JMcKie Posted November 26, 2020 Share Posted November 26, 2020 Hi All, Me and my Aussie partner will be moving over some time in the New Year. We currently have personal and shared Monzo accounts here in the UK, I've been reading a few articles about what Australia's equivalent options are. Just wondering if anyone has any suggestions? Quote Link to comment Share on other sites More sharing options...
Wanderer Returns Posted November 27, 2020 Share Posted November 27, 2020 16 hours ago, JMcKie said: Hi All, Me and my Aussie partner will be moving over some time in the New Year. We currently have personal and shared Monzo accounts here in the UK, I've been reading a few articles about what Australia's equivalent options are. Just wondering if anyone has any suggestions? UBank has a combined current and savings account system (USave + USpend), which pays 1.31% interest on your savings if you pay in $200 every month. No annual fees. https://www.ubank.com.au/banking-overview/savings-accounts Quote Link to comment Share on other sites More sharing options...
mt9754 Posted November 28, 2020 Share Posted November 28, 2020 (edited) Xinja, Up, 86400 and Revolut are the main ones. Unfortunately you need to be onshore with a permanent address in order to sign up to any of them. Some require TFN if you want to open savings pots. We have tried Xinja and Up, with Up being better. Revolut offering didn’t look great and 86400 we had trouble registering but we thought that one looked best. Worth mentioning all savings interest accrues income tax out here . Means once you have a little emergency fund it’s best to pay off debts like Mortgage rather than save. Edited November 28, 2020 by mt9754 2 Quote Link to comment Share on other sites More sharing options...
Parley Posted November 28, 2020 Share Posted November 28, 2020 15 hours ago, Wanderer Returns said: UBank has a combined current and savings account system (USave + USpend), which pays 1.31% interest on your savings if you pay in $200 every month. No annual fees. https://www.ubank.com.au/banking-overview/savings-accounts UBank is owned by NAB too so is very safe. 2 Quote Link to comment Share on other sites More sharing options...
Wanderer Returns Posted November 28, 2020 Share Posted November 28, 2020 5 hours ago, mt9754 said: Worth mentioning all savings interest accrues income tax out here . Means once you have a little emergency fund it’s best to pay off debts like Mortgage rather than save. That's assuming you only ever intend to keep you savings in a savings account which currently have shockingly low interest rates. There are other investment options which over time are likely to generate a much higher rate of return than your mortgage interest rate. I would've have thought that an emergency fund should be for emergencies, and not other purposes. 2 Quote Link to comment Share on other sites More sharing options...
mt9754 Posted November 28, 2020 Share Posted November 28, 2020 4 hours ago, Wanderer Returns said: That's assuming you only ever intend to keep you savings in a savings account which currently have shockingly low interest rates. There are other investment options which over time are likely to generate a much higher rate of return than your mortgage interest rate. I would've have thought that an emergency fund should be for emergencies, and not other purposes. I meant after you have set aside money for an emergency then any additional money is probably best spent paying down debts. Even in a locked-in risky 4% investment, you’re unlikely to beat paying down debts after you’ve deducted tax (assuming 33% to 37% income tax). 1 Quote Link to comment Share on other sites More sharing options...
Wanderer Returns Posted November 29, 2020 Share Posted November 29, 2020 15 hours ago, mt9754 said: I meant after you have set aside money for an emergency then any additional money is probably best spent paying down debts. Even in a locked-in risky 4% investment, you’re unlikely to beat paying down debts after you’ve deducted tax (assuming 33% to 37% income tax). If you're talking about credit card debt, then I'd agree, but a mortgage is a long-term, low interest loan with structured payments. With interest rates as low as they are at the moment, it really isn't worth considering paying it off. If you want to avoid those higher tax rates of income tax then salary sacrificing into your Super is a better option (assuming you can afford to do so). Quote Link to comment Share on other sites More sharing options...
Marisawright Posted November 29, 2020 Share Posted November 29, 2020 5 hours ago, Wanderer Returns said: If you're talking about credit card debt, then I'd agree, but a mortgage is a long-term, low interest loan with structured payments. With interest rates as low as they are at the moment, it really isn't worth considering paying it off. If you want to avoid those higher tax rates of income tax then salary sacrificing into your Super is a better option (assuming you can afford to do so). ....and assuming you are PR and not planning to head back to the UK at any point. 2 Quote Link to comment Share on other sites More sharing options...
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