Hello.
My name's Santasha Nabananga Bamblet. I'm a proud Yr the
Order Kerney Whalbury and a waddery woman. And before we get started on She's on the Money podcast, I would like to acknowledge the traditional custodians of the land of which this podcast is recorded on a wondery country, acknowledging the elders, the ancestors and the next generation coming through as this podcast is about connecting, empowering, knowledge sharing and the storytelling of you to make a difference for today and lasting impact for tomorrow.
Let's get into it.
She's on the Money, She's on the Money.
Hello, and welcome to She's on the Money, the podcast for people who want financial freedom. My name is beck Syed and Victoria de Vine. Do you know what I love most about end of year?
The parties?
That is, that's probably top of the list. But speaking of list, it doesn't.
Work for the content that you're trying to create here, fortunately, I'm so sorry. Wow, what do you look forward to most?
Perfect? If we could be a little bit more robotic next time?
I thought it was very organic.
No, that was perfect. That was perfect.
What do you look forward to the most speck.
I love a list of like best of of, like the year, et cetera, et cetera.
I love a list like I don't know do use notion at work? I've heard about notion, but haven't I'm obsessed with notion. Yeah, if I can put it on a list in notion, it is on a list in notion, Like. I'm actually obsessed with lists. Down it like lists for everything.
My Christmas list, I have written every single baby list you can think of, so like a list for all the baby essentials, but then all the baby nice to have but not essentials but in the middle, and then all the baby luxuries, like we've broken them all up because I'm like, everyone's got so much to say. Yes, I love a list.
I love a list.
To do list. You can cross stuff off that you've already done, bess true, and then you feel really productive.
It feels really good. Sometimes I put things in there that I forgot to put in, but I actually have done it.
That's what I do, and then I cross it off. It'll be like do washing, and I'll be like, sorry, washing machine, I'm a genius. Look at this long list that I have now completed.
It feels really good.
But what type of lists are we talking about, Beck, that you're super in love with today?
Okay, So I'm thinking like it's kind of an all rounder. It's like, at the end of the year, we're thinking about our finances, think about ournews, resolutions, We're thinking about all of those kind of things. So I guess like today I'm mainly wanting to know about Oh well, let's talk finances.
Yeah, I feel like you guys came here to learn about finances, not baby lists.
Yeah.
Do you feel like that's something that is in your wheel house?
I don't know. I feel like this podcast, she's on the money, it's not she's on the baby list, but that is actually the garden path. I led you down, I said, do you like lists?
Said?
I love lists, But I don't know how enamored you're going to be with this list, but I know the rest of the community is going to be. So today I thought that I would talk about the top five best savings accounts right now, So we've done the research, Beck, I have gone and looked absolutely everything up, done a little comparison. Don't worry, we'll obviously post this on Instagram, so you don't need to whip out a pen and paper to remember it all. We've got your back, made
another list, sent it to oographic designer. Oh yeah, gosh, he's good. But today we're going to be talking about the top five best savings accounts.
I actually can't wait for this. But before we do get to the list, fear, I'd like to ask a few things. This may be super obvious, but can you find a savings account?
I feel like this is a good one because like lots of people will be like, but isn't like my normal bank account? My savings account because that's where I keep my.
Savings makes sense, Okays.
Account is a specific type of financial account that is opened with a financial institution. So a lot of people will go, oh, that banks, but it could be like a credit union or something. It's not just banks that offer savings account for the point of saving money rather than spending it. So you would know this as kind of like a transactional account. So that's usually where all your pay goes into, and then you might transfer money
from your pay to a specific savings account. So the idea of a savings account is to easily deposit money on a regular basis to earn monthly interest that then allows our savings to grow even further, which is, let's be honest, very sexits very nice, very very nice, not bad at all. Usually savings accounts don't come with debit cards because they don't want you to spa easily. That makes sense, Yeah, So BECK another major benefit of all
savings accounts in Australia that are eighty iy's. So an ADI is an authorized deposit taking institution and so a bank or a credit union would have to register with the government to become an ADI. You don't just automatically become one, right, So an authorized deposit taking institution BECK is a institut. It could be a credit union, could be one of the Big four banks, it could be any other bank. But they're registered with the government and
that means they're protected by what's called the FCS. So that's the Financial Claim Scheme, which is a government backed safety net for deposits of up to two hundred and fifty thousand dollars per account holder. So other investments they're not covered under this same scheme. But essentially it means BECK you can stress less if you've got like, let's say, you know, three grand in your savings account. You're like,
but what happens if the bank fails and crashes. Oh, yeah, it's okay because the government guarantees it and you'll get your money back. If you're a baller and you have more than two hundred and fifty thousand dollars in that account, it means they will essentially guarantee up to two hundred
and fifty thousand dollars, not per account, per person. So let's say you're a big dog and you've got one point five million dollars in your savings accounts, but you have multiple accounts, but they're with the same institution, so they're all with the same bank. They will only still guarantee up to two hundred and fifty thousand dollars. I have seen people who are a little bit anxious, though,
they go, break this up. If I've got two hundred and fifty thousand dollars here at one bank, then I'm going to go get bank B. Yeah, then you're five hundred thousand dollars is guarantee?
That works, okay.
Was going to be the question per institution, per account holder, not per account. If that makes sense. You can't just open another bank account and put the other two fifty in there. I mean, these are really rich people problems, like really unrelatable, but I want you to be able to understand what that actually means.
Yes, if it came.
Up, you know totally.
Yeah, I don't why I'm so invested in this, Like, I'm like, this is something I want.
To know what rich people are doing with their money, how they're breaking it up.
Right, We've got to protect that stuff.
I know.
I love that. Okay, So are there different types of savings accounts?
Yes, it's so fun. They're a number of different types. I'll go through them. So first we've got online savings accounts. Then we've got bonus interest savings accounts. Then we've got high interest savings accounts. Then we've got introductory interest savings accounts, and I will round it up with term deposits, which you would have heard of before. Right. Yes, So I'm not gonna like harp on and on and on about
each of these. But an online savings account is essentially an account that is available online via the web or via an app, and it means that you can't go into a bank or a financial institution in person to access your funds. Make a deposit or ask any questions. A really great example of this very popular here in Australia Ingva. They just don't have physical stores but they're
an online banking institution. Does that mean that they are less than No, No, it just means they don't have physical stores for you to go into, which for some people is really important.
Sure.
Most commonly, these online savings accounts have a standard interest rate, which at the time of this podcast being dropped is around four point two percent. Okay, pretty sexy, because you remember when no one was getting any interest on their accounts, maybe like two years ago.
Yeah, I remember it being like zero point zero five or something.
One of the best things. So this is not the best thing for me. I have a mortgage. You do not, So in this circumstance, you are the winner here, my friend.
Thank you.
But whenever you hear that the cash rate is going up and people are like, oh my gosh, the mortgage rate is going up, so do your savings accounts. So if you're saving for your first home or you've just got some savings to the side, that's actually going to be benefited by the cash rate increasing because the bank is now going to start paying a high interest rate to you, and that's when we want to have our eyes peeled and go, hm, is there a better deal
on off of here? I can't who else can I talk to?
Yeah? I cannot believe that no one knows about that.
I feel like some people do and take advantage of it. But when you're you know, sitting in essentially your chair back, you would have heard all of these negative money stories going around the media right now, like everyone's screwed, the interest rates are going up, what are we going to do?
Well?
Actually, if you're in a circumstance where you just have some savings and you don't have the overheads of a mortgage or like a property or any type of debt that you're repaying, yeah, you're actually in a pretty good position to recheck your savings account because you should be making sure that you're getting some money for the money that you've invested.
Ah. That's right, very good to know.
The next is bonus interest savings accounts. So, while these are quite similar to the online savings accounts, bonus interest savings accounts offer their account holders what we call bonus
interests for meeting certain criteria. So you've got to be careful because sometimes they will just look like an online savings account and you'll be like, oh my gosh, I love this the interest rates like five percent or whatever, But you actually have to deposit a certain amount per month into that account to access that bonus.
That's alligatya.
You would have seen this before, right, Yeah. So the criteria is definitely going to vary depending on the banking institution and the account that you've decided to open, Like summer, I guess age related, you need to be under a certain age or over a certain age, or have like maximum deposits. So like if they're offering a very sexy interest rate back, they might be like, yeah, okay, like we'll give that to you max one hundred grand though, because like we're not going to give you millions of
dollars for this. Yeah, So just be aware of those things. But they also usually have, as I mentioned before, a minimum deposit each month and or a certain number of transactions that you need to meet to get that bonus interest. So you've just got to be aware. Is that Dodge Beck No, not at all, it's actually just their criteria for paying it out. I think a lot of people
will be like well, why are they introducing criteria. It's like because obviously they want to attract you to their product, but they also want to make sure it's financially.
Feasible totally, like you are actually going to.
Get it, yeah, and they're actually going to have a client using the account, yes, and actually depositing money on a regular basis into that account, So that makes sense. But by meeting that criteria, you'll receive a base interest rate in addition to the bonus rate. So for example, the base rate might be very low, might be like zero point five percent or something like that, or the bonus interest rate could be as high at the time of recording beck like five point one percent, right, which
is very very sexy. Therefore, the total will then be five point one five percent if you meet the criteria, and then if you don't, you'll only like default back down to that point zero five percent. Sure, obviously a rate that can be much lower than if you've just gone and opened like an online savings account. So like if you're seeing the shiny number of like, oh, this bonus interest savings account looks really good because I can get five point one five percent because you know, the
one we talked about before was four point two totally? Like, well, I want the higher interest rate. Can you meet the criteria consistently or would it just be better to have just a standard online savings account get that four point two percent, like basically guaranteed examply.
Yeah, so I guess if you're like not guaranteed to be able to transfer or like meet the criteria every month or whatever it is.
And that's like me leading you down the garden pass to once again go I am licensed to give you general advice. Yes, this is why it is so important to understand the differences because do you know how many people slide into my dms and they go they what's the best savings account? Yeah? I wish i'd could tell you what the best is and we'll go through like the top five. But the best for you, beck might actually be, you know, the bonus interest savings account because
you do make those regular deposits. But for your best friend live, she might not be making those regular deposits, and the online standard savings account is going to just be better bang for her buck and work better. So it is one better than the other. No, it's going to depend on your criteria and your ability to meet that criteria. Does that make sense?
That makes so much sense?
So like you can't just get what your bestie has got because it sounded good.
Yeah, it might not work.
That's why we've got to do our own research. Yeah. I love that, but I did it for you, so keep listening.
Thank you.
The next is a high interest savings account. I feel like that one sounds the sexiest to me.
Sounds so far, so good, so fast, so good.
Let me tell you, let me tell you so. High interest savings accounts are again similar to bonus interest rate accounts because of the high interest rate that you're able to achieve if you use them properly. Sure, However, with high interest savings accounts, you were guarant heed this interest
rate without having to meet monthly criteria. Very nice. This means there'll be one total interest rate that you'll earn each and every single month without having to make a certain amount of transactions or limit your number of withdrawal. So beck with this one, you might be going all right. Or a high interest savings account that just sounds a lot like your online savings account, You are absolutely correct. However, this could be at a physical branch as well. As
you know, being online. So your online savings account, let's just hypothetically call it ING, not an endorsement, just giving you a good example. It's ING that could actually be constituted as a high interest savings account, but it's only available online, so we're changing the rate of that. Obviously, when they're in person, in person companies, in person businesses more expensive to run back, so you're usually going to
see a lower interest rate. So instead of seeing something like four point two, you might be like seeing three point five to four point two, but they might not
be as stable as an online bank. An online bank is always, from my research, going to have the ability to give you a higher interest rate for a longer period of time because they have less overheads, and that's their main attraction, right, But everybody loves ING one because the Barefoot Investor was their biggest fan, but two because of the ease of access and the lower fees that are associated.
I was going to say, because it sounded great, great, great, I was like, where's this.
Usually it's just with a quote more expensive institution and therefore you might get less back. Does that mean that it's not a high interest savings account? No, it's still a high interest savings account, and you know what some of them could have. Oh hey, Beck, we're going to give you five percent if you sign up with us now. But you often see in person banks they will limit the period of time that you have that. So for someone like ing, they obviously hold the right to change
it at any point. But you know, you might go when A and Z and they'll say for the first six months, and they'll be a lot clearer about what those parameters look like. Just good to know. Does it mean that one's worse than the other. No, Again, it's about what works for you. And that's Beck, where we lead into the second last type of savings account that I want to talk about, and that's that introductory interest
savings account. So if you're willing to change your savings account on a semi regular basis, you could say an introductory interest savings account could actually be a good option for you. The accounts offer much higher introductory interest rates than I guess what you'd call the market average. However, they usually only last for about four months before reverting back to a base level, so you've just got to
read the terms and conditions. This is where it pays Beck because I know if I asked you, let's be honest, I know you well enough to be a little bit candid. If I said, beckd you read the terms and conditions? What are you going to say?
Definitely not?
But why is it? Cause You're like, I don't get it. It's not worth my time, it's not worth the energy. I guess.
I've never read a single T and C my life, and I fear why would I start now, even though it's something more important that's like money.
Let's be honest, Like if Apple's like, oh, we've updated our terms.
And conditions, not jumping on life.
If you're like no, no, no, They're like, well they're here to read it, and I'm like, hmm yep, yep, and then they're like, click this button. I read and understood the terms and conditions on them straight away. I would wonder I would love to see the statistics of quote, how long it took each person to read that document? Yes, because like, I'm sure that they have the tracking on the back end to go, oh, you know, bex terms and conditions. We sent her that update. Oh look, she
opened it zero point two seconds later. She had already read and agreed to the terms.
And conditions very fast reader.
Like, that's the biggest lie ever told. Yes, I've definitely read the terms and conditions anyway. But what I want you to do in these circumstances, because it's financially beneficial to you, is just have a look at the t's and c's. They will be in plain layman English. It won't be confusing, I promise. I think a lot of us don't do it, especially when it comes to banking and financial services products, because it's overwhelming. You're like, I don't know what this is, Like I don't really want
to have to go through it. But I promise they'll say introductory rate of you know, five percent for first four months, then we'll revert back to zero point five percent. Sure, so you actually know what you're signing up for, because if you don't want to have to change your bank account again in six months, yeah, probably not the product for you, beck, I guess.
If like, and this is probably really silly thing to say, because it depends on the person against absolutely not. Well, I was gonna say, like, personally, I would be going for an introductory one. Yeah, after four months, be like my and go to a different one that is like, we've.
Got to put the work in.
You've gotta put the work in.
Put the work in. And also depends how many of us say we're going to put the work in. And then don't I see this in the credit card space, because how many people have done zero dollar transfers or balanced transfers of their credit card to another credit card and they're like, smash this out of the water because now it's zero percent. Yes, so they do it. No, then they revert back to the higher interest rate. And I'm like, I don't want to be a debbie downer.
I don't want to be the bearer of bad news. But I can't be trusted, which means that a lot of you can't be trusted either. So we just need to be honest and go V would you actually in six months do that? I'll be like, I mean, if you forced me to, probably do it.
Sure, But if you happen to remember happened to be in a productive mood on the day that you remember, like.
My ADHD, He's gonna go do the list today of what the best bank account is and then we're gonna transfer to it, and I'm gonna get the motivation today to change it later down the track. I've already forgotten, babe. I'm looking at something else. But that's okay, because if you look at like someone like Jessica Ricci, Yep, she's a wizard. She definitely keeps up with stuff like that. She puts reminders in her calendar of like what time of the year to check these things, and like transfer that.
She is who we all want to be when it comes to money. But this is like a do as I say, not as I do kind of podcasts.
Sure you know so?
Anyway, moving on from interactory interest weight savings accounts to term deposits, you would have heard of a term deposit. I talk about it a bit more when we're talking about I guess investing, because it involves a bit more of a time commitment. So a term deposit differs slightly from a savings account on the premise that you actually can't make withdrawals from a term deposit until your quote term or the time limit has ended, whereas other savings
accounts they allow you to make withdrawals as necessary. Don't get me wrong, Beck, you will be able to actually withdraw your money in an emergency if it's in a term deposit, but you forfeit the money that you earned. Oh so you would They would say, oh, well that five percent, you don't get that because you terminated the
contract early. And that's part of it, right, Okay. The benefit of having money in a term deposit means it's locked away, which works very well for someone like me, out of sight, out of mind, can't touch it with a fixed interest rate paid out either at the end of the term or on a monthly or annual basis,
depending on how you've chosen. Usually a term deposit does require a minimum deposit, so they might go, oh, you have to have a minimum of five grand in this account, which in Australia the usual deposit is between five and ten thousand dollars For a term deposit. The term period can then range from a few months to many many years, and obviously the longer your term is for that usually
correlates to a higher interest rate being paid. So like if you were to lock in a term deposit for three months, they're going to go, well, it's not very long as it beck, We'll give you three percent. But if you would like to give us your money for a year now we're talking, does that make sense.
That does make sense, but I'm so confused as to like what the benefit for the holder is, Like, you know what I mean.
It's as safe a way to make money, so I don't want to say safer. It's a more conservative way to make money. So if we go back to, you know, the investment episodes, if you haven't listened to them, go and have a listen to them. They are really really important. We did like a mini series with Chares's which I think was really really powerful, and I'm quite proud of that work, to be honest. But you might be somebody who's not ready to bite the bullet with investing. Beck.
But you go, I still have like ten or fifteen thousand dollars sitting here not going to use that might be for a house deposit, might actually just be your life savings that you're like, well, I'm never going to touch it. It's not your emergency fund. By the way, we do not put our emergency funds in term deposits, do we, Beck, No, No. By the way I'm looking at you, you're like, oh, I knew that.
I just learned that right now, Which.
It's very different for an emergency fund. An emergency fund is a certain amount of money that you have allocated to be able to access in an emergency, and I want to talk about that because so many of you will go, well, it's not working for me. Is that? Like, if you're saying that I can get five percent back on my money, you may as well lock it in a term deposits not being used right now. No, no, no, You need to be able to access your emergency fund in an emergent by just going up to an ATM.
If you cannot do that, it is not in the right place. And that money is working for you. But it's not maybe working for money for you, it's working on your mental health and making sure you're financially secure in an okay position. Like to me, an emergency fund,
it doesn't actually have to be making money. When I was a bit younger and didn't have a mortgage, my emergency fund was in an online savings account, didn't have a debit card, but I knew that in an emergency, I could jump on my phone, transfer the money to my transaction account, and use it on my debit card if I needed to pay for anything. Sure, Now I have a mortgage, my emergency fund is sitting in an offset account to my mortgage because that just makes financial
sense for me. Sure, I could go on and on about emergency funds, and I have in like the last five years of podcasting.
She loves an emergency fund.
I adore an emergency fund. But when it comes to a term deposit, it could just be that happy medium between you're not ready to invest, but you also want your money working harder for you than it currently is and getting a bit of return, but you're also maybe not ready to dip your toes in the water when it comes to investing. You might choose a term deposit so that at least the money that you've made is now making some money, even if it's less. Does that make sense?
That does make sense.
It's a bit more of.
A secure hm.
I would say investment.
Okay, that is good to know, But I'm also curious about the actual bank. Why is it good for them?
Like?
How are they making money out of this?
I love this question. Okay, so banks make money, but you putting your money into their bank account, right, and that doesn't make sense? But what do you think they do with that money? They lend it to people who want mortgages and loans. Oh, so they're lending your money out. And as much as you probably didn't know this, and the banks are going to go no, no, no, we don't touch individuals like savings accounts. You've always got access to it, that is true, but they're funds under management.
So the total amount of money that they have in their kitty. Essentially, the more that they have, the more they can lend out. And right now, while interest rates are going up, the banks are essentially cacking their decks a little bit, Beck, because they're going to need some more money because people who are in debt are maybe not making their own payments, so it makes sense to go, oh, Beck, we're going to entice you a little bit if you put more money in your bank account. Obviously your ten
grand is not going to change the world. But if all the Becks in Australia are now putting more money into their bank account, that bank is more financially secure. So if you look at what it costs to get a mortgage at the moment, it will be higher than your average savings account. The savings accounts are always slightly under what the mortgage rate is for that bank. Right so banks are making money by you putting money in there and then they essentially lend the money out. Do
not get me wrong. That is an incredibly simplified version of what happens because obviously the RBA, so the Reserve Bank of Australia, they manage what's called the cash rate, and often banking and financial services institutions will borrow money from the government or borrow money from even bigger institutions to lend out. But one of the ways that they keep money coming through the door is to have you have your money sitting in an account that ultimately they
do have access to. Is it safe and secure? Yes, it's one of the reasons why the government has that guarantee scheme. Ye, it's why they go no, no, no, don't worry about e becleg you'll definitely get your cash back. But in the background they do have a lot more money to play with and lend out to other people.
Okay, that makes sense. I've always been curious about that.
I like that you asked, because it's one of those things that we often don't think about. Yeah.
I'm always like, Okay, we're putting our money.
Why are they paying me to have my money?
Yeah?
How are they making this money.
They are making a lot of money.
Okay, thee Now that I know how banks make money, my mind can be put to rest, and I think that let's go to a really quick break and on the other side of the break, the moment you've all been waiting for, including myself, the he's going to tell us her top five best savings accounts right now.
Don't go anywhere, guys, it's juicy.
Welcome back, OKAYV I'm so excited. We've talked about the ins and outs of savings accounts and outside for the moment of truth. What are your top five best savings accounts right now?
All right, Beck, are you ready for the top five best savings accounts?
I'm sorry, ready, joke's on you.
I'm going to do a caveat here because obviously they're not quote the best. They are just to the accounts that currently have the highest variable interest rate at the moment. I'm going to go through the maximum variable interest rate, who the institution is, what their standard variable rate is, whether there's an intro period or not, or if there's any conditions, and we're going to go obviously from lowest to highest. So you have to listen to the rest of my podcast.
That's very clean.
Yes, right, So first things first, we've got the me Home Me savings account, and this has come up because it is like, it's not just the top five. I actually have six to present because in typical Victoria divine fashion, I said, I want to present five of the top five accounts. But then I also found one and it's the number one one, but it has a few extra terms and conditions on it. Sure, that was like, it'll be like a little little something something on top, right, so we'll do the five plus one.
Good idea.
I'm just ruining the list for you.
Yeah, it's a very I think I'm following though.
Yeah, but top six anyway, So we've got the bank account and it's maximum variable interest rate right now, it's five point five to five percent. Sounds good, kind of sexy. Their standard variable rate is zero point five to five percent. They do need due to deposit a minimum of two thousand dollars each and every single month, which for some people is feasible. That's why it's on the list, my friend. And does it have the government guarantee? You ask, yes, it does.
Great standard variable rate means, is that like the average.
It's the default.
It's the default. Okay, okay, it's the default.
So you know how we're talking before about how they have shiny intro offers and they go, oh, here's this, you know, maximum variable rate, like this is the most you'll get from us. Sure they have complete control of being like, we don't do that anymore because obviously you can't predict what the market's going to do, and they need the flexibility to turn that off. So it will default back down to point five to five percent if everything hit the fan.
Ah, I see, thank you, so good.
Good. Number two, we've got Macquarie. So McQuary Savings account comes in at five point five zero percent beck, but their standard variable rate is four point seventy five percent. Whoa, so still a little bit higher. So that kind of looks a bit sexy. It's great for an intro period of four months. Ah gotcha?
I see.
Is there any monthly maximum rate conditions? No, there's not, So you could just use this as you go. I would just be wary of what happens when that four month intro period wears off. Then I feel like it's like one of Australia's favorite accounts just because of the barefoot investor, like he created this cult following with Ing,
So that is the I INNG savings maximizer. Okay, right now, maximum variable in interest rate a five point five percent drops back down to a standard variable interest rate of point five to five percent. It's ongoing. You do need to deposit monthly at least one thousand dollars and make five transactions.
Oh so, like they're encouraging you to spend.
They're encouraging you to use that as an account that transacts, So it's a savings maximizer. Usually you can't just have a savings maximizer account with Ing. You also have to have their daily account, in which case you would need to make those five monthly transactions.
Gotcha? Okay? And when you say transactions, like, would it count if I just transferred money from one savings account to a transaction account or do.
Every bank is going to be different, So what that looks like to Ing might look very different to NABB or you know, A and Z, which is fine. Again, you need to read your terms and conditions. But usually it's a deposit into or out of that account. It could be you know, you paying for your my key. It could be you transferring some money in from you know, a dinner that your friend. O. Do you cash from five? Standard usually transaction?
Sure?
Okay, so four we have the first option banks savings account. So that comes in at four point seventy five percent with a standard variable rate of two percent. Pretty good, it's on going too, oh, very good. So they're not going to go, oh, there's an intro period. No intro period, it's ongoing. But you do get this minimum deposit amount per month. Gotcha, it's only one hundred bucks. That seems that's a bit more reasonable.
I can deal with that a bit more.
Relatable, you know. Yeah, but you can't make any withdrawals.
Oh oh oh okay, they.
Just really want you to save.
That's actually really cute.
I kind of like it. I kind of like the trap. And that's why when we're talking about this stuff, it's like not one size fits all, Like you go, V, what should we be looking for? And I go, well, what's your criteria? There's so much stuff that you could be looking for. At the end of the day, you could be like, you know, talking about the type of account you want to have, or your interest rate, or
your minimum or maximum deposit. You could be talking about like fees or even goal setting, your capability and your time frame, like if you are the type of person that's like Becka me a bit impulsive, aren't we, bab Yeah, that's nothing, So I would say, like, we good at it together. It's why we need to produce it in the room with us at all times, all time to
stop us from going rogue. So that would work for me, beck But I'm also feeling like a little while ago on the show, you told us about how you have a money tin because you can't get the money out because it's in a tin, and I just feel like that might work for you too.
Yeah. Well that tim actually unfortunately wasn't strong enough for these big, strong hands.
Did you get the can opener out?
I did.
I got a lot of it's a bit naughty.
Anything I could I got out.
But I think this next time you do that, can you please film it? Make great contact?
I can do. This is why this would be perfect for.
Me and you.
Yeah, yeah, just based on that criteria completely. So beck I included the first option bank savings account in my number four slot because they had that four point seventy five percent. But then They also had that standard variable rate of two percent, which felt a little bit safer than the one I'm going to put in number five, even though their interest rate or their maximum variable interest rate was higher. It just felt like that made more sense to me, and it's my list, so I do
what I want, You do what you want. So coming in at number five is the Bank of Queensland Future Saver account. This future Saver account, it does have a little bit of criteria on it though, so it's for fourteen to thirty five year olds, HM, quite specific, which is why it kind of ranked a little bit lower than the other one, even though they have a higher
interest rate. Their interest rate is sitting at five point four percent, which is very nice, but their standard variable rate was zero point zero five percent, so that's obviously lower than the one before before we were talking about it. Two percent, yes, standard rate. So do you see why I might have like dropped it down a little bit.
Yeah, that makes sense.
Because I'm a bit rude. I didn't just go, oh, the highest interest rate is the best, which is exactly what we want you to do as well, because the highest interest rate does not equal the best. Because I obviously could rant about this for six million years, and I honestly have like I've done it for five years and we haven't slowed down there. But when it comes to the investment world, often people will say, be what's the best type of investment? And I can't answer that either,
not because I don't want to. But if you say the more specifically, what's the highest yielding type of investment in Australia? So what returns the most cash older, Well, it's shares, right, Whereas a lot of people will want to hear me say property or like their asset that they want to invest in. Pragmatically speaking, shares have outperformed the other three main asset types in Australia. So it's shares, then it's property, then it's fixed interest, and then it's cash.
Here in Australia. Right, there's a hierarchy. It's just how it works. Doesn't mean it's the right fit for you, Beck, absolutely not. Just because it's the highest return doesn't mean shares are the right thing for you to invest in. Yeah, absolutely, does that make sense? And they same with bank accounts. Highest interest rate does not mean best, say with throbernuation accounts, highest rate of return does not mean best. You need to look at the fees and the bells and whistles
and everything else that you get into it. Because as I said in my first book, and I got a lot of slack for this, I said, when you pay peanuts, you get monkeys. Some people didn't like that.
Well, though, that's fair enough. You don't want to be this is what I say. It's very similar. You don't want to be Trojan horsed.
No you don't, and that's what we're trying to save you from. Yes, So the Bank of Queensland, to carry on about them, they're intro period. There is none sexy good. But they do require a minimum monthly deposit of one thousand dollars and five eligible transactions eligible exactly. The word eligible means you need to read the terms and conditions. And then I wanted to like, do the little cherry
on top, yes please, which is again a high interest rate. Obviously, when I was comparing it, I put the first option bank higher than the Bank of Queensland. But then this is a Westpack account and it g it's like to be the cherry on top because it's a lower interest rate than the Bank of Queensland, but a higher standard
variable rate. Ah. So the Westpac Life account, which unfortunately is only for our listeners from the age of eighteen to twenty nine, has a maximum variable rate of five point two percent, but the standard variable interest rate is two percent. Very good, so it's a bit higher. No intro period, which is really nice. No minimum deposit amount, but you do have to have five debit card purchases each and every single month to get to that maximum variable rate.
Okay, so they want you to spend a little bit. They want you to treat yourself.
They do. They want you to like be active with their product. Yeah, which is not rude. They're literally paying you. Absolutely nobody owes you anything that could work for me.
Laugh.
I really like using your debit card. I do, so it's all good. I totally get it. But Beck, how do you feel about that? What are your thoughts, values, beliefs, and behaviors about this app.
This is really interesting because I am with Iron G and I've been curious that you are. Thank you. Well, I was really curious about the interest rate and stuff, and like wondered why I it never kind of applied to me. But it's because I'm not just depositing once.
Read the terms and conditions.
Did not read the terms and conditions, but this is really interesting. It's got me thinking, I'm assuming with Bank of Queensland you must be in Queenland.
No, it's just the Bank of Queensland. Oh, very good to know, Okay, like the A and Z Bank or the National Australia Bank, like they they're just names.
Yeah, I love this.
It's where it started, all right.
I think I'm going to have to read up on these and figure out what is best for week.
All right, well, let's hop off. I feel like you and I are probably going to dive deep into doing a little bit more research on what bank account might work for you because I really want to play with it too. Lucky us, But thank you for tuning in. I hope you guys have the best week and we'll see you bright and early on Friday.
Bye guys.
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