High interest savings accounts

Why you should consider opening a high interest savings

For the Australians in particular, there has never been a better time for the application of a high interest savings account, particularly with new bank offers such as Commonwealth Banks' Netsaver 'and BankWest of' Telenet Saver '.

With such strong competition in the Australian banking market, banking firms have no choice but to continue to offer savings accounts and releasing new features with better and better.

Regardless of your socio-economic situation, also having a lower amount of funds in a savings account can compound relatively fast. It provides even less incentive to spend, as commonly, these accounts are not accessible by ATM / Eftpos machines.

Having a separate account interest is reduced to a greater efficiency of storing your money on a traditional current account, by higher interest payments.

They also include extra bonus of saving, such as interests in more if withdrawals were made over a period of time.

According to research conducted by the Bank and Financial Services Association, between 1990 and 2006, the Australian statistically saved an average of about 2.88% of their disposable income - the lowest of all westernized countries. This is far less than the amount of France, for example to 12.1%, which is not yet the leader in the saving disposable.

Be wary of the fine print

Be very careful and make sure you analyze the terms and conditions of your potential new high interest savings account closely.

Although most are truly beneficial, some have negative attributes such as HSBC 'very seriously Saver', which only compounds and adds interest when there are samples to be there for the entire month.

Leaving aside the problems of this type, take care not to avoid the cost and paying regular payments to avoid penalties more severe, or dishonored, bad credit rating.

You have enough discipline to save your money?

Like many, the incentive of the excess funds mixed with sudden impulse spending are hard to ignore. For most of the savings (in particular online savings accounts), you need a commitment to withdraw the funds, reducing the chance that you withdraw funds unnecessarily.

If you believe you can effectively control the amount of money you withdraw and save, then a Cash Management Account, which allows money withdrawn at your fingertips any time, would be best suited for your lifestyle .......