Help with your banking – Reduce banking fees – Tips from NAB – MoneySmart

Have you seen out latest bank statement? No. Why? There’s all these extra fees and charges. Like what? Well like $22 in ATM fees for a start. Have
you been getting cash out of other banks ATM’s again? Um, I’ll give the bank a call and check it
out. Most bank accounts have fees and charges of
some sort so it’s a good idea to shop around and find a bank account with low or nil charges. To reduce your ATM fees, only withdraw money
from your own bank’s ATM’s, or withdraw money from EFTPOS while shopping. If you can access the internet you can check
your account balance for free. Speak to your bank about setting up internet
access to your account. If you have direct debit payments, make sure
enough money is in your account on the date the payment is due. If not, you may be hit
with overdrawn and dishonour fees. Defaulting on repayments can also lead to
a bad credit report, which can effect your ability to obtain low cost credit in the future. Did you know we get charged two dollars every
time we use another bank’s ATM? Yes I did. Well I’m not going to do that again. Good.
Now take out the rubbish. I have got the new statement here. We have
cut down our fees by half. But what’s this interest charge that we always
have to pay? Interest is the money we agreed back when
we borrowed the money to get the car fixed. So when you borrow money, you have to pay
back more than you borrowed? Yes. What is credit? When you borrow money from a bank, credit
union or any other lender, this is known as getting credit. If you obtain credit you have
to pay the money back, plus interest. Different lenders charge different interest
rates. Payday lenders and credit cards have higher interest rates, while banks and credit
unions have lower interest rates. Before signing up for credit you should compare
credit deals and lenders, research how much interest you will have to pay, the total amount
you will have to repay, and what the weekly or fortnightly repayments will be. If you are having trouble obtaining credit,
you may have a bad credit rating. This is a report that holds any unpaid or
late payment information. Lenders access this information before giving out credit. So, we’re able to get a low interest rate
loan just because we had a good credit rating? Well I shopped around and found what we could
afford the repayments on, they checked out our credit history and said OK. I knew you were more than just a pretty face. Get out. To obtain a copy of your credit report, contact
VEDA Advantage on 1300 921 621 or visit their website. For more information on banking services and
credit, speak with an Indigenous Money Mentor or a Financial Counsellor.

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