Mobile payments double in popularity this Christmas period

Mobile payments double in popularity this Christmas period

Tis the season to spend, spend, spend with a mobile payment platform.

New research from ANZ has found that the use of mobile payments in October and November 2018 has grown more than 100 per cent compared to October to December 2017.

Further, customers used their mobile device to pay for things 120 per cent more in October 2018, compared to the same time last year.

The most popular categories for mobile payments during the silly season are department stores, delivery services, electronics, beverages and hardware. Throughout the rest of 2018 the most popular categories for mobile payments were supermarkets, petrol stations and cafes.

This shows a clear distinction between how Aussies switch from spending on everyday things to more holiday-related items once October hits.

ANZ Customer Engagement Lead, Kath Bray, said “customers are using their devices to pay for a broader range of things more often as people get used to this technology.”

“We expect this growth to continue into 2019 and beyond,” Ms Bray said.

RateCity research found that ANZ customers can enjoy the flexibility of access to Apple pay, Google pay and Samsung pay.

This puts them at an advantage compared to other big four banks, with NAB and Westpac still not offering customers Apple pay.

Last Thursday, CommBank announced it was adding Apple pay to its mobile payment platforms, bringing it up to par with ANZ.

Find out if your bank offers mobile payments now:

 

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How to make money with a savings account?

Savings accounts make you money by earning interest on your savings. The more money you deposit, the longer you leave it in the account, and the higher the account’s interest rate, the more interest you’ll be paid by the bank or financial institution, and the more your wealth will grow.

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Opening a savings account is a relatively simple process. If you’ve found an account with a suitable interest rate, you’ll just need to get in contact with your chosen lender via a branch, phone call or hop online to begin the process. 

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Some banks and financial institutions allow parents to open a bank account for their child as soon as it is born, and start depositing funds to go towards the child’s future.

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Can I overdraft my savings account?

A lot of savings accounts won’t let you overdraw. Some will allow this feature but you’ll need to apply first. It’s best to read the fine print and check with your lender whether this is a feature they offer. It can be a helpful addition, but as your lender can charge you a fee as well as interest for going into negative numbers, it’s best to avoid overdrafting when possible.

What is the interest rate on savings accounts?

As banks frequently change their rates, the most accurate way to look at interest rates on savings accounts is to use a savings accounts comparison tool. When you look at the savings rate check what the maximum and minimum rates are. Often banks will offer you a promotional rate for the first few months which is competitive, but then revert back to a base rate which can sometimes be less than inflation. Ongoing bonus rates are often a safer bet as they will keep rewarding you with the maximum rate, provided you meet their criteria

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As banks frequently change their rates, the most accurate way to know who currently has the highest interest rate is to use a savings account comparison tool.

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It’s not usually possible to set up a direct debit from your savings account to cover ongoing expenses or bills, as savings accounts are structured around growing your wealth by earning interest on regular deposits, and discouraging withdrawals.

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A good rule of thumb to keep in mind with savings accounts is to look for a rate that is higher than the CPI inflation rate. This number is constantly changing, so check the Reserve Bank of Australia’s page. If you aren’t earning interest above this then the value of your money will go backwards over time.

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