How to sort your banking #21DayMoneyChallenge

Getting your banking sorted might seem like a hassle, but it can save you thousands. Take a few minutes today to do something to get your banking sorted. If you can’t do it all today, schedule time for it later in the week to complete this part of the 21 Day Challenge.

Check all your banking

Check every single bank account, credit card, personal loan, mortgage or other banking items you have. Do you need them all? What kind of fees are you paying on them? How much interest are you being charged on your debts? When is the last time you refinanced your mortgage or made sure you are getting the best deal?

Go to every account you have and check the interest rates, the monthly fees and other charges with them all and write them down.

Now you know how much banking is costing you, take some time to make some changes!

Decide which accounts you need

You definitely need a savings account and an everyday account, plus if you own a home, then a mortgage comes with that generally.

You might want to set up a separate account for bills, investing or sanity money (sanity money is money you can spend on whatever you want. I recommend having a set amount each pay for yourself). Work out how many accounts you need and how you want it set up.

Compare accounts and look for a better deal

Once you find a better rate or account you can either apply and switch (which may impact on your credit rating) or you can call your bank and negotiate a better rate. Think about it, a difference as small as 1% on the average Australian mortgage (which is $380,000) can actually mean a difference of $60,000+ over the course of a home loan! That is more than some people earn a year! For mortgages, my preference is to go with a good, reliable mortgage broker rather than try to sift through all the loans myself. A good broker is one who has your best interests at heart, wants to keep you as a long term client (you are likely to refinance a few times over the course of your home loan) and someone who will understand you needs, answer and listen to all your questions, taking all of the information into account to give you great home loan options.
Alternatively, you can do the research yourself. Make sure you check the interest rates, exit fees, monthly fees and all the features and benefits of the loans to ensure you get the right one for your circumstances.

With day to day banking, my favourite bank is ING. I have been with them for almost a decade and while I have tried other banks in that time, ING has had the best features. If you want to join ING and get $75, use the code CNW116 here.

How much can you save on your banking?

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