We sat down with Mozo’s Data Services Director, Andrew Duncanson, to talk about the awards, Greater’s win and why choosing the best savings account for your children is an absolute must.
So, what are the Experts Choice Awards?
AD: A few years ago, we started the Experts Choice Awards to help make it easier for Aussies to make informed choices about the best value banking products for them.
Most recently, we awarded products in the 2017 Deposit category, which covered 338 kids and adults savings accounts, term deposits and bank accounts from 78 banks, credit unions and mutuals.
That’s a lot to wrap your head around - it’s no wonder some people find it tough to compare properly. But with these awards we’ve taken the hassle away for everyday Aussies by doing the comparison ourselves.
How were the categories chosen?
AD: This year, we made some changes to the category names to better reflect the purpose of the awards and make it even easier for people to work out which products are the right ones for them. We wanted to focus on the types of savers who might benefit from the winning accounts.
For example, we split the savings account category between No Strings Savings - accounts where you’ll get great value without lifting a finger - and Regular Saver, where you can earn bumper rewards by meeting certain conditions. That way, whether you’re hands-off with your money or someone who’s proactive about your balance, you can find the right product for your needs.
What made the Life Saver Account a standout?
AD: The Greater Life Saver account won in the Pocket Money Regular Saver category, which recognises kids accounts that offer tiny savers the chance to boost their interest by regularly banking their allowance.
The main criteria winners had to meet was that they had no monthly account fee, unlimited internet transactions and no notice period for withdrawals - plus, they had to have a generous ongoing bonus interest rate up for grabs.
The Life Saver ticks all those boxes and what’s more, makes it super easy for kids to earn bonus interest, since all they need to do is increase their account balance each month. Plus, the 3.00% interest on offer is higher than many adult savings accounts at the moment - it’s certainly not a bad way to kick off your kids’ finances.
Why is it so important for parents to choose a great savings account for their kids?
AD: Choosing a savings account may be one of the first steps you take toward setting your kids on a good financial path.
Not only does a great value account with bumper interest mean your kids will have a nice rainy day fund built up by the time they’ve got to start paying their own way, but it can also be the start of a lifelong savings habit.
And if you opt for a kids savings account with bonus rates, then it’s a good chance to start teaching your kids more complex financial responsibility - they can learn that regular saving comes with rewards, while spending splurges can have long-term effects on their balance.
Andrew Duncanson is Mozo's Data Services Director. His aim is to pass on his knowledge to everyday consumers to help them find a better deal on everything from their banking to energy plans.