleven years I've made extra repayments. 0:16:12.000 --> 0:16:14.400 My home is worth and I sorry I should have 0:16:14.440 --> 0:16:16.640 mentioned you should get the valuation of your home as well, 0:16:16.720 --> 0:16:18.760 and obviously you know how much you ope. But I've 0:16:18.840 --> 0:16:21.440 just done a quick check on the house dot com 0:16:21.480 --> 0:16:23.920 and my home's actually gone up in values of a 0:16:23.960 --> 0:16:26.600 lot of equity. My loan has come down because I've 0:16:26.720 --> 0:16:28.840 always made sure I stuck to my repayments and made 0:16:29.040 --> 0:16:31.960 ad hoc repayments here and there. So I'm doing really well. 0:16:32.200 --> 0:16:35.840 I'm a good customer. But what's got me going? And 0:16:35.920 --> 0:16:40.320 the purpose for this call is I think there are 0:16:40.480 --> 0:16:43.920 better interest rates out there, and I noticed on your 0:16:43.960 --> 0:16:49.200 website you're offering new customers fifty bases points less than 0:16:49.360 --> 0:16:52.640 what I'm currently paying. So can we have a chat, 0:16:52.680 --> 0:16:54.200 And if you can't help me, would you mind popping 0:16:54.200 --> 0:16:55.480 me through to somebody that can. 0:16:56.240 --> 0:16:58.680 Look. I'm certain I can help you, and you've clearly 0:16:58.680 --> 0:17:01.240 done your research. You must listen two podcasts. 0:17:01.440 --> 0:17:03.480 Oh how do they thought that's one of my favorites. 0:17:03.520 --> 0:17:05.600 Actually, oh, well there you go. Look, yes, I can 0:17:05.640 --> 0:17:07.399 see here you have been with us for eleven years 0:17:07.440 --> 0:17:10.639 and you're currently paying this amount, and look, I'm just 0:17:10.680 --> 0:17:13.280 gonna pop you on hold. I'll just go and see 0:17:13.280 --> 0:17:13.800 what I can do. 0:17:14.560 --> 0:17:17.600 Well, whilst you're at it, before you go, I did 0:17:17.640 --> 0:17:19.879 also notice that bank x y Z actually have an 0:17:19.880 --> 0:17:20.879 even better offer. 0:17:23.359 --> 0:17:26.879 Well, then, yes, you're getting out of it that quickly. 0:17:27.080 --> 0:17:29.000 I was trying to put you on hold straight away. 0:17:29.040 --> 0:17:30.800 I'm going to I'm going to go talk to my 0:17:30.880 --> 0:17:34.160 manager and see what I can do here in that scenario. Sorry, 0:17:34.160 --> 0:17:36.200 I've just stepped out of Steve's character for a moment. 0:17:37.119 --> 0:17:41.440 Is there a risk that they will say because retaining 0:17:41.480 --> 0:17:43.240 your customer is going to be their number one priority? 0:17:43.320 --> 0:17:43.480 Right? 0:17:43.560 --> 0:17:46.240 Yes? Okay, so they're not going to say you can 0:17:46.240 --> 0:17:49.720 comfortably say look, I can see like Bank XYZ is 0:17:49.760 --> 0:17:52.600 offering this. There's no risk that good old Steve over 0:17:52.640 --> 0:17:55.480 here is going to say, on your bike, head on 0:17:55.520 --> 0:17:56.240 over to x y Z. 0:17:56.440 --> 0:17:58.160 Then well they're not going to say on your bike, 0:17:58.200 --> 0:18:00.320 but they're just going to say, no, we can't match 0:18:00.359 --> 0:18:02.280 that rate, and well we can't beat that rate. 0:18:02.440 --> 0:18:03.480 Okay, So you've. 0:18:03.280 --> 0:18:05.600 Got nothing to lose from this phone call? Okay, and 0:18:05.640 --> 0:18:07.679 I am my apologies. I should have mentioned you do need. 0:18:07.760 --> 0:18:09.640 It does help a lot if you have the valuation 0:18:09.800 --> 0:18:12.920 of your home or property with you, and you can 0:18:12.920 --> 0:18:15.040 get it from for free, very quickly, on a website 0:18:15.080 --> 0:18:16.879 called onthhouse dot com dot Are you okay? 0:18:16.920 --> 0:18:19.439 All right? Okay, I'm coming back in here, Steve. You 0:18:20.960 --> 0:18:21.879 thanks for holding. 0:18:21.640 --> 0:18:23.639 There, Canna, Oh, thank you, no problem, had you go. 0:18:23.960 --> 0:18:25.919 I've had a chat and look, and yes, you've been 0:18:25.920 --> 0:18:28.360 with us for eleven years? Are you paying this amount? 0:18:28.800 --> 0:18:31.719 And look, while the interest rate that you quoted is 0:18:32.000 --> 0:18:36.280 an introductory price for new customers, we will be able to, 0:18:36.400 --> 0:18:38.480 based on the amount of time that you've been with us, 0:18:39.320 --> 0:18:44.000 lower your standard your variable rate by fifty basis points. 0:18:44.240 --> 0:18:46.840 How does that sound? That sounds great, and thank you 0:18:46.880 --> 0:18:49.399 so much. But I was actually looking at you hoping 0:18:49.600 --> 0:18:53.119 hopefully being able to beat the rate. It's great to 0:18:53.160 --> 0:18:55.600 match it, but I'd like it to be beaten because, 0:18:56.400 --> 0:18:58.800 as I said, across the road, they're offering a better 0:18:58.880 --> 0:19:01.160 rate than what you're reduce rates. 0:19:01.320 --> 0:19:05.240