There are so many banks out there, offering a wide array of products and services that aim to help people save money and let it work for them. The number of options to choose from can be overwhelming, that’s why it has always been said to compare bank accounts first before anything else. It’s a great way to look at the features, offers and conditions and see which bank account fits your needs and preferences.
Money saving tip:
Consider having an automatic savings account where you can automatically deduct a portion of your salary into your saving account each month.
What are the features of bank accounts that you should know about? Here are some of them:
Australian bank interest rates
Bank account comparison includes looking at Australian bank interest rates, as these play a role on how your money will grow. Most banks offer 0.01% grand interest rate on the monthly balance of transaction accounts.
Most, if not all, banks offer online banking facilities for faster transactions and convenience especially for people who are always on the go. Make sure to check with your bank if they offer reduced or zero fees for online-only accounts.
Monthly deposit requirements
To earn high interest rate on offer, make sure to deposit at least the minimum amount every month. Otherwise, your bank will reduce your interest rate. They may even pay no interest for a particular month.
This refers to an incentive which is offered on top of the base rate as long as the bank criteria are met. In most cases, the bank will require you to make a minimum deposit every month and a limited number of withdrawals. However, the bonus rate may be applicable only for a specific period so always check the terms and conditions.
While online savings accounts usually don’t have account-keeping fees, you can expect charges for other types of bank accounts. These include ATM withdrawal fees, monthly account fees, branch deposit fees as well as over-the-counter transaction fees.
Minimum opening deposit
Some banks will ask you to make a minimum deposit that will be used for the costs incurred in setting up and maintaining a new bank account.
Automatic salary deposit
In this feature, a specified amount will be automatically deducted from your salary and will be deposited into your savings account every month. This is an excellent way to increase your savings.
Got other ideas on how to compare bank accounts and their features? Share your tips in the comments section.