Free Savings Account when you Apply Online

Having a free bank account of any kind seems like some kind of fantasy, and even when a credit card waives the annual fee it’s because you have a home loan with the same bank, and when you get free transactions on your everyday account, there’s usually a limited amount. So a free savings account would be like a dream come true, well, dare to dream because you can safely and easily deposit your savings in an account where they’ll never be eaten away by fees, and here we show you the pros and cons of that decision.

What is a Free Savings Account?

When you are comparing high interest savings accounts and wondering about the merits and the truth behind a free savings account, you should know that a free savings account will be well and truly fee free. A free savings account will not make you follow conditions to avoid fees, nor will you have to maintain a certain balance or jump through any similar hoops. A free savings account:

• Will not charge you to open the account.
• Will not charge you to deposit to the account.
• Will not charge you to withdraw from the account.
• Will not charge you to check your balance.
• Will not charge you for access to your statements and will give you the option of receiving free electronic statements.
• Will not charge you to close the account.

Top 3 Free Savings Account

Savings Account	Account Details	Maximum Variable Rate p.a.	Standard Variable Rate p.a.	Bonus Interest p.a.	Fees	Min Balance/Min Deposit
St.George Direct Saver	Bank offers personal, business and commercial banking as well as wealth management solutions.	5.75%	4.50%	1.25%	$$0	$0 / $0
ANZ Online Saver	One of Australias most trusted banks.	6.00%	4.25%	1.75%	$0	$0 / $0
NAB iSaver	One of the largest financial institutions and banks in Australia.	5.50%	4.15%	1.35%	$0	$0 / $0

How to Find and Use a Free Savings Account

All online high interest savings accounts will be free to open, and free to make withdrawals from, however it is how you access your online savings account which can incur fees from some banks. So, to operate a fee free savings account:

• Compare the fee structures and conditions before applying. Use the Savings Account Finder™ comparison tables to view the savings accounts available in Australia and find out about any fees to join, deposit, withdraw or receive statements, this will give you a good idea of what to expect from high interest accounts, and how they can be primarily run fee free quite easily.
• Keep the account usage and management online to avoid transaction and processing fees. Make sure you conduct all of your online savings account deposits and withdrawals online, without the need to visit a branch as many savings account providers will charge you transaction fees to use your account in branch. Also choose the option of electronic statements which can either be emailed to you, or viewed in internet banking as more and more banks and businesses are charging to send printed statements.
• Link your savings account to a transaction account from the same provider. Transferring between accounts from the same provider will not incur any transaction fees, where transferring from a linked account with a different provider will require that you have enough free or included transactions per month to cover the amount of deposits you will make to your savings. However, with a linked transaction account from the same provider, you don’t every have to worry about the number of deposits you are making, or try and keep track of your transactions.

To Link Within or Without?

Now you can examine the pros and cons of operating your online savings account entirely fee free through the use of a linked transaction account from the same provider. The pros are weighty, and number just one, a free savings account which charges you no fees ever. The cons of a linked transaction account with the same provider:

• Instant access to your savings funds with an internet transfer. You have opened an online savings account to avoid the temptation of dipping into your savings for everyday purchases. However, when your savings account is linked to a transaction account with the same provider, your transfers are instant, so you can have instant access to your savings and can accidently spend them frivolously. So if you don’t think you can control the temptation to readily dip into your savings, find a linked transaction account with another provider which offers unlimited internet withdrawals for a set monthly fee so you can benefit in both ways.
• You’re using a transaction account which was not your first choice. If you open a transaction account with the same provider just to link to your high interest savings account, you may not be choosing the best everyday account for your needs. Therefore, make sure you compare all the features of available transaction accounts before using one from the same provider to save on transaction fees, when you could be costing yourself in fees in other areas.

It is possible to operate your high interest savings account as a free account, it’s not a trick or gimmick by the bank, they simply want to move their savings customers online because it’s easier for you and it’s easier for them. Therefore, use the Savings Account Finder™ comparison tables here to choose a high interest account and a linked transaction account which meet your needs and help you avoid bank fees in a way which suits you.