You are walking past your dream designer in a shopping mall and you want that handbag they place in their storefront window with an image of it being held gracefully by a Hollywood starlet.
Take advantage of the high interest in savings account to make major purchases such as that luxury handbag that you’ve been eyeing for.
The last thing you should be doing is walking into the store and purchasing your dream bag by paying for it on your credit card!
However for small (and expensive) perks, there are ways to build a savings plan and let money work for you. Maybe think about putting some money away each week or month into a high interest savings account to reach your goal. You can use the savings for emergencies, to fund your kids’ education, family holiday or retirement, and even make major purchases such as luxury handbags as a reward for yourself!
Different banks offer a wide selection of high interest savings accounts. What can you do to ensure that you will find the best savings account for your needs and current situation? Here are some of the things to consider in choosing a high interest savings account and ensuring that it will earn more for your needs:
Consider the interest rates
As the name suggests, a high interest savings account offers a high interest so your savings can grow much faster. Banks differ in interest rates that they offer, so compare savings accounts from different banks and focus on those that have competitive rates.
Opt for online accounts
Compared to a standard savings account, an online account offers a higher interest rate. You don’t have to pay service fees, and you can access your account anytime, anywhere.
Look for bonus savers
Aside from a high interest rate, you can further grow your savings with a bonus saver. This is an additional interest that you can earn if you meet certain requirements such as having no withdrawals for a particular period and/or reaching the minimum monthly deposit conditions.
Pay yourself first
This is a tried-and-tested way to save for your next major purchase, or whatever it is that you’re saving up for. Decide to save even a small portion of your salary every month, and stick to it. Make regular deposits and let the high interest rate do the rest of the work.
Pay off your debts
This is not necessarily important when looking for the best savings account, but to grow your savings for your next family trip or to buy your next luxury handbag, pay off all of your debts so you can have more cash deposited to your savings account. You will also save a lot on interest rate if you pay off your debts sooner.
Take advantage of the high interest in savings account to make major purchases such as that luxury handbag that you’ve been eyeing for. Make a decision to save on a regular basis and the high interest will help you reach your financial goal.
Do you know other tips on high interest savings accounts in Australia? You can share your ideas in the comments section below.