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How Dissecting Your Bank Statement Can Save You Cash


Where’s the savings?

Where’s the love for your future self? Sorting your financial security should be your number one pay priority. Automatically put 10 per cent of your salary aside for emergencies, or when you’re earning nothing.

The cost of BPAY

It’s a little-known fact that if you make a BPAY payment from your credit card account, you don’t get reward points. You could, however, maximise points by putting everything through a credit instead of debit card, and paying these bills on the phone or online. Just don’t attract a credit card surcharge for the privilege – points will never compensate. And always clear your card at the end of the month.

Tap’n’go technology

Tap’n’go technology is fast, efficient and safe (liability for fraud rests with your institution provided you tell it immediately if you lose your card). Keep track of how much you spend and be aware that these transactions don’t show up in your closing balance for several days.

Account-keeping fee

Stop. Paying. This. You can now get entirely fee-free transaction accounts – no monthly fee or transaction fees. And it might be as easy as ringing your existing institution and asking.

ATM withdrawal fees

ATM withdrawal fees are just a waste, full stop. Think ahead to when you will need money, and always use the cheapest way to get cash. For example, using eftpos to get “cash out” when you shop.



Direct debit

Beware of dedicated direct debit facilities – each payment might hide a processing fee of, say, $2.75. That’s every time. Plus, the business you’re paying might levy a load for periodic rather than full payment, so set up a free, recurring transfer instead.

Micro-transactions

We all need a guilt-free fritter fund, but are micro-transactions costing you a small fortune? Check your statement to estimate what you spend on them in a year. Plus, there are plenty of credit cards that don’t levy a foreign transaction fee for your online shopping.

Find a better deal on utilities

Are you a bill “D.I.L”? What I call Digitally Induced Laziness sees us stick on old, expensive contracts and plans because payments whiz automatically out of our accounts. Smart banking; disastrous budgeting. Your telecommunications and electricity are the two most likely places to save money – call them now and ask for a better deal.

Dishonour fee

Now these are silly. You can set up what’s called a sweep function from a linked savings account, which has a bit of cash in it, for this kind of “timing” issue. It literally sweeps money from this account into your transaction account if you would otherwise have a payment bounce or go overdrawn.


Nicole Pedersen-McKinnon is a TV regular and founder of TheMoneyMentorWay.com. Follow her on Twitter at @NicolePedMcK.

This article was featured in the July 2015 edition of marie claire Australia.


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