Westpac introduces debit cards for eight-year-olds
Westpac offers debit cards to eight-year-olds, how to buy a slice of Olympic gold, and good news for Kiwis living in Oz. Here are five things you may have missed this week.
Westpac offers debit cards to eight-year-olds
There was a time when childhood meant Disney movies, reading under the doona by torchlight and earning enough pocket money to buy a Paddle Pop.
Not anymore. Today's youngsters are under pressure to hone their financial skills.
This week saw Westpac make debit cards available to children as young as eight years, down from the bank's previous limit of 14 years.
The move is in response to Westpac's Youth Money Report, which shows more than half (53%) Aussie parents want their children to have a debit card to teach them about money.
Chris Brell, Westpac's acting managing director of cash and transactional banking, says lowering Westpac's debit card age limit to eight will help children learn financial skills.
The debit card, which comes with Westpac's Choice Youth account, has several safety features such as spending limits, and blocks on high-risk transactions like spending at bars, nightclubs, alcohol and tobacco.
It's hard to see an eight-year-old gaining entry to a nightclub with or without a debit card, however several other banks also offer debit cards to very young children.
CBA's Smart Access Account for Youth comes with a Debit Mastercard available to children aged nine years. Great Southern Bank's Everyday Youth Account has a Visa Debit card available to 10-year olds.
Olympic gold goes under the hammer
Aussie athletes are hoping for a solid medal haul at the Paris Olympics, but closer to home the rest of us can battle it out for Olympic gold at a Sydney auction next week.
Up for grabs is a hefty 1-kilogram gold coin with a face value of $3000, which is heading for sale at auction on July 30.
The coin was produced by the Royal Australian Mint in 2016 to celebrate Australia's Rio Olympics team and is one of only five minted.
With a 9999 purity, the coin is expected to sell for more than $100,000 according to Noble Numismatics. The current price for a kilo of pure gold is around $118,000.
Despite tapping into Olympic spirit, the gold coin may not be the frontrunner for the highest price on the day. The auction also features a NSW five shilling or holey dollar dated 1813, which could sell for $200,000.
Kiwis able to apply for low deposit first home scheme
Kiwis living in Oz have just scored an Olympic-level win.
Around 670,000 New Zealanders call Australia "home", and many may now be eligible for the Home Guarantee Scheme (HGS).
The scheme lets first home buyers buy a place of their own in Australia with just 5% deposit and zero lenders mortgage insurance. Solo parents may need as little as 2% deposit.
The HGS, which added 50,000 new places on 1 July, is open to Aussie citizens and permanent residents.
To be eligible, Kiwis need to hold a Special Category Visa Subclass 444 (SCV), which sees them regarded as permanent residents for the HGS.
Over 150,000 Australians have purchased a home under the HGS over the past four years.
For more details head to the Housing Australia website or talk to your mortgage broker.
Charity sector set for major reform as government aims to double donations
The Productivity Commission's report on charitable giving, titled Future foundations for giving, has been made public, and it says the current system of determining which charities can receive tax deductible donations is not working effectively.
The Commission has suggested several reforms including enhancing access to charitable networks for First Nations people.
Aussies are generous givers. Over $13 billion was donated to charities in Australia in 2021 and 6 million people volunteered in 2022.
Nonetheless, recent decades have seen a decline in the number of people donating to charity. Those who do give are giving more.
Over 25,000 charities are currently registered for tax deductible donations. The Productivity Commission says that under its proposed reforms this could expand to as many as 40,000.
Assistant Minister for Charities, Andrew Leigh says the report will shape policies that help the Australian Government reach its goal of doubling charitable donations by 2030.
How much can you really save with an EV?
The price of electric vehicles (EVs) has been falling fast thanks to a rapid rise in the number of manufacturers jumping into the market.
EV enthusiasts can now pick up a GWM Ora, Australia's cheapest EV, for under $36,000.
But will you really save on a daily basis?
Compare the Market has crunched the numbers, finding that EV owners in Sydney and Brisbane spent between $897 - $1,536 less per year on car running costs compared to petrol car owners.
The research compared the electric BYD Atto 3 with the petrol Toyota Corolla Cross across a range of regular expenses. Estimated running costs for the EV were up to 9.3% lower than for the petrol car.
The savings aren't just about fuel.
A number of lenders offer 'green rates' on loans for EVs, which Compare the Market says can be 2.47% cheaper than regular car loan rates.
One area where EV owners are unlikely to save is insurance. Premiums for comprehensive cover can be around $500 higher for EVs. That's because the cars use different technology and usually require specialist expertise for repairs.
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