1 00:00:00,680 --> 00:00:01,000 Speaker 1: Hello. 2 00:00:01,560 --> 00:00:05,040 Speaker 2: My name's Santasha Nabananga Bamblet. I'm a proud Yr the 3 00:00:05,160 --> 00:00:08,760 Speaker 2: Order Kerney Whalbury and a waddery woman. And before we 4 00:00:08,800 --> 00:00:11,440 Speaker 2: get started on She's on the Money podcast, I would 5 00:00:11,520 --> 00:00:14,520 Speaker 2: like to acknowledge the traditional custodians of the land of 6 00:00:14,560 --> 00:00:18,680 Speaker 2: which this podcast is recorded on a wondery country, acknowledging 7 00:00:18,680 --> 00:00:22,560 Speaker 2: the elders, the ancestors and the next generation coming through 8 00:00:23,079 --> 00:00:27,159 Speaker 2: as this podcast is about connecting, empowering, knowledge sharing and 9 00:00:27,240 --> 00:00:30,600 Speaker 2: the storytelling of you to make a difference for today 10 00:00:31,040 --> 00:00:32,720 Speaker 2: and lasting impact for tomorrow. 11 00:00:33,320 --> 00:00:37,120 Speaker 1: Let's get into it. She's on the Money, She's on 12 00:00:37,200 --> 00:00:39,000 Speaker 1: the Money. 13 00:00:57,600 --> 00:01:00,000 Speaker 3: Hello, and welcome to She's on the Money the podcast 14 00:01:00,280 --> 00:01:03,120 Speaker 3: People who Want Financial Freedom? My name is beck Syed 15 00:01:03,200 --> 00:01:05,360 Speaker 3: and Victoria de Vine. Do you know what I love 16 00:01:05,400 --> 00:01:06,400 Speaker 3: most about end of year? 17 00:01:07,360 --> 00:01:08,080 Speaker 1: The parties? 18 00:01:08,560 --> 00:01:11,800 Speaker 3: That is, that's probably top of the list. But speaking 19 00:01:11,800 --> 00:01:12,440 Speaker 3: of list, it. 20 00:01:12,400 --> 00:01:15,520 Speaker 1: Doesn't work for the content that you're trying to create here, fortunately, 21 00:01:15,800 --> 00:01:19,640 Speaker 1: I'm so sorry. Wow, what do you look forward to most? 22 00:01:19,720 --> 00:01:21,959 Speaker 3: Perfect? If we could be a little bit more robotic 23 00:01:22,080 --> 00:01:22,720 Speaker 3: next time? 24 00:01:22,959 --> 00:01:24,680 Speaker 1: I thought it was very organic. 25 00:01:25,440 --> 00:01:27,039 Speaker 3: No, that was perfect. That was perfect. 26 00:01:27,080 --> 00:01:28,840 Speaker 1: What do you look forward to the most speck. 27 00:01:29,120 --> 00:01:31,280 Speaker 3: I love a list of like best of of like 28 00:01:31,319 --> 00:01:32,479 Speaker 3: the year, et cetera, et cetera. 29 00:01:32,720 --> 00:01:34,560 Speaker 1: I love a list like I don't know do use 30 00:01:34,680 --> 00:01:37,399 Speaker 1: notion at work? I've heard about notion, but haven't I'm 31 00:01:37,400 --> 00:01:39,600 Speaker 1: obsessed with notion. Yeah, if I can put it on 32 00:01:39,640 --> 00:01:42,200 Speaker 1: a list in notion, it is on a list in Notion, Like. 33 00:01:42,280 --> 00:01:45,639 Speaker 1: I'm actually obsessed with lists. Down it like lists for everything. 34 00:01:45,840 --> 00:01:48,840 Speaker 1: My Christmas list, I have written every single baby list 35 00:01:48,880 --> 00:01:50,840 Speaker 1: you can think of, so like a list for all 36 00:01:50,840 --> 00:01:52,920 Speaker 1: the baby essentials, but then all the baby nice to 37 00:01:52,960 --> 00:01:54,960 Speaker 1: have but not essentials but in the middle, and then 38 00:01:55,040 --> 00:01:57,600 Speaker 1: all the baby luxuries, like we've broken them all up 39 00:01:57,640 --> 00:02:00,559 Speaker 1: because I'm like, everyone's got so much to say. Yes, 40 00:02:00,920 --> 00:02:01,600 Speaker 1: I love a list. 41 00:02:01,760 --> 00:02:02,880 Speaker 3: I love a list. 42 00:02:03,840 --> 00:02:05,760 Speaker 1: To do list. You can cross stuff off that you've 43 00:02:05,800 --> 00:02:08,880 Speaker 1: already done, bess true, and then you feel really productive. 44 00:02:08,880 --> 00:02:10,640 Speaker 3: It feels really good. Sometimes I put things in there 45 00:02:10,639 --> 00:02:12,040 Speaker 3: that I forgot to put in, but I actually have 46 00:02:12,120 --> 00:02:12,480 Speaker 3: done it. 47 00:02:12,560 --> 00:02:14,240 Speaker 1: That's what I do, and then I cross it off. 48 00:02:14,280 --> 00:02:17,400 Speaker 1: It'll be like do washing, and I'll be like, sorry, 49 00:02:17,680 --> 00:02:20,120 Speaker 1: washing machine, I'm a genius. Look at this long list 50 00:02:20,160 --> 00:02:21,280 Speaker 1: that I have now completed. 51 00:02:21,280 --> 00:02:22,600 Speaker 3: It feels really good. 52 00:02:22,760 --> 00:02:24,960 Speaker 1: But what type of lists are we talking about, Beck, 53 00:02:25,000 --> 00:02:26,840 Speaker 1: that you're super in love with today? 54 00:02:26,960 --> 00:02:30,800 Speaker 3: Okay, So I'm thinking like it's kind of an all rounder. 55 00:02:30,840 --> 00:02:32,800 Speaker 3: It's like, at the end of the year, we're thinking 56 00:02:32,840 --> 00:02:36,280 Speaker 3: about our finances, think about ournews, resolutions, We're thinking about 57 00:02:36,320 --> 00:02:38,680 Speaker 3: all of those kind of things. So I guess like 58 00:02:38,720 --> 00:02:41,960 Speaker 3: today I'm mainly wanting to know about Oh well, let's 59 00:02:42,000 --> 00:02:42,800 Speaker 3: talk finances. 60 00:02:42,960 --> 00:02:45,600 Speaker 1: Yeah, I feel like you guys came here to learn 61 00:02:45,639 --> 00:02:47,440 Speaker 1: about finances, not baby lists. 62 00:02:47,520 --> 00:02:47,720 Speaker 2: Yeah. 63 00:02:47,760 --> 00:02:49,480 Speaker 3: Do you feel like that's something that is in your 64 00:02:49,480 --> 00:02:50,000 Speaker 3: wheel house? 65 00:02:50,240 --> 00:02:52,560 Speaker 1: I don't know. I feel like this podcast, she's on 66 00:02:52,639 --> 00:02:55,240 Speaker 1: the money, it's not she's on the baby list, but 67 00:02:56,040 --> 00:02:58,400 Speaker 1: that is actually the garden path. I led you down, 68 00:02:58,480 --> 00:02:59,840 Speaker 1: I said, do you like lists? 69 00:03:00,080 --> 00:03:00,280 Speaker 2: Said? 70 00:03:00,280 --> 00:03:03,160 Speaker 1: I love lists, But I don't know how enamored you're 71 00:03:03,200 --> 00:03:04,880 Speaker 1: going to be with this list, but I know the 72 00:03:04,880 --> 00:03:07,200 Speaker 1: rest of the community is going to be. So today 73 00:03:07,320 --> 00:03:10,000 Speaker 1: I thought that I would talk about the top five 74 00:03:10,400 --> 00:03:14,440 Speaker 1: best savings accounts right now. So we've done the research, Beck, 75 00:03:14,800 --> 00:03:17,120 Speaker 1: I have gone and looked absolutely everything up, done a 76 00:03:17,120 --> 00:03:20,480 Speaker 1: little comparison. Don't worry, we'll obviously post this on Instagram, 77 00:03:20,520 --> 00:03:21,760 Speaker 1: so you don't need to whip out a pen and 78 00:03:21,760 --> 00:03:25,519 Speaker 1: paper to remember it all. We've got your back, made 79 00:03:25,520 --> 00:03:29,280 Speaker 1: another list, sent it to oographic designer. Oh yeah, gosh, 80 00:03:29,280 --> 00:03:31,600 Speaker 1: she's good. But today we're going to be talking about 81 00:03:31,600 --> 00:03:33,280 Speaker 1: the top five best savings accounts. 82 00:03:33,520 --> 00:03:35,160 Speaker 3: I actually can't wait for this. But before we do 83 00:03:35,200 --> 00:03:36,480 Speaker 3: get to the list, fear, I'd like to ask a 84 00:03:36,520 --> 00:03:39,280 Speaker 3: few things. This may be super obvious, but can you 85 00:03:39,480 --> 00:03:41,160 Speaker 3: find a savings account? 86 00:03:41,480 --> 00:03:43,360 Speaker 1: I feel like this is a good one because like 87 00:03:43,480 --> 00:03:46,040 Speaker 1: lots of people will be like, but isn't like my 88 00:03:46,120 --> 00:03:48,520 Speaker 1: normal bank account? My savings account because that's where I 89 00:03:48,600 --> 00:03:54,400 Speaker 1: keep my savings makes sense, Okays account is a specific 90 00:03:54,440 --> 00:03:58,040 Speaker 1: type of financial account that is opened with a financial institution. 91 00:03:58,600 --> 00:04:00,400 Speaker 1: So a lot of people will go, oh, that banks, 92 00:04:00,440 --> 00:04:02,360 Speaker 1: but it could be like a credit union or something. 93 00:04:02,720 --> 00:04:05,360 Speaker 1: It's not just banks that offer savings account for the 94 00:04:05,400 --> 00:04:08,880 Speaker 1: point of saving money rather than spending it. So you 95 00:04:08,920 --> 00:04:11,800 Speaker 1: would know this as kind of like a transactional account. 96 00:04:11,800 --> 00:04:14,400 Speaker 1: So that's usually where all your pay goes into, and 97 00:04:14,400 --> 00:04:16,760 Speaker 1: then you might transfer money from your pay to a 98 00:04:16,800 --> 00:04:20,240 Speaker 1: specific savings account. So the idea of a savings account 99 00:04:20,320 --> 00:04:23,039 Speaker 1: is to easily deposit money on a regular basis to 100 00:04:23,080 --> 00:04:26,000 Speaker 1: earn monthly interest that then allows our savings to grow 101 00:04:26,040 --> 00:04:29,960 Speaker 1: even further, which is, let's be honest, very sex very nice, 102 00:04:30,240 --> 00:04:34,400 Speaker 1: very very nice, not bad at all. Usually savings accounts 103 00:04:34,440 --> 00:04:36,919 Speaker 1: don't come with debit cards because they don't want you 104 00:04:37,000 --> 00:04:38,360 Speaker 1: to spa easily. 105 00:04:38,920 --> 00:04:39,640 Speaker 3: That makes sense. 106 00:04:39,720 --> 00:04:43,080 Speaker 1: Yeah, So BECK another major benefit of all savings accounts 107 00:04:43,120 --> 00:04:46,360 Speaker 1: in Australia that are eighty iy's. So an ADI is 108 00:04:46,400 --> 00:04:49,880 Speaker 1: an authorized deposit taking institution and so a bank or 109 00:04:49,960 --> 00:04:52,239 Speaker 1: a credit union would have to register with the government 110 00:04:52,240 --> 00:04:55,599 Speaker 1: to become an ADI. You don't just automatically become one, right, 111 00:04:55,920 --> 00:05:00,000 Speaker 1: So an authorized deposit taking institution BECK is a institut. 112 00:05:00,360 --> 00:05:01,840 Speaker 1: It could be a credit union, could be one of 113 00:05:01,880 --> 00:05:03,720 Speaker 1: the Big four banks, it could be any other bank. 114 00:05:03,880 --> 00:05:06,640 Speaker 1: But they're registered with the government and that means they're 115 00:05:06,640 --> 00:05:10,040 Speaker 1: protected by what's called the FCS. So that's the Financial 116 00:05:10,120 --> 00:05:12,880 Speaker 1: Claim Scheme, which is a government backed safety net for 117 00:05:12,960 --> 00:05:16,039 Speaker 1: deposits of up to two hundred and fifty thousand dollars 118 00:05:16,440 --> 00:05:19,719 Speaker 1: per account holder. So other investments they're not covered under 119 00:05:19,720 --> 00:05:22,920 Speaker 1: this same scheme. But essentially it means BECK you can 120 00:05:23,160 --> 00:05:25,960 Speaker 1: stress less if you've got like, let's say, you know, 121 00:05:26,760 --> 00:05:28,880 Speaker 1: three grand in your savings account. You're like, but what 122 00:05:28,920 --> 00:05:32,800 Speaker 1: happens if the bank fails and crashes. Oh, yeah, it's 123 00:05:32,800 --> 00:05:35,120 Speaker 1: okay because the government guarantees it and you'll get your 124 00:05:35,160 --> 00:05:38,000 Speaker 1: money back. If you're a baller and you have more 125 00:05:38,040 --> 00:05:41,120 Speaker 1: than two hundred and fifty thousand dollars in that account, 126 00:05:41,520 --> 00:05:44,080 Speaker 1: it means they will essentially guarantee up to two hundred 127 00:05:44,120 --> 00:05:47,560 Speaker 1: and fifty thousand dollars, not per account, per person. So 128 00:05:47,640 --> 00:05:49,240 Speaker 1: let's say you're a big dog and you've got one 129 00:05:49,240 --> 00:05:51,960 Speaker 1: point five million dollars in your savings accounts, but you 130 00:05:52,040 --> 00:05:54,839 Speaker 1: have multiple accounts, but they're with the same institution, so 131 00:05:54,880 --> 00:05:57,520 Speaker 1: they're all with the same bank. They will only still 132 00:05:57,560 --> 00:06:00,120 Speaker 1: guarantee up to two hundred and fifty thousand dollars. I 133 00:06:00,160 --> 00:06:02,040 Speaker 1: have seen people who are a little bit anxious, though, 134 00:06:02,040 --> 00:06:04,720 Speaker 1: they go, break this up. If I've got two hundred 135 00:06:04,760 --> 00:06:06,760 Speaker 1: and fifty thousand dollars here at one bank, then I'm 136 00:06:06,839 --> 00:06:09,200 Speaker 1: going to go get bank B. Yeah, then you're five 137 00:06:09,240 --> 00:06:11,000 Speaker 1: hundred thousand dollars is guarantee? 138 00:06:11,120 --> 00:06:11,799 Speaker 3: That works? 139 00:06:12,000 --> 00:06:14,480 Speaker 1: Okay? Is going to be the next question, per institution, 140 00:06:14,920 --> 00:06:18,719 Speaker 1: per account holder, not per account. If that makes sense. 141 00:06:18,800 --> 00:06:20,680 Speaker 1: You can't just open another bank account and put the 142 00:06:20,680 --> 00:06:22,760 Speaker 1: other two fifty in there. I mean, these are really 143 00:06:22,920 --> 00:06:26,479 Speaker 1: rich people problems, like really unrelatable, but I want you 144 00:06:26,520 --> 00:06:28,640 Speaker 1: to be able to understand what that actually means. 145 00:06:28,839 --> 00:06:29,880 Speaker 3: Yes, if it came. 146 00:06:29,800 --> 00:06:31,080 Speaker 1: Up, you know totally. Yeah. 147 00:06:31,080 --> 00:06:32,760 Speaker 3: I don't why I'm so invested in this, Like, I'm like, 148 00:06:32,839 --> 00:06:33,840 Speaker 3: this is something I want. 149 00:06:33,760 --> 00:06:35,360 Speaker 1: To know what rich people are doing with their money, 150 00:06:35,440 --> 00:06:36,520 Speaker 1: how they're breaking it up. 151 00:06:36,600 --> 00:06:37,960 Speaker 3: Right, We've got to protect that stuff. 152 00:06:38,040 --> 00:06:38,240 Speaker 2: I know. 153 00:06:38,440 --> 00:06:41,200 Speaker 3: I love that. Okay, So are there different types of 154 00:06:41,240 --> 00:06:42,000 Speaker 3: savings accounts? 155 00:06:42,080 --> 00:06:44,839 Speaker 1: Yes, it's so fun. They're a number of different types. 156 00:06:45,040 --> 00:06:47,560 Speaker 1: I'll go through them. So first we've got online savings accounts. 157 00:06:47,600 --> 00:06:50,440 Speaker 1: Then we've got bonus interest savings accounts. Then we've got 158 00:06:50,480 --> 00:06:54,280 Speaker 1: high interest savings accounts. Then we've got introductory interest savings accounts, 159 00:06:54,360 --> 00:06:57,560 Speaker 1: and I will round it up with term deposits, which 160 00:06:57,600 --> 00:07:00,120 Speaker 1: you would have heard of before. Right. Yes, So I'm 161 00:07:00,120 --> 00:07:02,360 Speaker 1: not gonna like harp on and on and on about 162 00:07:02,360 --> 00:07:05,840 Speaker 1: each of these. But an online savings account is essentially 163 00:07:05,920 --> 00:07:09,360 Speaker 1: an account that is available online via the web or 164 00:07:09,480 --> 00:07:11,840 Speaker 1: via an app, and it means that you can't go 165 00:07:12,000 --> 00:07:15,280 Speaker 1: into a bank or a financial institution in person to 166 00:07:15,440 --> 00:07:18,680 Speaker 1: access your funds, make a deposit or ask any questions. 167 00:07:18,800 --> 00:07:21,640 Speaker 1: A really great example of this very popular here in 168 00:07:21,680 --> 00:07:25,920 Speaker 1: Australia INGVA. They just don't have physical stores but they're 169 00:07:25,960 --> 00:07:29,120 Speaker 1: an online banking institution. Does that mean that they are 170 00:07:29,200 --> 00:07:31,840 Speaker 1: less than No, No, it just means they don't have 171 00:07:31,920 --> 00:07:34,400 Speaker 1: physical stores for you to go into, which for some 172 00:07:34,440 --> 00:07:36,080 Speaker 1: people is really important. 173 00:07:36,160 --> 00:07:36,480 Speaker 3: Sure. 174 00:07:36,600 --> 00:07:40,960 Speaker 1: Most commonly, these online savings accounts have a standard interest rate, 175 00:07:41,320 --> 00:07:44,360 Speaker 1: which at the time of this podcast being dropped is 176 00:07:44,400 --> 00:07:48,320 Speaker 1: around four point two percent. Okay, pretty sexy, because you 177 00:07:48,360 --> 00:07:51,240 Speaker 1: remember when no one was getting any interest on their accounts, 178 00:07:51,240 --> 00:07:52,360 Speaker 1: maybe like two years ago. 179 00:07:52,680 --> 00:07:55,239 Speaker 3: Yeah, I remember it being like zero point zero five 180 00:07:55,400 --> 00:07:55,760 Speaker 3: or something. 181 00:07:55,840 --> 00:07:57,480 Speaker 1: One of the best things. So this is not the 182 00:07:57,480 --> 00:07:59,520 Speaker 1: best thing for me. I have a mortgage. You do not, 183 00:07:59,640 --> 00:08:02,239 Speaker 1: So in this circumstance, you are the winner here, my friend. 184 00:08:02,360 --> 00:08:02,800 Speaker 3: Thank you. 185 00:08:02,840 --> 00:08:05,160 Speaker 1: But whenever you hear that the cash rate is going 186 00:08:05,240 --> 00:08:06,960 Speaker 1: up and people are like, oh my gosh, the mortgage 187 00:08:07,040 --> 00:08:09,680 Speaker 1: rate is going up, so do your savings accounts. So 188 00:08:09,720 --> 00:08:11,800 Speaker 1: if you're saving for your first home or you've just 189 00:08:11,880 --> 00:08:14,880 Speaker 1: got some savings to the side, that's actually going to 190 00:08:14,880 --> 00:08:18,800 Speaker 1: be benefited by the cash rate increasing because the bank 191 00:08:18,880 --> 00:08:20,880 Speaker 1: is now going to start paying a high interest rate 192 00:08:20,920 --> 00:08:22,200 Speaker 1: to you, and that's when we want to have our 193 00:08:22,240 --> 00:08:24,840 Speaker 1: eyes peeled and go, hm, is there a better deal 194 00:08:24,880 --> 00:08:27,000 Speaker 1: on off of here? I can't who else can I 195 00:08:27,160 --> 00:08:27,520 Speaker 1: talk to? 196 00:08:28,000 --> 00:08:31,320 Speaker 3: Yeah? I cannot believe that no one knows about that. 197 00:08:31,400 --> 00:08:33,640 Speaker 1: I feel like some people do and take advantage of it. 198 00:08:33,840 --> 00:08:37,280 Speaker 1: But when you're you know, sitting in essentially your chair back, 199 00:08:37,679 --> 00:08:40,200 Speaker 1: you would have heard all of these negative money stories 200 00:08:40,200 --> 00:08:43,640 Speaker 1: going around the media right now, like everyone's screwed, the 201 00:08:43,679 --> 00:08:46,040 Speaker 1: interest rates are going up, what are we going to do? 202 00:08:46,440 --> 00:08:46,560 Speaker 2: Well? 203 00:08:46,640 --> 00:08:48,800 Speaker 1: Actually, if you're in a circumstance where you just have 204 00:08:48,920 --> 00:08:51,120 Speaker 1: some savings and you don't have the overheads of a 205 00:08:51,160 --> 00:08:54,480 Speaker 1: mortgage or like a property or any type of debt 206 00:08:54,520 --> 00:08:56,760 Speaker 1: that you're repaying, yeah, you're actually in a pretty good 207 00:08:56,800 --> 00:08:59,720 Speaker 1: position to recheck your savings account because you should be 208 00:08:59,720 --> 00:09:02,400 Speaker 1: making sure that you're getting some money for the money 209 00:09:02,400 --> 00:09:03,280 Speaker 1: that you've invested. 210 00:09:03,520 --> 00:09:05,760 Speaker 3: Ah. That's right, very good to know. 211 00:09:06,080 --> 00:09:08,800 Speaker 1: The next is bonus interest savings accounts. So while these 212 00:09:08,800 --> 00:09:12,720 Speaker 1: are quite similar to the online savings accounts, bonus interest 213 00:09:12,760 --> 00:09:16,000 Speaker 1: savings accounts offer their account holders what we call bonus 214 00:09:16,040 --> 00:09:19,400 Speaker 1: interests for meeting certain criteria. So you've got to be 215 00:09:19,400 --> 00:09:21,800 Speaker 1: careful because Sometimes they will just look like an online 216 00:09:21,840 --> 00:09:23,960 Speaker 1: savings account and you'll be like, oh my gosh, I 217 00:09:24,040 --> 00:09:26,520 Speaker 1: love this the interest rates like five percent or whatever, 218 00:09:26,960 --> 00:09:29,520 Speaker 1: But you actually have to deposit a certain amount per 219 00:09:29,559 --> 00:09:31,920 Speaker 1: month into that account to access that bonus. 220 00:09:32,000 --> 00:09:32,760 Speaker 3: That's alligatya. 221 00:09:32,840 --> 00:09:35,360 Speaker 1: You would have seen this before, right, Yeah. So the 222 00:09:35,440 --> 00:09:38,200 Speaker 1: criteria is definitely going to vary depending on the banking 223 00:09:38,240 --> 00:09:42,080 Speaker 1: institution and the account that you've decided to open, Like summer, 224 00:09:42,200 --> 00:09:44,120 Speaker 1: I guess age related, you need to be under a 225 00:09:44,160 --> 00:09:46,480 Speaker 1: certain age or over a certain age, or have like 226 00:09:46,679 --> 00:09:49,960 Speaker 1: maximum deposits. So like if they're offering a very sexy 227 00:09:50,000 --> 00:09:52,320 Speaker 1: interest rate back, they might be like, yeah, okay, like 228 00:09:52,360 --> 00:09:54,840 Speaker 1: we'll give that to you max one hundred grand though, 229 00:09:54,880 --> 00:09:57,200 Speaker 1: because like we're not going to give you millions of 230 00:09:57,240 --> 00:10:00,400 Speaker 1: dollars for this. Yeah, So just be aware of those things. 231 00:10:00,640 --> 00:10:03,680 Speaker 1: But they also usually have, as I mentioned before, a 232 00:10:03,720 --> 00:10:07,480 Speaker 1: minimum deposit each month and or a certain number of 233 00:10:07,520 --> 00:10:11,160 Speaker 1: transactions that you need to meet to get that bonus interest. 234 00:10:11,240 --> 00:10:13,240 Speaker 1: So you've just got to be aware. Is that Dodge 235 00:10:13,240 --> 00:10:16,520 Speaker 1: Beck No, not at all, it's actually just their criteria 236 00:10:16,559 --> 00:10:17,920 Speaker 1: for paying it out. I think a lot of people 237 00:10:17,920 --> 00:10:19,960 Speaker 1: will be like, well, why are they introducing criteria, it's 238 00:10:20,040 --> 00:10:23,640 Speaker 1: like because obviously they want to attract you to their product, 239 00:10:24,520 --> 00:10:27,000 Speaker 1: but they also want to make sure it's financially. 240 00:10:26,480 --> 00:10:29,400 Speaker 3: Feasible totally, like you are actually. 241 00:10:29,120 --> 00:10:31,120 Speaker 1: Going to get it, yeah, and they're actually going to 242 00:10:31,160 --> 00:10:35,200 Speaker 1: have a client using the account, yes, and actually depositing 243 00:10:35,320 --> 00:10:38,360 Speaker 1: money on a regular basis into that account, So that 244 00:10:38,400 --> 00:10:41,680 Speaker 1: makes sense. But by meeting that criteria, you'll receive a 245 00:10:41,760 --> 00:10:44,840 Speaker 1: base interest rate in addition to the bonus rate. So 246 00:10:44,920 --> 00:10:47,480 Speaker 1: for example, the base rate might be very low, might 247 00:10:47,520 --> 00:10:50,360 Speaker 1: be like zero point five percent or something like that, 248 00:10:50,800 --> 00:10:53,280 Speaker 1: or the bonus interest rate could be as high at 249 00:10:53,320 --> 00:10:57,080 Speaker 1: the time of recording, beck like five point one percent, right, 250 00:10:57,280 --> 00:11:00,240 Speaker 1: which is very very sexy. Therefore, the total will then 251 00:11:00,280 --> 00:11:04,000 Speaker 1: be five point one five percent if you meet the criteria, 252 00:11:04,280 --> 00:11:07,120 Speaker 1: and then if you don't, you'll only like default back 253 00:11:07,160 --> 00:11:10,120 Speaker 1: down to that point zero five percent. Sure, obviously a 254 00:11:10,200 --> 00:11:12,319 Speaker 1: rate that can be much lower than if you've just 255 00:11:12,400 --> 00:11:15,160 Speaker 1: gone and opened like an online savings account. So like 256 00:11:15,280 --> 00:11:17,440 Speaker 1: if you're seeing the shiny number of like, oh, this 257 00:11:17,520 --> 00:11:20,000 Speaker 1: bonus interest savings account looks really good because I can 258 00:11:20,040 --> 00:11:23,360 Speaker 1: get five point one five percent, because you know, the 259 00:11:23,360 --> 00:11:26,240 Speaker 1: one we talked about before, was four point two totally, like, well, 260 00:11:26,240 --> 00:11:28,200 Speaker 1: I want the higher interest rate. Can you meet the 261 00:11:28,200 --> 00:11:31,559 Speaker 1: criteria consistently or would it just be better to have 262 00:11:31,679 --> 00:11:34,200 Speaker 1: just a standard online savings account get that four point 263 00:11:34,240 --> 00:11:37,040 Speaker 1: two percent, like basically guaranteed ex samply. 264 00:11:37,200 --> 00:11:39,800 Speaker 3: Yeah, so I guess if you're like not guaranteed to 265 00:11:39,840 --> 00:11:42,640 Speaker 3: be able to transfer or like meet the criteria every 266 00:11:42,679 --> 00:11:43,760 Speaker 3: month or whatever it is. 267 00:11:43,880 --> 00:11:46,280 Speaker 1: And that's like me leading you down the garden pass 268 00:11:46,360 --> 00:11:49,400 Speaker 1: to once again go I am licensed to give you 269 00:11:49,480 --> 00:11:52,960 Speaker 1: general advice. Yes, this is why it is so important 270 00:11:53,000 --> 00:11:55,040 Speaker 1: to understand the differences because do you know how many 271 00:11:55,040 --> 00:11:57,320 Speaker 1: people slide into my dms and they go, they what's 272 00:11:57,320 --> 00:11:58,480 Speaker 1: the best savings account? 273 00:11:58,640 --> 00:11:58,960 Speaker 3: Yeah? 274 00:11:59,120 --> 00:12:02,000 Speaker 1: I wish i'd could tell you what the best is 275 00:12:02,040 --> 00:12:05,360 Speaker 1: and we'll go through like the top five. But the 276 00:12:05,360 --> 00:12:08,640 Speaker 1: best for you beck might actually be, you know, the 277 00:12:08,679 --> 00:12:11,920 Speaker 1: bonus interest savings account because you do make those regular deposits. 278 00:12:12,160 --> 00:12:14,160 Speaker 1: But for your best friend live, she might not be 279 00:12:14,280 --> 00:12:17,840 Speaker 1: making those regular deposits, and the online standard savings account 280 00:12:17,920 --> 00:12:19,760 Speaker 1: is going to just be better bang for her buck 281 00:12:19,800 --> 00:12:22,400 Speaker 1: and work better. So it is one better than the other. No, 282 00:12:22,520 --> 00:12:25,600 Speaker 1: it's going to depend on your criteria and your ability 283 00:12:25,640 --> 00:12:27,640 Speaker 1: to meet that criteria. Does that make sense? 284 00:12:27,679 --> 00:12:28,640 Speaker 3: That makes so much sense? 285 00:12:28,720 --> 00:12:30,520 Speaker 1: So like you can't just get what your bestie has 286 00:12:30,559 --> 00:12:32,679 Speaker 1: got because it sounded good. Yeah, it might not work. 287 00:12:32,880 --> 00:12:35,240 Speaker 1: That's why we've got to do our own research. Yeah. 288 00:12:35,280 --> 00:12:36,600 Speaker 1: I love that, but I did it for you, so 289 00:12:36,760 --> 00:12:37,360 Speaker 1: keep listening. 290 00:12:37,400 --> 00:12:37,800 Speaker 3: Thank you. 291 00:12:37,880 --> 00:12:41,680 Speaker 1: The next is a high interest savings account. I feel 292 00:12:41,760 --> 00:12:43,720 Speaker 1: like that one sounds the sexiest to me. 293 00:12:44,000 --> 00:12:46,079 Speaker 3: Sounds so far, so good, so fast, so good. 294 00:12:46,160 --> 00:12:48,560 Speaker 1: Let me tell you, let me tell you so. High 295 00:12:48,559 --> 00:12:51,960 Speaker 1: interest savings accounts are again similar to bonus interest rate 296 00:12:52,000 --> 00:12:54,480 Speaker 1: accounts because of the high interest rate that you're able 297 00:12:54,520 --> 00:12:57,480 Speaker 1: to achieve if you use them properly. Sure, However, with 298 00:12:57,640 --> 00:13:00,920 Speaker 1: high interest savings accounts, you were guarant heed this interest 299 00:13:00,960 --> 00:13:05,640 Speaker 1: rate without having to meet monthly criteria. Very nice. This 300 00:13:05,760 --> 00:13:08,800 Speaker 1: means there'll be one total interest rate that you'll earn 301 00:13:08,840 --> 00:13:10,719 Speaker 1: each and every single month without having to make a 302 00:13:10,760 --> 00:13:14,280 Speaker 1: certain amount of transactions or limit your number of withdrawal. 303 00:13:14,480 --> 00:13:16,439 Speaker 1: So beck with this one, you might be going all right. 304 00:13:16,559 --> 00:13:18,880 Speaker 1: Or a high interest savings account that just sounds a 305 00:13:18,880 --> 00:13:23,800 Speaker 1: lot like your online savings account. You are absolutely correct. However, 306 00:13:24,080 --> 00:13:27,600 Speaker 1: this could be at a physical branch as well, as 307 00:13:27,679 --> 00:13:30,880 Speaker 1: you know being online, So your online savings account, let's 308 00:13:30,920 --> 00:13:34,200 Speaker 1: just hypothetically call it ING, not an endorsement, just giving 309 00:13:34,240 --> 00:13:37,280 Speaker 1: you a good example. It's ING that could actually be 310 00:13:37,400 --> 00:13:40,560 Speaker 1: constituted as a high interest savings account, but it's only 311 00:13:40,559 --> 00:13:44,000 Speaker 1: available online, so we're changing the rate of that. Obviously, 312 00:13:44,080 --> 00:13:47,560 Speaker 1: when they're in person, in person companies, in person businesses 313 00:13:48,120 --> 00:13:51,079 Speaker 1: more expensive to run back, so you're usually going to 314 00:13:51,160 --> 00:13:54,640 Speaker 1: see a lower interest rate. So instead of seeing something 315 00:13:54,760 --> 00:13:56,840 Speaker 1: like four point two, you might be like seeing three 316 00:13:56,840 --> 00:14:00,840 Speaker 1: point five to four point two, but they might not 317 00:14:00,960 --> 00:14:03,920 Speaker 1: be as stable as an online bank. An online bank 318 00:14:04,000 --> 00:14:07,840 Speaker 1: is always, from my research, going to have the ability 319 00:14:07,880 --> 00:14:10,280 Speaker 1: to give you a higher interest rate for a longer 320 00:14:10,280 --> 00:14:13,240 Speaker 1: period of time because they have less overheads, and that's 321 00:14:13,280 --> 00:14:17,679 Speaker 1: their main attraction, right, But everybody loves ING one because 322 00:14:17,679 --> 00:14:21,240 Speaker 1: the Barefoot Investor was their biggest fan, but two because 323 00:14:21,240 --> 00:14:24,120 Speaker 1: of the ease of access and the lower fees that 324 00:14:24,160 --> 00:14:25,000 Speaker 1: are associated. 325 00:14:25,280 --> 00:14:28,200 Speaker 3: I was going to say, because it sounded great, great, great, 326 00:14:28,520 --> 00:14:30,040 Speaker 3: I was like, where's. 327 00:14:31,360 --> 00:14:34,800 Speaker 1: Usually it's just with a quote more expensive institution and 328 00:14:34,840 --> 00:14:37,480 Speaker 1: therefore you might get less back. Does that mean that 329 00:14:37,640 --> 00:14:39,760 Speaker 1: it's not a high interest savings account. No, it's still 330 00:14:39,760 --> 00:14:42,360 Speaker 1: a high interest savings account, and you know what some 331 00:14:42,440 --> 00:14:44,720 Speaker 1: of them could have. Oh hey, Beck, we're going to 332 00:14:44,720 --> 00:14:47,160 Speaker 1: give you five percent if you sign up with us now. 333 00:14:47,440 --> 00:14:51,720 Speaker 1: But you often see in person banks they will limit 334 00:14:51,760 --> 00:14:53,880 Speaker 1: the period of time that you have that. So for 335 00:14:53,960 --> 00:14:57,560 Speaker 1: someone like ing, they obviously hold the right to change 336 00:14:57,600 --> 00:14:59,800 Speaker 1: it at any point. But you know, you might go 337 00:15:00,040 --> 00:15:02,040 Speaker 1: when A and Z and they'll say for the first 338 00:15:02,080 --> 00:15:04,960 Speaker 1: six months, and they'll be a lot clearer about what 339 00:15:05,080 --> 00:15:08,120 Speaker 1: those parameters look like. Just good to know. Does it 340 00:15:08,160 --> 00:15:10,600 Speaker 1: mean that one's worse than the other. No, Again, it's 341 00:15:10,640 --> 00:15:12,720 Speaker 1: about what works for you. And that's Beck, where we 342 00:15:12,800 --> 00:15:15,520 Speaker 1: lead into the second last type of savings account that 343 00:15:15,560 --> 00:15:18,440 Speaker 1: I want to talk about, and that's that introductory interest 344 00:15:18,480 --> 00:15:21,480 Speaker 1: savings account. So if you're willing to change your savings 345 00:15:21,520 --> 00:15:24,600 Speaker 1: account on a semi regular basis, you could say an 346 00:15:24,640 --> 00:15:28,200 Speaker 1: introductory interest savings account could actually be a good option 347 00:15:28,360 --> 00:15:32,440 Speaker 1: for you. The accounts offer much higher introductory interest rates 348 00:15:33,040 --> 00:15:35,960 Speaker 1: than I guess what you'd call the market average. However, 349 00:15:36,360 --> 00:15:39,880 Speaker 1: they usually only last for about four months before reverting 350 00:15:39,920 --> 00:15:42,320 Speaker 1: back to a base level, So you've just got to 351 00:15:42,320 --> 00:15:44,760 Speaker 1: read the terms and conditions. This is where it pays Beck, 352 00:15:44,840 --> 00:15:47,480 Speaker 1: because I know if I asked you, let's be honest. 353 00:15:47,520 --> 00:15:49,680 Speaker 1: I know you well enough to be a little bit candid. 354 00:15:49,840 --> 00:15:51,600 Speaker 1: If I said, beckd you read the terms and conditions? 355 00:15:51,600 --> 00:15:52,360 Speaker 1: What are you going to say? 356 00:15:52,880 --> 00:15:54,000 Speaker 3: Definitely not? 357 00:15:54,320 --> 00:15:57,280 Speaker 1: But why is it? Cause You're like, I don't get it. 358 00:15:57,280 --> 00:15:59,680 Speaker 1: It's not worth my time, it's not worth the energy. 359 00:16:00,320 --> 00:16:03,960 Speaker 3: I guess I've never read a single T and C 360 00:16:04,120 --> 00:16:06,440 Speaker 3: in my life, and I fear why would I start now, 361 00:16:06,480 --> 00:16:08,520 Speaker 3: even though it's something more important that's like money. 362 00:16:08,720 --> 00:16:11,440 Speaker 1: Let's be honest, Like if Apple's like, oh, we've updated 363 00:16:11,440 --> 00:16:12,040 Speaker 1: our terms. 364 00:16:11,840 --> 00:16:13,640 Speaker 3: And conditions, not jumping on life. 365 00:16:13,720 --> 00:16:15,400 Speaker 1: If you're like no, no, no, They're like, well they're here 366 00:16:15,400 --> 00:16:18,240 Speaker 1: to read it, and I'm like, hmm, yep, yep, and 367 00:16:18,280 --> 00:16:20,440 Speaker 1: then they're like, click this button. I read and understood 368 00:16:20,440 --> 00:16:23,400 Speaker 1: the terms and conditions on them straight away. I would 369 00:16:23,440 --> 00:16:26,760 Speaker 1: wonder I would love to see the statistics of quote, 370 00:16:26,800 --> 00:16:30,880 Speaker 1: how long it took each person to read that document? Yes, 371 00:16:30,920 --> 00:16:33,600 Speaker 1: because like, I'm sure that they have the tracking on 372 00:16:33,640 --> 00:16:36,400 Speaker 1: the back end to go, oh, you know, bex terms 373 00:16:36,440 --> 00:16:38,640 Speaker 1: and conditions. We sent her that update. Oh look, she 374 00:16:38,720 --> 00:16:41,920 Speaker 1: opened it zero point two seconds later. She had already 375 00:16:41,920 --> 00:16:43,360 Speaker 1: read and agreed to the terms. 376 00:16:43,160 --> 00:16:45,280 Speaker 3: And conditions very fast reader, Like. 377 00:16:45,200 --> 00:16:47,960 Speaker 1: That's the biggest lie ever told. Yes, I've definitely read 378 00:16:48,000 --> 00:16:50,680 Speaker 1: the terms and conditions anyway. But what I want you 379 00:16:50,760 --> 00:16:53,960 Speaker 1: to do in these circumstances, because it's financially beneficial to you, 380 00:16:54,120 --> 00:16:55,880 Speaker 1: is just have a look at the t's and c's. 381 00:16:55,920 --> 00:16:59,400 Speaker 1: They will be in plain layman English. It won't be confusing, 382 00:16:59,480 --> 00:17:01,680 Speaker 1: I promise. I think a lot of us don't do it, 383 00:17:01,840 --> 00:17:04,760 Speaker 1: especially when it comes to banking and financial services products, 384 00:17:04,760 --> 00:17:07,400 Speaker 1: because it's overwhelming. You're like, I don't know what this is, 385 00:17:07,560 --> 00:17:09,480 Speaker 1: Like I don't really want to have to go through it. 386 00:17:09,520 --> 00:17:12,600 Speaker 1: But I promise they'll say introductory rate of you know, 387 00:17:12,720 --> 00:17:16,280 Speaker 1: five percent for first four months, then we'll revert back 388 00:17:16,320 --> 00:17:19,640 Speaker 1: to zero point five percent. Sure, so you actually know 389 00:17:19,720 --> 00:17:22,160 Speaker 1: what you're signing up for, because if you don't want 390 00:17:22,160 --> 00:17:25,480 Speaker 1: to have to change your bank account again in six months, yeah, 391 00:17:25,760 --> 00:17:28,200 Speaker 1: probably not the product for you, beck, I guess. 392 00:17:28,000 --> 00:17:30,200 Speaker 3: If like, and this is probably really silly thing to say, 393 00:17:30,200 --> 00:17:32,640 Speaker 3: because it depends on the person against absolutely not. Well, 394 00:17:32,680 --> 00:17:37,200 Speaker 3: I was gonna say, like, personally, I would be going 395 00:17:37,480 --> 00:17:40,520 Speaker 3: for an introductory one. Yeah, after four months, be like 396 00:17:40,720 --> 00:17:43,720 Speaker 3: my and go to a different one that is like we've. 397 00:17:43,520 --> 00:17:44,320 Speaker 1: Got to put the work in. 398 00:17:44,359 --> 00:17:45,199 Speaker 3: You've gotta put the work in. 399 00:17:45,560 --> 00:17:47,760 Speaker 1: Put the work in. And also depends how many of 400 00:17:47,840 --> 00:17:49,560 Speaker 1: us say we're going to put the work in. And 401 00:17:49,600 --> 00:17:52,199 Speaker 1: then don't I see this in the credit card space, 402 00:17:52,400 --> 00:17:55,800 Speaker 1: because how many people have done zero dollar transfers or 403 00:17:55,840 --> 00:17:59,240 Speaker 1: balanced transfers of their credit card to another credit card 404 00:17:59,280 --> 00:18:01,520 Speaker 1: and they're like, smash this out of the water because 405 00:18:01,520 --> 00:18:04,680 Speaker 1: now it's zero percent. Yes, so they do it. No, 406 00:18:05,000 --> 00:18:07,240 Speaker 1: then they revert back to the higher interest rate. And 407 00:18:07,280 --> 00:18:10,320 Speaker 1: I'm like, I don't want to be a debbie downer. 408 00:18:10,760 --> 00:18:13,119 Speaker 1: I don't want to be the bearer of bad news. 409 00:18:13,560 --> 00:18:16,160 Speaker 1: But I can't be trusted, which means that a lot 410 00:18:16,160 --> 00:18:19,360 Speaker 1: of you can't be trusted either. So we just need 411 00:18:19,400 --> 00:18:22,080 Speaker 1: to be honest and go V would you actually in 412 00:18:22,119 --> 00:18:24,399 Speaker 1: six months do that? I'll be like, I mean, if 413 00:18:24,400 --> 00:18:26,040 Speaker 1: you forced me to, probably do it. 414 00:18:26,480 --> 00:18:29,480 Speaker 3: Sure, But if you happen to remember happened to be 415 00:18:29,560 --> 00:18:32,600 Speaker 3: in a productive mood on the day that you remember, like. 416 00:18:32,560 --> 00:18:35,879 Speaker 1: My ADHD, He's gonna go do the list today of 417 00:18:35,880 --> 00:18:37,680 Speaker 1: what the best bank account is and then we're gonna 418 00:18:37,680 --> 00:18:39,720 Speaker 1: transfer to it, and I'm gonna get the motivation today 419 00:18:39,920 --> 00:18:43,200 Speaker 1: to change it. Later down the track, I've already forgotten, babe. 420 00:18:43,240 --> 00:18:46,199 Speaker 1: I'm looking at something else. But that's okay, because if 421 00:18:46,200 --> 00:18:48,760 Speaker 1: you look at like someone like Jessica Ricci, Yep, she's 422 00:18:48,800 --> 00:18:52,439 Speaker 1: a wizard. She definitely keeps up with stuff like that. 423 00:18:52,480 --> 00:18:55,240 Speaker 1: She puts reminders in her calendar of like what time 424 00:18:55,240 --> 00:18:57,679 Speaker 1: of the year to check these things, and like transfer that. 425 00:18:57,880 --> 00:19:00,320 Speaker 1: She is who we all want to be when it 426 00:19:00,359 --> 00:19:02,359 Speaker 1: comes to money. But this is like a do as 427 00:19:02,359 --> 00:19:04,479 Speaker 1: I say, not as I do kind of podcasts. Sure 428 00:19:04,600 --> 00:19:08,639 Speaker 1: you know. So? Anyway, moving on from interactory interest weight 429 00:19:08,720 --> 00:19:11,840 Speaker 1: savings accounts to term deposits, you would have heard of 430 00:19:11,880 --> 00:19:14,200 Speaker 1: a term deposit. I talk about it a bit more 431 00:19:14,600 --> 00:19:17,720 Speaker 1: when we're talking about I guess investing, because it involves 432 00:19:17,960 --> 00:19:20,760 Speaker 1: a bit more of a time commitment. So a term 433 00:19:20,800 --> 00:19:23,639 Speaker 1: deposit differs slightly from a savings account on the premise 434 00:19:23,720 --> 00:19:26,920 Speaker 1: that you actually can't make withdrawals from a term deposit 435 00:19:27,200 --> 00:19:30,639 Speaker 1: until your quote term or the time limit has ended, 436 00:19:30,880 --> 00:19:34,000 Speaker 1: whereas other savings accounts they allow you to make withdrawals 437 00:19:34,000 --> 00:19:36,600 Speaker 1: as necessary. Don't get me wrong, Beck, you will be 438 00:19:36,640 --> 00:19:39,000 Speaker 1: able to actually withdraw your money in an emergency if 439 00:19:39,040 --> 00:19:42,639 Speaker 1: it's in a term deposit. But you forfeit the money 440 00:19:42,640 --> 00:19:45,600 Speaker 1: that you earned. Oh so you would They would say, oh, 441 00:19:45,640 --> 00:19:47,480 Speaker 1: well that five percent, you don't get that because you 442 00:19:47,560 --> 00:19:50,760 Speaker 1: terminated the contract early, and that's part of it, right, Okay. 443 00:19:51,040 --> 00:19:54,080 Speaker 1: So the benefit of having money in a term deposit 444 00:19:54,440 --> 00:19:57,160 Speaker 1: means it's locked away, which works very well for someone 445 00:19:57,280 --> 00:19:59,480 Speaker 1: like me, out of sight, out of mind, can't touch 446 00:19:59,520 --> 00:20:03,360 Speaker 1: it with a fixed interest rate paid out either at 447 00:20:03,400 --> 00:20:05,840 Speaker 1: the end of the term or on a monthly or 448 00:20:05,920 --> 00:20:09,400 Speaker 1: annual basis, depending on how you've chosen. Usually a term 449 00:20:09,400 --> 00:20:12,720 Speaker 1: deposit does require a minimum deposit, so they might go, oh, 450 00:20:12,800 --> 00:20:14,760 Speaker 1: you have to have a minimum of five grand in 451 00:20:14,800 --> 00:20:18,800 Speaker 1: this account, which in Australia the usual deposit is between 452 00:20:18,840 --> 00:20:21,919 Speaker 1: five and ten thousand dollars For a term deposit. The 453 00:20:22,040 --> 00:20:24,800 Speaker 1: term period can then range from a few months to 454 00:20:24,920 --> 00:20:28,679 Speaker 1: many many years, and obviously the longer your term is 455 00:20:28,720 --> 00:20:32,119 Speaker 1: for that usually correlates to a higher interest rate being paid. 456 00:20:32,440 --> 00:20:33,800 Speaker 1: So like if you were to lock in a term 457 00:20:33,800 --> 00:20:35,880 Speaker 1: deposit for three months, they're going to go, well, it's 458 00:20:35,920 --> 00:20:38,720 Speaker 1: not very long as it beck, We'll give you three percent. 459 00:20:39,080 --> 00:20:41,040 Speaker 1: But if you would like to give us your money 460 00:20:41,080 --> 00:20:44,400 Speaker 1: for a year now we're talking, Does that make sense? 461 00:20:44,440 --> 00:20:46,199 Speaker 3: That does make sense, but I'm so confused as to 462 00:20:46,280 --> 00:20:49,639 Speaker 3: like what the benefit for the holder is, Like, you 463 00:20:49,640 --> 00:20:50,440 Speaker 3: know what I mean. 464 00:20:50,400 --> 00:20:53,600 Speaker 1: It's as safe a way to make money, so I 465 00:20:53,600 --> 00:20:56,320 Speaker 1: don't want to say safer. It's a more conservative way 466 00:20:56,320 --> 00:20:58,800 Speaker 1: to make money. So if we go back to, you know, 467 00:20:58,840 --> 00:21:01,240 Speaker 1: the investment episodes, if you haven't listened to them, go 468 00:21:01,359 --> 00:21:03,440 Speaker 1: and have a listen to them. They are really really important. 469 00:21:03,480 --> 00:21:05,720 Speaker 1: We did like a mini series with Chares's which I 470 00:21:05,760 --> 00:21:08,679 Speaker 1: think was really really powerful, and I'm quite proud of 471 00:21:08,720 --> 00:21:12,240 Speaker 1: that work, to be honest. But you might be somebody 472 00:21:12,280 --> 00:21:14,600 Speaker 1: who's not ready to bite the bullet with investing, Beck. 473 00:21:14,920 --> 00:21:17,240 Speaker 1: But you go, I still have like ten or fifteen 474 00:21:17,280 --> 00:21:19,719 Speaker 1: thousand dollars sitting here not going to use that might 475 00:21:19,760 --> 00:21:21,879 Speaker 1: be for a house deposit, might actually just be your 476 00:21:21,920 --> 00:21:24,600 Speaker 1: life savings that you're like, well, I'm never going to 477 00:21:24,600 --> 00:21:26,520 Speaker 1: touch it. It's not your emergency fund. By the way, 478 00:21:26,560 --> 00:21:29,119 Speaker 1: we do not put our emergency funds in term deposits, 479 00:21:29,119 --> 00:21:31,720 Speaker 1: do we, Beck, No, No. By the way I'm looking 480 00:21:31,760 --> 00:21:33,239 Speaker 1: at you, you're like, oh, I knew that. 481 00:21:33,680 --> 00:21:35,720 Speaker 3: I just learned that right now, Which. 482 00:21:35,520 --> 00:21:38,200 Speaker 1: It's very different for an emergency fund. An emergency fund 483 00:21:38,560 --> 00:21:41,120 Speaker 1: is a certain amount of money that you have allocated 484 00:21:41,440 --> 00:21:44,960 Speaker 1: to be able to access in an emergency, and I 485 00:21:45,040 --> 00:21:46,919 Speaker 1: want to talk about that because so many of you 486 00:21:46,920 --> 00:21:48,959 Speaker 1: will go, well, it's not working for me. Is that? Like, 487 00:21:49,000 --> 00:21:51,200 Speaker 1: if you're saying that I can get five percent back 488 00:21:51,240 --> 00:21:52,560 Speaker 1: on my money, you may as well lock it in 489 00:21:52,600 --> 00:21:56,360 Speaker 1: a term deposits not being used right now. No, no, no, 490 00:21:56,440 --> 00:21:59,320 Speaker 1: you need to be able to access your emergency fund 491 00:21:59,400 --> 00:22:02,200 Speaker 1: in an emergent by just going up to an ATM. 492 00:22:02,280 --> 00:22:05,199 Speaker 1: If you cannot do that, it is not in the 493 00:22:05,280 --> 00:22:07,840 Speaker 1: right place. And that money is working for you. But 494 00:22:07,880 --> 00:22:10,720 Speaker 1: it's not maybe working for money for you. It's working 495 00:22:10,800 --> 00:22:13,159 Speaker 1: on your mental health and making sure you're financially secure 496 00:22:13,200 --> 00:22:16,680 Speaker 1: and in an okay position. Like to me, an emergency fund, 497 00:22:16,760 --> 00:22:18,760 Speaker 1: it doesn't actually have to be making money. When I 498 00:22:18,800 --> 00:22:20,800 Speaker 1: was a bit younger and didn't have a mortgage, my 499 00:22:20,880 --> 00:22:24,240 Speaker 1: emergency fund was in an online savings account, didn't have 500 00:22:24,280 --> 00:22:26,760 Speaker 1: a debit card, but I knew that in an emergency, 501 00:22:26,840 --> 00:22:29,159 Speaker 1: I could jump on my phone, transfer the money to 502 00:22:29,200 --> 00:22:31,360 Speaker 1: my transaction account, and use it on my debit card 503 00:22:31,359 --> 00:22:33,960 Speaker 1: if I needed to pay for anything. Sure, Now I 504 00:22:34,040 --> 00:22:36,719 Speaker 1: have a mortgage, my emergency fund is sitting in an 505 00:22:36,760 --> 00:22:39,960 Speaker 1: offset account to my mortgage because that just makes financial 506 00:22:40,000 --> 00:22:41,960 Speaker 1: sense for me. Sure, I could go on and on 507 00:22:42,000 --> 00:22:45,920 Speaker 1: about emergency funds, and I have in like the last 508 00:22:45,920 --> 00:22:47,080 Speaker 1: five years of podcasting. 509 00:22:47,240 --> 00:22:48,440 Speaker 3: She loves an emergency fund. 510 00:22:48,520 --> 00:22:51,800 Speaker 1: I adore an emergency fund. But when it comes to 511 00:22:51,840 --> 00:22:55,159 Speaker 1: a term deposit, it could just be that happy medium 512 00:22:55,240 --> 00:22:57,520 Speaker 1: between you're not ready to invest, but you also want 513 00:22:57,520 --> 00:22:59,919 Speaker 1: your money working harder for you than it currently is 514 00:23:00,240 --> 00:23:02,760 Speaker 1: and getting a bit of return, but you're also maybe 515 00:23:02,800 --> 00:23:05,240 Speaker 1: not ready to dip your toes in the water when 516 00:23:05,280 --> 00:23:07,920 Speaker 1: it comes to investing. You might choose a term deposit 517 00:23:08,240 --> 00:23:10,119 Speaker 1: so that at least the money that you've made is 518 00:23:10,160 --> 00:23:12,840 Speaker 1: now making some money, even if it's less. Does that 519 00:23:12,880 --> 00:23:13,320 Speaker 1: make sense? 520 00:23:13,400 --> 00:23:14,160 Speaker 3: That does make sense. 521 00:23:14,320 --> 00:23:17,160 Speaker 1: It's a bit more of a secure hmm. I would 522 00:23:17,160 --> 00:23:17,800 Speaker 1: say investment. 523 00:23:18,000 --> 00:23:20,000 Speaker 3: Okay, that is good to know, But I'm also curious 524 00:23:20,000 --> 00:23:21,840 Speaker 3: about the actual bank. Why is it good for them? 525 00:23:21,880 --> 00:23:21,920 Speaker 2: Like? 526 00:23:21,960 --> 00:23:22,919 Speaker 3: How are they making money out of this? 527 00:23:23,000 --> 00:23:26,159 Speaker 1: I love this question. Okay, so banks make money, but 528 00:23:26,400 --> 00:23:29,080 Speaker 1: you putting your money into their bank account, right, and 529 00:23:29,119 --> 00:23:30,720 Speaker 1: that doesn't make sense? But what do you think they 530 00:23:30,720 --> 00:23:33,640 Speaker 1: do with that money? They lend it to people who 531 00:23:33,680 --> 00:23:38,480 Speaker 1: want mortgages? And loans. Oh, so they're lending your money out. 532 00:23:39,000 --> 00:23:41,680 Speaker 1: And as much as you probably didn't know this, and 533 00:23:41,720 --> 00:23:43,280 Speaker 1: the banks are going to go no, no, no, we 534 00:23:43,320 --> 00:23:47,480 Speaker 1: don't touch individuals like savings accounts. You've always got access 535 00:23:47,520 --> 00:23:51,520 Speaker 1: to it, that is true, but they're funds under management, 536 00:23:51,560 --> 00:23:53,480 Speaker 1: so the total amount of money that they have in 537 00:23:53,480 --> 00:23:56,640 Speaker 1: their kitty. Essentially, the more that they have, the more 538 00:23:56,680 --> 00:23:59,960 Speaker 1: they can lend out. And right now, while interest rates 539 00:24:00,080 --> 00:24:03,920 Speaker 1: are going up, the banks are essentially cacking their decks 540 00:24:03,920 --> 00:24:05,679 Speaker 1: a little bit, Beck, because they're going to need some 541 00:24:05,720 --> 00:24:07,920 Speaker 1: more money because people who are in debt are maybe 542 00:24:07,960 --> 00:24:11,359 Speaker 1: not making their own payments, so it makes sense to go, oh, Beck, 543 00:24:11,440 --> 00:24:13,720 Speaker 1: we're going to entice you a little bit if you 544 00:24:13,760 --> 00:24:16,880 Speaker 1: put more money in your bank account. Obviously your ten 545 00:24:16,920 --> 00:24:19,120 Speaker 1: grand is not going to change the world. But if 546 00:24:19,160 --> 00:24:21,520 Speaker 1: all the Becks in Australia are now putting more money 547 00:24:21,560 --> 00:24:24,720 Speaker 1: into their bank account, that bank is more financially secure. 548 00:24:25,000 --> 00:24:28,080 Speaker 1: So if you look at what it costs to get 549 00:24:28,119 --> 00:24:31,000 Speaker 1: a mortgage at the moment, it will be higher than 550 00:24:31,040 --> 00:24:35,120 Speaker 1: your average savings account. The savings accounts are always slightly 551 00:24:35,240 --> 00:24:38,080 Speaker 1: under what the mortgage rate is for that bank. Right 552 00:24:38,440 --> 00:24:40,679 Speaker 1: so banks are making money by you putting money in 553 00:24:40,720 --> 00:24:43,280 Speaker 1: there and then they essentially lend the money out. Do 554 00:24:43,400 --> 00:24:46,359 Speaker 1: not get me wrong. That is an incredibly simplified version 555 00:24:46,400 --> 00:24:49,879 Speaker 1: of what happens because obviously the RBA, so the Reserve 556 00:24:49,960 --> 00:24:53,600 Speaker 1: Bank of Australia, they manage what's called the cash rate, 557 00:24:54,080 --> 00:24:58,800 Speaker 1: and often banking and financial services institutions will borrow money 558 00:24:58,840 --> 00:25:02,119 Speaker 1: from the government or borrow money from even bigger institutions 559 00:25:02,400 --> 00:25:05,320 Speaker 1: to lend out. But one of the ways that they 560 00:25:05,400 --> 00:25:07,600 Speaker 1: keep money coming through the door is to have you 561 00:25:08,080 --> 00:25:11,320 Speaker 1: have your money sitting in an account that ultimately they 562 00:25:11,320 --> 00:25:14,440 Speaker 1: do have access to. Is it safe and secure? Yes, 563 00:25:14,560 --> 00:25:17,160 Speaker 1: it's one of the reasons why the government has that 564 00:25:17,440 --> 00:25:20,400 Speaker 1: guarantee scheme. Ye, it's why they go no, no, no, don't 565 00:25:20,400 --> 00:25:22,600 Speaker 1: worry about e becleg you'll definitely get your cash back. 566 00:25:22,680 --> 00:25:25,280 Speaker 1: But in the background they do have a lot more 567 00:25:25,320 --> 00:25:27,560 Speaker 1: money to play with and lend out to other people. 568 00:25:28,080 --> 00:25:30,840 Speaker 3: Okay, that makes sense. I've always been curious about that. 569 00:25:31,040 --> 00:25:33,440 Speaker 1: I like that you asked, because it's one of those 570 00:25:33,480 --> 00:25:36,000 Speaker 1: things that we often don't think about. Yeah. 571 00:25:36,040 --> 00:25:37,720 Speaker 3: I'm always like, Okay, we're putting our money. 572 00:25:37,720 --> 00:25:39,720 Speaker 1: Why are they paying me to have my money? 573 00:25:40,000 --> 00:25:40,200 Speaker 2: Yeah? 574 00:25:40,240 --> 00:25:41,439 Speaker 3: How are they making this money. 575 00:25:41,800 --> 00:25:43,159 Speaker 1: They are making a lot of money. 576 00:25:43,240 --> 00:25:45,440 Speaker 3: Okay, thee Now that I know how banks make money, 577 00:25:45,280 --> 00:25:47,560 Speaker 3: my mind can be put to rest, and I think 578 00:25:47,600 --> 00:25:49,679 Speaker 3: that let's go to a really quick break and on 579 00:25:49,720 --> 00:25:51,560 Speaker 3: the other side of the break, the moment you've all 580 00:25:51,600 --> 00:25:54,200 Speaker 3: been waiting for, including myself, the he's going to tell 581 00:25:54,280 --> 00:25:57,600 Speaker 3: us her top five best savings accounts right now. 582 00:25:57,800 --> 00:26:00,199 Speaker 1: Don't go anywhere, guys, it's juicy. 583 00:26:04,160 --> 00:26:07,159 Speaker 3: Welcome back, OKAYV. I'm so excited. We've talked about the 584 00:26:07,160 --> 00:26:09,680 Speaker 3: ins and outs of savings accounts and outside for the 585 00:26:09,720 --> 00:26:12,639 Speaker 3: moment of truth. What are your top five best savings 586 00:26:12,680 --> 00:26:13,600 Speaker 3: accounts right now? 587 00:26:13,640 --> 00:26:15,920 Speaker 1: All right, Beck, are you ready for the top five 588 00:26:16,000 --> 00:26:17,200 Speaker 1: best savings accounts? 589 00:26:17,240 --> 00:26:18,440 Speaker 3: I'm sorry, ready, joke's on you. 590 00:26:18,480 --> 00:26:20,560 Speaker 1: I'm going to do a caveat here because obviously they're 591 00:26:20,600 --> 00:26:23,520 Speaker 1: not quote the best. They are just to the accounts 592 00:26:23,520 --> 00:26:27,879 Speaker 1: that currently have the highest variable interest rate at the moment. 593 00:26:28,160 --> 00:26:30,880 Speaker 1: I'm going to go through the maximum variable interest rate, 594 00:26:30,920 --> 00:26:34,280 Speaker 1: who the institution is, what their standard variable rate is, 595 00:26:34,680 --> 00:26:37,000 Speaker 1: whether there's an intro period or not, or if there's 596 00:26:37,040 --> 00:26:40,000 Speaker 1: any conditions, and we're going to go obviously from lowest 597 00:26:40,000 --> 00:26:40,439 Speaker 1: to highest. 598 00:26:40,480 --> 00:26:42,399 Speaker 3: So you have to listen to the rest of my podcast. 599 00:26:43,000 --> 00:26:43,640 Speaker 3: That's very clean. 600 00:26:43,760 --> 00:26:46,359 Speaker 1: Yes, right, So first things first, we've got the Me 601 00:26:47,160 --> 00:26:50,480 Speaker 1: Home Me savings account, and this has come up because 602 00:26:50,520 --> 00:26:52,560 Speaker 1: it is like, it's not just the top five. I 603 00:26:52,560 --> 00:26:55,760 Speaker 1: actually have six to present because in typical Victoria divine fashion, 604 00:26:55,760 --> 00:26:58,160 Speaker 1: I said, I want to present five of the top 605 00:26:58,160 --> 00:27:00,359 Speaker 1: five accounts. But then I also found one and it's 606 00:27:00,400 --> 00:27:02,119 Speaker 1: the number one one, but it has a few extra 607 00:27:02,240 --> 00:27:04,720 Speaker 1: terms and conditions on it. Sure, that was like, it'll 608 00:27:04,760 --> 00:27:07,320 Speaker 1: be like a little little something something on top, right, 609 00:27:07,359 --> 00:27:08,560 Speaker 1: so we'll do the five plus one. 610 00:27:08,880 --> 00:27:09,320 Speaker 3: Good idea. 611 00:27:09,600 --> 00:27:10,919 Speaker 1: I'm just ruining the list for you. 612 00:27:11,080 --> 00:27:13,639 Speaker 3: Yeah, it's a very I think I'm following though. 613 00:27:13,720 --> 00:27:17,240 Speaker 1: Yeah, but top six anyway, So we've got the bank 614 00:27:17,240 --> 00:27:20,160 Speaker 1: account and it's maximum variable interest rate right now, it's 615 00:27:20,200 --> 00:27:23,960 Speaker 1: five point five to five percent. Sounds good, kind of sexy. 616 00:27:24,240 --> 00:27:28,000 Speaker 1: Their standard variable rate is zero point five to five percent. 617 00:27:28,480 --> 00:27:31,160 Speaker 1: They do need due to deposit a minimum of two 618 00:27:31,200 --> 00:27:35,000 Speaker 1: thousand dollars each and every single month, which for some 619 00:27:35,040 --> 00:27:37,680 Speaker 1: people is feasible. That's why it's on the list, my friend. 620 00:27:38,080 --> 00:27:40,680 Speaker 1: And does it have the government guarantee? You ask, yes, 621 00:27:40,720 --> 00:27:41,080 Speaker 1: it does. 622 00:27:41,640 --> 00:27:45,320 Speaker 3: Great standard variable rate means is that like the average. 623 00:27:45,359 --> 00:27:46,200 Speaker 1: It's the default. 624 00:27:46,320 --> 00:27:48,800 Speaker 3: It's the default. Okay, okay, it's the default. 625 00:27:49,119 --> 00:27:51,520 Speaker 1: So you know how we're talking before about how they 626 00:27:51,560 --> 00:27:54,040 Speaker 1: have shiny intro offers and they go, oh, here's this, 627 00:27:54,240 --> 00:27:57,120 Speaker 1: you know, maximum variable rate, like this is the most 628 00:27:57,160 --> 00:27:59,560 Speaker 1: you'll get from us. Sure they have complete control of 629 00:27:59,560 --> 00:28:02,480 Speaker 1: being like, we don't do that anymore because obviously you 630 00:28:02,520 --> 00:28:04,640 Speaker 1: can't predict what the market's going to do, and they 631 00:28:04,680 --> 00:28:07,360 Speaker 1: need the flexibility to turn that off. So it will 632 00:28:07,359 --> 00:28:10,560 Speaker 1: default back down to point five to five percent if 633 00:28:10,600 --> 00:28:11,480 Speaker 1: everything hit the fan. 634 00:28:11,800 --> 00:28:13,320 Speaker 3: Ah, I see, thank you, so good. 635 00:28:13,359 --> 00:28:16,960 Speaker 1: Good. Number two, we've got Macquarie. So McQuary savings account 636 00:28:17,160 --> 00:28:21,080 Speaker 1: comes in at five point five zero percent beck, but 637 00:28:22,160 --> 00:28:26,240 Speaker 1: their standard variable rate is four point seventy five percent. Whoa, 638 00:28:26,320 --> 00:28:28,560 Speaker 1: so still a little bit higher. So that kind of 639 00:28:28,680 --> 00:28:31,480 Speaker 1: looks a bit sexy. It's great for an intro period 640 00:28:31,480 --> 00:28:32,080 Speaker 1: of four months. 641 00:28:32,600 --> 00:28:35,120 Speaker 3: Ah, gotcha? I see. 642 00:28:35,600 --> 00:28:38,760 Speaker 1: Is there any monthly maximum rate conditions? No, there's not, 643 00:28:38,920 --> 00:28:41,160 Speaker 1: So you could just use this as you go. I 644 00:28:41,160 --> 00:28:43,760 Speaker 1: would just be wary of what happens when that four 645 00:28:43,760 --> 00:28:48,120 Speaker 1: month intro period wears off. Then I feel like it's 646 00:28:48,160 --> 00:28:50,760 Speaker 1: like one of Australia's favorite accounts just because of the 647 00:28:50,800 --> 00:28:54,560 Speaker 1: barefoot investor, like he created this cult following with Ing. 648 00:28:55,600 --> 00:28:58,880 Speaker 1: So that is the I INNG savings maximizer. Okay, right now, 649 00:28:58,960 --> 00:29:02,280 Speaker 1: maximum variable in test rate a five point five percent 650 00:29:03,040 --> 00:29:05,560 Speaker 1: drops back down to a standard variable interest rate of 651 00:29:05,640 --> 00:29:08,560 Speaker 1: point five to five percent. It's ongoing. You do need 652 00:29:08,600 --> 00:29:12,560 Speaker 1: to deposit monthly at least one thousand dollars and make 653 00:29:12,680 --> 00:29:14,120 Speaker 1: five transactions. 654 00:29:14,320 --> 00:29:17,120 Speaker 3: Oh so, like they're encouraging you to spend. 655 00:29:17,200 --> 00:29:20,880 Speaker 1: They're encouraging you to use that as an account that transacts, 656 00:29:20,880 --> 00:29:24,040 Speaker 1: So it's a savings maximizer. Usually you can't just have 657 00:29:24,440 --> 00:29:27,360 Speaker 1: a savings maximizer account with Ing. You also have to 658 00:29:27,400 --> 00:29:29,400 Speaker 1: have their daily account, in which case you would need 659 00:29:29,440 --> 00:29:31,640 Speaker 1: to make those five monthly transactions. 660 00:29:31,640 --> 00:29:34,720 Speaker 3: Gotcha? Okay? And when you say transactions, like, would it 661 00:29:34,800 --> 00:29:38,360 Speaker 3: count if I just transferred money from one savings account 662 00:29:38,400 --> 00:29:39,600 Speaker 3: to a transaction account or do. 663 00:29:39,720 --> 00:29:42,239 Speaker 1: Every bank is going to be different, So what that 664 00:29:42,280 --> 00:29:44,800 Speaker 1: looks like to Ing might look very different to NABB 665 00:29:44,880 --> 00:29:47,320 Speaker 1: or you know, A and Z, which is fine. Again, 666 00:29:47,360 --> 00:29:50,240 Speaker 1: you need to read your terms and conditions. But usually 667 00:29:50,320 --> 00:29:52,640 Speaker 1: it's a deposit into or out of that account. It 668 00:29:52,640 --> 00:29:54,520 Speaker 1: could be you know, you paying for your my key. 669 00:29:54,840 --> 00:29:57,680 Speaker 1: It could be you transferring some money in from you know, 670 00:29:57,800 --> 00:30:00,680 Speaker 1: a dinner that your friend O. Do you cash from five? 671 00:30:00,800 --> 00:30:02,920 Speaker 1: Standard usually transaction? 672 00:30:03,160 --> 00:30:03,480 Speaker 3: Sure? 673 00:30:03,560 --> 00:30:07,280 Speaker 1: Okay, so four we have the first option banks savings account. 674 00:30:07,360 --> 00:30:10,360 Speaker 1: So that comes in at four point seventy five percent 675 00:30:10,720 --> 00:30:13,920 Speaker 1: with a standard variable rate of two percent. Pretty good, 676 00:30:14,160 --> 00:30:16,880 Speaker 1: it's on going too, oh, very good. So they're not 677 00:30:16,920 --> 00:30:19,960 Speaker 1: going to go, oh there's an intro period. No intro period, 678 00:30:20,000 --> 00:30:24,360 Speaker 1: it's ongoing. But you do get this minimum deposit amount 679 00:30:24,360 --> 00:30:28,440 Speaker 1: per month. Gotcha, it's only one hundred bucks. That seems 680 00:30:28,680 --> 00:30:29,920 Speaker 1: that's a bit more reasonable. 681 00:30:30,280 --> 00:30:31,800 Speaker 3: I can deal with that a bit more. 682 00:30:31,640 --> 00:30:36,480 Speaker 1: Relatable, you know. Yeah, but you can't make any withdrawals. 683 00:30:36,520 --> 00:30:40,640 Speaker 3: Oh oh oh okay, they. 684 00:30:40,560 --> 00:30:41,560 Speaker 1: Just really want you to save. 685 00:30:42,200 --> 00:30:46,520 Speaker 3: That's actually really cute. I kind of like it. 686 00:30:45,720 --> 00:30:48,680 Speaker 1: I kind of like the trap. And that's why when 687 00:30:48,680 --> 00:30:50,880 Speaker 1: we're talking about this stuff, it's like not one size 688 00:30:50,920 --> 00:30:53,320 Speaker 1: fits all, Like you go, V, what should we be 689 00:30:53,360 --> 00:30:55,560 Speaker 1: looking for? And I go, well, what's your criteria? There's 690 00:30:55,640 --> 00:30:58,120 Speaker 1: so much stuff that you could be looking for. At 691 00:30:58,120 --> 00:30:59,960 Speaker 1: the end of the day, you could be like, you know, 692 00:31:00,120 --> 00:31:01,760 Speaker 1: talking about the type of account you want to have, 693 00:31:01,840 --> 00:31:04,280 Speaker 1: or your interest rate or your minimum or maximum deposit. 694 00:31:04,520 --> 00:31:06,640 Speaker 1: You could be talking about like fees or even goal 695 00:31:06,760 --> 00:31:10,560 Speaker 1: setting your capability and your time frame, like if you 696 00:31:10,640 --> 00:31:12,959 Speaker 1: are the type of person that's like Becka me a 697 00:31:12,960 --> 00:31:14,280 Speaker 1: bit impulsive, aren't we, bab. 698 00:31:14,360 --> 00:31:14,920 Speaker 3: Yeah, that's nothing. 699 00:31:15,000 --> 00:31:16,800 Speaker 1: So I would say, like, we're good at it together. 700 00:31:16,840 --> 00:31:18,400 Speaker 1: It's why we need to produce it in the room 701 00:31:18,480 --> 00:31:20,840 Speaker 1: with us at all times, all time to stop us 702 00:31:20,840 --> 00:31:23,680 Speaker 1: from going rogue. So that would work for me, beck 703 00:31:23,760 --> 00:31:26,400 Speaker 1: But I'm also feeling like a little while ago on 704 00:31:26,440 --> 00:31:28,320 Speaker 1: the show, you told us about how you have a 705 00:31:28,360 --> 00:31:30,200 Speaker 1: money tin because you can't get the money out because 706 00:31:30,240 --> 00:31:31,560 Speaker 1: it's in a tin, and I just feel like that 707 00:31:31,640 --> 00:31:32,440 Speaker 1: might work for you too. 708 00:31:32,760 --> 00:31:35,400 Speaker 3: Yeah. Well that tim actually unfortunately wasn't strong enough for 709 00:31:35,440 --> 00:31:36,640 Speaker 3: these big, strong hands. 710 00:31:36,640 --> 00:31:37,840 Speaker 1: Did you get the can opener out? 711 00:31:37,960 --> 00:31:38,320 Speaker 3: I did. 712 00:31:38,360 --> 00:31:39,959 Speaker 1: I got a lot of good it's a bit naughty. 713 00:31:40,120 --> 00:31:41,240 Speaker 3: Anything I could I got out. 714 00:31:41,280 --> 00:31:42,719 Speaker 1: But I think this next time you do that, can 715 00:31:42,760 --> 00:31:44,240 Speaker 1: you please film it? Make great contact? 716 00:31:44,640 --> 00:31:46,840 Speaker 3: I can do. This is why this would be perfect 717 00:31:46,840 --> 00:31:47,680 Speaker 3: for me and you. 718 00:31:48,080 --> 00:31:51,520 Speaker 1: Yeah. Yeah, just based on that criteria completely. So beck 719 00:31:51,600 --> 00:31:54,160 Speaker 1: I included the first Option Bank savings account in my 720 00:31:54,240 --> 00:31:58,000 Speaker 1: number four slot because they had that four point seventy 721 00:31:58,080 --> 00:32:00,520 Speaker 1: five percent, But then they also had that standard variable 722 00:32:00,600 --> 00:32:02,840 Speaker 1: rate of two percent, which felt a little bit safer 723 00:32:02,880 --> 00:32:04,680 Speaker 1: than the one I'm going to put in number five. 724 00:32:05,320 --> 00:32:08,880 Speaker 1: Even though their interest rate or their maximum variable interest 725 00:32:08,960 --> 00:32:11,520 Speaker 1: rate was higher. It just felt like that made more 726 00:32:11,520 --> 00:32:13,800 Speaker 1: sense to me, and it's my list, so I do 727 00:32:13,840 --> 00:32:15,640 Speaker 1: what I want, You do what you want. So coming 728 00:32:15,640 --> 00:32:18,520 Speaker 1: in at number five is the Bank of Queensland Future 729 00:32:18,640 --> 00:32:22,680 Speaker 1: Saver account. This future Saver account, it does have a 730 00:32:22,680 --> 00:32:25,360 Speaker 1: little bit of criteria on it though, so it's for 731 00:32:25,440 --> 00:32:29,680 Speaker 1: fourteen to thirty five year olds, HM, quite specific, which 732 00:32:29,720 --> 00:32:31,360 Speaker 1: is why it kind of ranked a little bit lower 733 00:32:31,400 --> 00:32:33,040 Speaker 1: than the other one, even though they have a higher 734 00:32:33,040 --> 00:32:35,560 Speaker 1: interest rate. Their interest rate is sitting at five point 735 00:32:35,720 --> 00:32:39,520 Speaker 1: four percent, which is very nice, but their standard variable 736 00:32:39,600 --> 00:32:42,920 Speaker 1: rate was zero point zero five percent, so that's obviously 737 00:32:42,960 --> 00:32:45,440 Speaker 1: lower than the one before before we were talking about it. 738 00:32:45,480 --> 00:32:48,080 Speaker 1: Two percent, yes, standard rate. So do you see why 739 00:32:48,080 --> 00:32:50,000 Speaker 1: I might have like dropped it down a little bit. 740 00:32:50,080 --> 00:32:51,480 Speaker 3: Yeah, that makes sense. 741 00:32:51,320 --> 00:32:53,360 Speaker 1: Because I'm a bit rude. I didn't just go, oh, 742 00:32:53,360 --> 00:32:55,440 Speaker 1: the highest interest rate is the best, which is exactly 743 00:32:55,520 --> 00:32:57,200 Speaker 1: what we want you to do as well, because the 744 00:32:57,280 --> 00:33:00,800 Speaker 1: highest interest rate does not equal the best. Because I 745 00:33:00,920 --> 00:33:03,400 Speaker 1: obviously could rant about this for six million years, and 746 00:33:03,480 --> 00:33:05,880 Speaker 1: I honestly have, like I've done it for five years 747 00:33:05,920 --> 00:33:09,240 Speaker 1: and we haven't slowed down there. But when it comes 748 00:33:09,280 --> 00:33:12,160 Speaker 1: to the investment world, often people will say, be what's 749 00:33:12,160 --> 00:33:15,280 Speaker 1: the best type of investment? And I can't answer that either, 750 00:33:15,800 --> 00:33:18,040 Speaker 1: not because I don't want to. But if you say 751 00:33:18,440 --> 00:33:22,760 Speaker 1: the more specifically, what's the highest yielding type of investment 752 00:33:22,840 --> 00:33:26,160 Speaker 1: in Australia? So what returns the most cash older, Well, 753 00:33:26,160 --> 00:33:29,560 Speaker 1: it's shares, right, Whereas a lot of people will want 754 00:33:29,600 --> 00:33:32,479 Speaker 1: to hear me say property or like their asset that 755 00:33:32,520 --> 00:33:37,560 Speaker 1: they want to invest in. Pragmatically speaking, shares have outperformed 756 00:33:37,640 --> 00:33:41,360 Speaker 1: the other three main asset types in Australia. So it's shares, 757 00:33:41,400 --> 00:33:43,760 Speaker 1: then it's property, then it's fixed interest, and then it's 758 00:33:43,800 --> 00:33:46,400 Speaker 1: cash here in Australia. Right, there's a hierarchy. It's just 759 00:33:46,440 --> 00:33:49,040 Speaker 1: how it works. Doesn't mean it's the right fit for you, Beck, 760 00:33:49,400 --> 00:33:52,240 Speaker 1: absolutely not. Just because it's the highest return doesn't mean 761 00:33:52,280 --> 00:33:54,720 Speaker 1: shares are the right thing for you to invest in. Yeah, absolutely, 762 00:33:54,760 --> 00:33:57,200 Speaker 1: does that make sense? And they came with bank accounts. 763 00:33:57,320 --> 00:34:01,480 Speaker 1: Highest interest rate does not mean best say with subernuation accounts, 764 00:34:01,800 --> 00:34:04,640 Speaker 1: highest rate of return does not mean best. You need 765 00:34:04,680 --> 00:34:07,120 Speaker 1: to look at the fees and the bells and whistles 766 00:34:07,120 --> 00:34:09,480 Speaker 1: and everything else that you get into it. Because as 767 00:34:09,480 --> 00:34:11,080 Speaker 1: I said in my first book, and I got a 768 00:34:11,120 --> 00:34:14,520 Speaker 1: lot of slack for this, I said, when you pay peanuts, 769 00:34:14,520 --> 00:34:17,839 Speaker 1: you get monkeys. Some people didn't like that. 770 00:34:18,360 --> 00:34:21,200 Speaker 3: Well, though, that's fair enough. You don't want to be 771 00:34:21,360 --> 00:34:23,839 Speaker 3: this is what I say. It's very similar. You don't 772 00:34:23,840 --> 00:34:25,240 Speaker 3: want to be trojan horsed. 773 00:34:25,719 --> 00:34:27,640 Speaker 1: No, you don't, and that's what we're trying to save 774 00:34:27,680 --> 00:34:30,000 Speaker 1: you from. Yes, So the Bank of Queensland, to carry 775 00:34:30,040 --> 00:34:34,320 Speaker 1: on about them, they're intro period, there is none sexy good. 776 00:34:34,440 --> 00:34:36,880 Speaker 1: But they do require a minimum monthly deposit of one 777 00:34:36,880 --> 00:34:42,240 Speaker 1: thousand dollars and five eligible transactions eligible exactly. The word 778 00:34:42,440 --> 00:34:44,520 Speaker 1: eligible means you need to read the terms and conditions. 779 00:34:45,000 --> 00:34:47,520 Speaker 1: And then I wanted to like, do the little cherry 780 00:34:47,520 --> 00:34:51,719 Speaker 1: on top, yes please, which is again a high interest rate. 781 00:34:52,320 --> 00:34:54,560 Speaker 1: Obviously when I was comparing it, I put the first 782 00:34:54,560 --> 00:34:57,879 Speaker 1: option bank higher than the Bank of Queensland. But then 783 00:34:58,120 --> 00:35:00,319 Speaker 1: this is a Westpack account and it g it's like 784 00:35:00,360 --> 00:35:03,080 Speaker 1: to be the cherry on top because it's a lower 785 00:35:03,239 --> 00:35:05,960 Speaker 1: interest rate than the Bank of Queensland, but a higher 786 00:35:06,000 --> 00:35:07,359 Speaker 1: standard variable rate. 787 00:35:07,640 --> 00:35:08,000 Speaker 3: Ah. 788 00:35:08,239 --> 00:35:13,040 Speaker 1: So the Westpac Life account, which unfortunately is only for 789 00:35:13,120 --> 00:35:15,640 Speaker 1: our listeners from the age of eighteen to twenty nine, 790 00:35:16,440 --> 00:35:19,720 Speaker 1: has a maximum variable rate of five point two percent, 791 00:35:20,840 --> 00:35:24,520 Speaker 1: but the standard variable interest rate is two percent. Very good, 792 00:35:24,560 --> 00:35:27,160 Speaker 1: so it's a bit higher. No intro period, which is 793 00:35:27,200 --> 00:35:31,200 Speaker 1: really nice. No minimum deposit amount, but you do have 794 00:35:31,280 --> 00:35:35,320 Speaker 1: to have five debit card purchases each and every single 795 00:35:35,360 --> 00:35:38,040 Speaker 1: month to get to that maximum variable rate. 796 00:35:38,280 --> 00:35:41,359 Speaker 3: Okay, so they want you to spend a little bit. 797 00:35:41,400 --> 00:35:43,040 Speaker 3: They want you to treat yourself. 798 00:35:42,800 --> 00:35:45,560 Speaker 1: They do. They want you to like be active with 799 00:35:45,680 --> 00:35:49,080 Speaker 1: their product. Yeah, which is not rude. They're literally paying you. 800 00:35:49,480 --> 00:35:52,080 Speaker 1: Absolutely nobody owes you anything that could work for me. 801 00:35:52,560 --> 00:35:52,719 Speaker 3: Laugh. 802 00:35:53,200 --> 00:35:56,760 Speaker 1: I really like using your debit card. I do, so 803 00:35:56,800 --> 00:35:59,759 Speaker 1: it's all good. I totally get it. But Beck, how 804 00:35:59,760 --> 00:36:02,440 Speaker 1: do you feel about that? What are your thoughts, values, beliefs, 805 00:36:02,440 --> 00:36:04,480 Speaker 1: and behaviors about this app. 806 00:36:04,360 --> 00:36:06,279 Speaker 3: This is really interesting because I am with Iron G 807 00:36:06,840 --> 00:36:10,200 Speaker 3: and I've been curious that you are. Thank you well, 808 00:36:10,239 --> 00:36:12,280 Speaker 3: I was really curious about the interest rate and stuff, 809 00:36:12,280 --> 00:36:14,880 Speaker 3: and like wondered why I it never kind of applied 810 00:36:14,920 --> 00:36:17,520 Speaker 3: to me. But it's because I'm not just depositing. 811 00:36:17,120 --> 00:36:19,880 Speaker 1: On read the terms and conditions. Did not read the. 812 00:36:19,880 --> 00:36:22,359 Speaker 3: Terms and conditions, But this is really interesting. It's got 813 00:36:22,400 --> 00:36:24,439 Speaker 3: me thinking, I'm assuming with Bank of Queensland you must 814 00:36:24,480 --> 00:36:25,600 Speaker 3: be in Queenland. 815 00:36:25,680 --> 00:36:28,920 Speaker 1: No, it's just the Bank of Queensland A very good 816 00:36:28,920 --> 00:36:31,520 Speaker 1: to know, okay, like the A and Z Bank or 817 00:36:31,520 --> 00:36:34,040 Speaker 1: the National Australia Bank, like they they're just names. 818 00:36:34,239 --> 00:36:34,439 Speaker 3: Yeah. 819 00:36:34,440 --> 00:36:34,840 Speaker 2: I love this. 820 00:36:35,400 --> 00:36:37,719 Speaker 1: It's where it started, all right. 821 00:36:37,800 --> 00:36:39,080 Speaker 3: I think I'm going to have to read up on 822 00:36:39,120 --> 00:36:41,279 Speaker 3: these and figure out what is best for week. 823 00:36:43,440 --> 00:36:45,360 Speaker 1: All right, well, let's hop off. I feel like you 824 00:36:45,400 --> 00:36:48,319 Speaker 1: and I are probably going to dive deep into doing 825 00:36:48,320 --> 00:36:50,080 Speaker 1: a little bit more research on what bank account might 826 00:36:50,120 --> 00:36:51,560 Speaker 1: work for you because I really want to play with 827 00:36:51,600 --> 00:36:54,120 Speaker 1: it too. Lucky us, But thank you for tuning in. 828 00:36:54,200 --> 00:36:55,719 Speaker 1: I hope you guys have the best week and we'll 829 00:36:55,760 --> 00:36:57,720 Speaker 1: see you bright and early on Friday. 830 00:36:57,920 --> 00:37:01,279 Speaker 3: Bye guys. 831 00:37:04,960 --> 00:37:07,480 Speaker 1: The advice shared on She's on the Money is general 832 00:37:07,560 --> 00:37:11,400 Speaker 1: in nature and does not consider your individual circumstances. She's 833 00:37:11,440 --> 00:37:14,920 Speaker 1: on the Money exists purely for educational purposes and should 834 00:37:14,920 --> 00:37:18,120 Speaker 1: not be relied upon to make an investment or financial decision. 835 00:37:18,480 --> 00:37:20,920 Speaker 1: If you do choose to buy a financial product, read 836 00:37:20,960 --> 00:37:25,120 Speaker 1: the PDS, TMD and obtain appropriate financial advice tailored towards 837 00:37:25,120 --> 00:37:28,400 Speaker 1: your needs. Victoria Divine and She's on the Money are 838 00:37:28,480 --> 00:37:33,480 Speaker 1: authorized representatives of Money. Sheper pty Ltd ABN three two 839 00:37:33,520 --> 00:37:36,520 Speaker 1: one IS six four nine two seven seven zero eight 840 00:37:36,800 --> 00:37:42,839 Speaker 1: AFSL four five one two eight nine