Best way to compare bank accounts in Australia

The most common account used by the general population in Australia is called a transaction or day to day account. These accounts have ATM access and an EFTPOS card, telephone and internet banking and you can pay your bills by direct debit with some accounts having a cheque book facility a few banks offering a visa debit card. These accounts are used by people who wish to have their wages deposited into their account, for day to day expenses and paying bills.

In order to get the most from your account comparing what each institution has to offer by way of options and facilities associated with the different accounts, what fees and charges are associated, what are the interest rates. On a more practical level, which banks are going to be the most convenient for you? If you are going to need to visit your branch on a regular basis you do not want to travel out of your way just to get there.

Most banks have a range of pamphlets which explain the accounts and tell you about the fees and charges applicable on each account. Visit the branch and have a look at the brochures and take them home and compare or alternatively speak to one of the tellers on the enquiry desk and they will be able to advise you which is best for your situation. This will also give you an idea of the level of customer service. You will be able to assess how help the staff are and how long the queues are at that branch.

When it come to the question of interest bear in mind that Transaction accounts attract very little interest usually between 0.1 to 0.5 per cent so if you are using this account for day to day banking you are not going to see much in the way of interest. However, should you often have amounts of  $1,000 or more that sit it your account for a while, it would be wise to look at an account that attracts a higher rate of interest.   These savings accounts are often referred to as advantage saver accounts, deposit accounts or investment accounts. These accounts are for medium to short term savings and can be instant access or a term deposit. Again, speaking with bank staff will help you decide which is best for you. With instant access accounts the interest rates on these account are usually dependant on your balance, is you have deposited funds during the months and if you have made one or more withdrawals. Term deposit interest is calculated on the amount in the account and the term the funds are deposited for.

Whilst most financial institutions work on the same principals there are various different accounts, fees and charges to be considered. The bank and type of account you choose should suit your purposes and give you flexibility when managing your money.