If women are set to inherit much of the world’s intergenerational wealth over the next decade, it’s time to start thinking about how you can get the best savings rate at the negotiation table.
Approximately $US30 trillion in wealth is set to change hands in the next decade and women are poised to inherit a big share, according to research by McKinsey & Company published in 2020.
In Australia, wealth gender gaps current exist in property and superannuation retirement savings and the balance does favour women.
That said, this global trend of inheritance is also expected to be felt on our shores, and many women will find themselves beneficiaries of a wealth transfer from the baby boomer generation. This is also coming at a time of increased female workplace participation and women’s financial progress, according to the Financy Women’s Index.
So if you are looking to invest in property or park some money in a cash account, it’s time to be savvy with your negotiations and nab yourself the best deal.
Here’s the low down on what rates are currently doing, according to financial comparison website Canstar.
- 5 lenders cut 10 variable rates by an average of -0.16%
- No lenders increased variable rates
- 7 lenders cut 53 fixed rates by an average of -0.33%
- 6 lenders increased 22 fixed rates by an average of 0.19%
- The average variable interest rate for owner occupiers paying principal and interest is 3.22% and the lowest variable rate is 1.77% (60% LVR) or 1.99% (80% LVR)
- The average variable interest rate for investors paying principal and interest is 3.56% and the lowest rate is 1.89% (60% LVR) or 1.99% (80% LVR)
- 1 provider cut 1 base rate by -0.05%
- 4 providers cut 4 bonus rates by an average of -0.09%
- 2 providers cut 2 promotional rates by -0.05%
- Bonus savings accounts: The maximum rate is 1.35% and the average rate is 0.65%. BOQ has a rate of 3% available for 14 to 24 year olds for balances up to $10,000 and Westpac has a rate of 3% available for 18 to 29 year olds for balances of up to $30,000
- Promotional savings accounts: The maximum rate is 1.50% (available for a 4-month period) and the average rate is 0.63%
- Ongoing savings accounts: The maximum rate is 0.90% and the average rate is 0.24%
Term deposit rates
- 4 providers decreased 27 term deposit rates by an average of -0.13%
- 1 provider increased 2 term deposit rates by an average of 0.05%
- The average 1-year term deposit rate is 0.51% and the maximum rate is 1.00%