How much thought do you put into your bank accounts? For many Tasmanians, they go to their bank of choice, open a couple of everyday banking accounts, and call it a day.
An everyday account is perfect for just that, the everyday expenses. These accounts are made for the money to come in (your pay) and then go right back out again (your bills, subscriptions, and Friday night bevvies). However, an everyday banking account isn’t the only account you should have.
Why get a savings account? Well, we’re glad you asked:
1. It generates interest. Consider a savings account a low-risk investment, where you earn interest on top of your savings. This interest is a growth opportunity you can’t get from an everyday account or the piggybank sitting on your bedside table. Tip: look for an account that rewards you for saving.
2. You’ll be prepared for emergencies. Life is full of surprises, which is why a savings account is the perfect home for your rainy-day fund.
3. It may reduce the temptation to spend. Out of sight, out of mind. Separating a portion of your income into a savings account reduces the amount of money readily available to spend. Tip: Bank of us customers have the option to hide their savings accounts from their SmartBanking App, so they can only withdraw from their savings account in-store. Get in touch if you’d like our Customer Experience team to set this up for you.
4. You can save without effort. Simply use Internet Banking to set up an automatic transfer from your everyday account to your savings account and grow your savings easily.
5. Your cash is protected. A savings account is much safer than putting your money into a higher risk investment or leaving it under your bed.
6. It’s always accessible. If you do need to tap into your savings for any reason, you've got a lot of options. You can visit us in-store to withdraw some cash, or you can jump online or use our SmartBanking App to transfer from your savings account to your everyday banking account to use for online purchases or to withdraw via ATM (unless you’ve taken our tip in reason 3). But as always, when considering a new bank account, we recommend checking the relevant terms and conditions to see if any transaction limits or fees apply.
7. It will help you achieve your goals. Consistency is key - regular deposits into a savings account will ensure your savings account balance is growing and will keep your interest income building. It will only be a matter of time before you’ve reached your savings goal!
So, you might have decided that a savings account sounds perfect for you and your personal situation. But what now? Where to start?
The small, small print: Please note this information does not take into account your personal circumstances and is general advice only. Before opening any Bank of us account, please read the Account & Access Facility Conditions of Use, Summary of Accounts, Availability of Access Facilities and Transaction Limits and our Schedule of Fees and Charges and decide if the account is right for you.