Savings question

[Deadmanza]

Hi All,

Just wanting to know what you financial types would recommend.

I currently have an FNB Platinum cheque account and am wanting to put away some "emergency" cash for when/if the brown stuff hits the fan.

I have a savings pocket attached to my account and was wanting to know if its worthwhile to use?

TIA

 

[Tinuva]

Savings pocket is good for easy ebucks reward level points. I don't know about saving so much.

Also, the other banks, like Nedbank and Standard bank have better interest rates on their money markets vs the money market from FNB.

If you have 10-20k to start with, go for a money market. If less, start with like a 30 day notice deposit, work your way up to 10-20k, then move it all to a money market. Then work your way up to fixed deposit split with a money market so you still have access to immediate cash and get better savings, depending on how far you go.

That said, depending on what you are saving for, banks are slow saving.

 

[semblance]

Get a Capitec account for saving money with quick access. Interest rate will probably better.

 

[Deadmanza]

Savings pocket is good for easy ebucks reward level points. I don't know about saving so much.

Also, the other banks, like Nedbank and Standard bank have better interest rates on their money markets vs the money market from FNB.

If you have 10-20k to start with, go for a money market. If less, start with like a 30 day notice deposit, work your way up to 10-20k, then move it all to a money market. Then work your way up to fixed deposit split with a money market so you still have access to immediate cash and get better savings, depending on how far you go.

That said, depending on what you are saving for, banks are slow saving.

Just looking to squirrel away some cash in case of an emergency.

Trying to be a little more financially responsible.

 

[bromster]

The fees on your platinum cheque account probably outweigh any interest you would earn on your savings. I had one, and a standard bank Prestige Account, but eventually you will realise that the call centre is just as crap, the Slow Lounge access has been made frustratingly difficult to earn and the only thing you really get from your account is a fancy card.

 

[Deadmanza]

The fees on your platinum cheque account probably outweigh any interest you would earn on your savings. I had one, and a standard bank Prestige Account, but eventually you will realise that the call centre is just as crap, the Slow Lounge access has been made frustratingly difficult to earn and the only thing you really get from your account is a fancy card.

What do you recommend? Downgrading?

 

[Alton Turner Blackwood]

Because I'm lazy, I just transfer some cash from my Standard Bank cheque to a 32day notice deposit to avoid the temptation of using it.

As the balance grows I'm also starting to put it in a higher interest bearing account. 2% is a joke

 

[Deadmanza]

Because I'm lazy, I just transfer some cash from my Standard Bank cheque to a 32day notice deposit to avoid the temptation of using it.

As the balance grows I'm also starting to put it in a higher interest bearing account. 2% is a joke

Was thinking of opening a 30 day account, temptation can be a problem

 

[Alton Turner Blackwood]

The fees on your platinum cheque account probably outweigh any interest you would earn on your savings. I had one, and a standard bank Prestige Account, but eventually you will realise that the call centre is just as crap, the Slow Lounge access has been made frustratingly difficult to earn and the only thing you really get from your account is a fancy card.

This is completely off topic, but I haven't seen the inside of a branch for at least 4 years, simply because of the Prestige call centre. So, maybe I'm just lucky.

 

[bromster]

What do you recommend? Downgrading?

Yes. Changing banks is a pain, but downgrading to gold or something within FNB would save you big time, unless you specifically wanted the benefits of the platinum account.

 

[Deadmanza]

Yes. Changing banks is a pain, but downgrading to gold or something within FNB would save you big time, unless you specifically wanted the benefits of the platinum account.

Will maybe look at dropping to something like a gold account, don't use any of the platinum benefits as far as I can tell.

 

[mandana]

I use my Savings Pocket for the ebucks rewards (2k balance) and I also use the "Bank my Change" option on the Savings Pocket and was suprised to see how the balance grew over the year.

The suggestion of opening a Capitec account is the option I chose for my savings.

 

[Deadmanza]

I use my Savings Pocket for the ebucks rewards (2k balance) and I also use the "Bank my Change" option on the Savings Pocket and was suprised to see how the balance grew over the year.

The suggestion of opening a Capitec account is the option I chose for my savings.

I have had the bank my change option activated and it doesn't work for some reason.

 

[Deadmanza]

Ok guys I am going to be looking to save R4k a month for 1 year, what would be the best way of doing this?

 

[envo]

I have had the bank my change option activated and it doesn't work for some reason.

They deposit the money on a weekly basis, so if you have only recently activated it, you won't see it go into the pocket yet. Wait a couple of weeks, then you'll see it coming in slowly. I saved R3800 like that over the course of a year

 

[mandana]

You also need to tell the bank how much you want added to the "Bank Your Change" option. Mine is on R5 per swipe now...

 

[OrbitalDawn]

Ok guys I am going to be looking to save R4k a month for 1 year, what would be the best way of doing this?

Why not actually invest the money instead of leaving it to depreciate in a bank account?

You get instant access to your funds without penalty with Allan Gray unit trusts, for example, and the returns on that will be about 3x more than with the best bank account.

 

[wizdumb]

Why not actually invest the money instead of leaving it to depreciate in a bank account?

You get instant access to your funds without penalty with Allan Gray unit trusts, for example, and the returns on that will be about 3x more than with the best bank account.

which of theirs would you be inclined? the AG Equity Fund?

 

[OrbitalDawn]

which of theirs would you be inclined? the AG Equity Fund?

Yeah, the Equity Fund is a bit more aggressive which is good if you're relatively young and can monitor it a bit more.

The Balanced Fund is a bit more conservative, and is regulation 28 compliant (which regulates exposure to different asset classes), so it's a very safe bet.

 

[JStrike]

You also need to tell the bank how much you want added to the "Bank Your Change" option. Mine is on R5 per swipe now...

Anyone know how to do this in internet banking? Don't feel like calling