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Equity - How To Use It For Investment

Wed, 26 Nov 2025 13:58:33 Z

What does it mean to have equity in your home?

Equity is the difference between the current market value of your home, and what you still owe on it. Equity in your home can help you achieve your property goals.

How do you calculate total equity?

You can use a simple formula to work out the equity in your home. You will need a property valuation for an accurate figure, but if you know the current market value of your home, you can minus what you owe on your home from that value: Example: $680,000 (market value) - $300,000 (mortgage balance) = Equity of $380,000. Note: You can borrow up to 80% of the property value. If you need to borrow more, you will have to pay lenders mortgage insurance. A property valuation is an important factor in determining equity, and therefore your ability to purchase another property.

How to build equity in your home

Your equity increases when your property value goes up, and your mortgage balance reduces. Tips for building equity include:
Making renovations and improvements to your home to increase its value.
Making larger mortgage repayments.
Saving money by opening an offset account, so your savings are offset against your loan balance, reducing the interest paid on your loan.

Using equity – how does it work?

After gaining a property valuation, (we will organise this for you) and assessing your ability to repay an investment loan, once approved we will take security over your home and your investment property. Depending on your situation, you may be able to borrow against the equity and take on an additional loan, or increase the loan you have currently.

What additional factors do I need to keep in mind?

Borrowing against the equity in your home is not always guaranteed. A lender will take into account a number of things, including your income, existing debts and whether you have dependent children. As with any property, the purchase price is only one component of the upfront and ongoing costs you’ll need to pay. Stamp duty, legal and conveyancing fees, and building, pest and strata inspection reports, can all be applicable and will need to be budgeted for when you do your pre-planning.

Things to consider

How much will loan repayments increase by and can you afford them? Use our budgeting calculator to find out.
Do you have the savings to accommodate for government and additional costs?
Who will manage your investment property and what rent will you charge?
Are you across the legal obligations that apply to landlords?
Will you be eligible for tax deductions?
Be aware of any restrictions on your home loan that can prevent you from making additional repayments or accessing the equity in your home.

Talk to a Horizon Bank lending specialist today about how you could use equity for your next property venture.

Horizon Bank has a branch network spanning the NSW South Coast and Illawarra. Horizon Bank branch locations: Albion Park, Bega, Bermagui, Berry, Merimbula, Moruya, Nowra, Thirroul, Ulladulla & Wollongong.

The content in this article has been prepared by Horizon Bank for general information only and it is not intended to be professional advice. It does not take into account your objectives, financial situation or needs. You should seek your own legal, accounting, financial or other professional advice where appropriate, and consider the relevant General Terms and Conditions before deciding whether to acquire any products or services offered by Horizon Bank and/or its affiliated partners. We do not recommend any third party products or services referred to in this article unless otherwise stated and we are not liable in relation to them. Any links to third party websites are for your information and we do not endorse any content on those sites. Horizon Credit Union Ltd ABN 66 087 650 173 AFSL and Australian Credit Licence Number 240573 trading as Horizon Bank.

How to Maximise Your Borrowing Power as a First Home Buyer

Tue, 14 Oct 2025 02:00:53 Z

Buying your first home is an exciting milestone, but navigating the financial aspects can feel overwhelming. One of the most important concepts to understand as a first-home buyer is borrowing power, which is the amount a lender is willing to lend you based on your financial situation.

By knowing how borrowing power is calculated and what impacts it, you can take steps to improve your financial position and unlock greater opportunities when it comes to purchasing your dream home.

This guide will help you understand borrowing power, outline the factors that influence it, and share actionable tips to help you maximise it. Plus, we’ll explain how Horizon Bank’s local experts can make the process smoother, simpler, and more rewarding.

What is Borrowing Power?

Borrowing power refers to the maximum amount of money a lender is willing to lend you for a home loan. It’s influenced by a range of financial factors, including your income, expenses, credit history, and the size of your deposit.

How is Borrowing Power Calculated?

Lenders assess borrowing power by closely examining your financial situation. This includes looking at:

● Your Income - How much you earn from your job or other sources.
● Your Expenses - Your living costs, from rent to groceries.
● Existing Debts - Any current repayments, like credit cards or personal loans.
● Credit History - How well you’ve managed past debt.
● Deposit Size - A larger deposit can enhance your borrowing capacity.

For instance, a higher annual income combined with lower monthly expenses signals to lenders that you’re in a strong position to repay your loan.

Why Does Borrowing Power Matter for First Home Buyers?

Borrowing power determines the maximum amount you can borrow, which directly affects the types and price range of properties you can consider. Knowing this number early in your home-buying journey helps you set realistic expectations, refine your budget, and focus on homes within your financial reach.

Factors That Influence Borrowing Power

Understanding the main factors that impact borrowing power can help you identify areas where adjustments could lead to improved loan eligibility.

1. Your Income

A stable, higher income means you’ll likely have more borrowing capacity. Lenders prefer borrowers with predictable pay, such as salaried professionals or those with steady income from other sources.

2. Your Expenses

The more you spend on non-essential items, the less money you’ll have left over for loan repayments. Lenders will carefully review your spending habits, so reducing discretionary costs can boost your profile.

3. Existing Debts

Credit cards, car loans, or other debts reduce the amount you can borrow. Lenders see this as a liability when calculating your borrowing power, so reducing or eliminating debt is ideal.

4. Your Credit Score

A strong credit history shows lenders that you’re reliable when it comes to repayments. Conversely, late payments or defaults can limit your borrowing capacity.

5. Deposit Size

The bigger your deposit, the less you’ll need to borrow. A 20% deposit is often a key threshold, as it can eliminate the need for Lenders Mortgage Insurance (LMI).

6. Interest Rates

Lower interest rates can boost your borrowing power by reducing the cost of repayments. Horizon Bank offers competitive, customer-focused rates designed to help first-home buyers.

7. Loan Term

Opting for a longer repayment term can lower your monthly obligations, increasing your borrowing capacity. However, this also means you’ll pay more interest over the life of the loan.

Tips to Maximise Your Borrowing Power

If you want to increase your borrowing capacity and secure better loan terms, consider the following practical strategies.

Reducing existing debts is one of the most effective ways to improve your borrowing power. By paying off personal loans, car loans, and eliminating credit card debt, you lower your liabilities and present yourself as a less risky candidate to lenders. This frees up more of your income, allowing you to borrow more for your home.

Increasing your income can also positively impact your borrowing capacity. Whether it’s negotiating a salary raise, taking on freelance work, or starting a side hustle, any additional income strengthens your financial position in the eyes of lenders.

Saving for a larger deposit should be a key focus. A bigger deposit not only reduces the amount you need to borrow, but it can also improve your lending profile. It may help you avoid Lenders Mortgage Insurance (LMI), saving you additional costs in the long run.

How Horizon Bank Can Help

At Horizon Bank, we understand that buying your first home is a major milestone, and we want to make the process easier for you.

Personalised Support

Horizon Bank prides itself on providing personalised, local customer service. Our team doesn’t rely on overseas call centres or one-size-fits-all answers. Instead, we get to know your financial circumstances and work with you to develop a clear, achievable plan.

Competitive Rates and Flexible Options

As a customer-owned bank, our profits are reinvested in our members through lower interest rates and improved loan options. We’re here to help you make the most of your borrowing power with loans tailored to your needs.

Expert Guidance for First Home Buyers

Buying your first home involves many moving parts, but you don’t have to go it alone. Whether it’s helping you reduce debt, save for a deposit, or understand government grants, we’ll be with you every step of the way.

Take Control of Your Borrowing Power

Maximising your borrowing power is all about thoughtful planning and having the right support system. By understanding how borrowing power works and taking concrete steps to boost it, you’ll be in a stronger position to make your property dreams a reality.

Take the first step today! Speak to one of our Horizon Bank lending experts to learn more about increasing your borrowing capacity and securing your first home loan.

From Application to Approval for a First Home Loan

Tue, 14 Oct 2025 01:54:38 Z

From Application to Approval for a First Home Loan

Buying your first home is an exciting milestone, but navigating the home loan process can feel overwhelming at first. With the proper guidance, however, you can move smoothly from application to approval and unlock the door to your new home.

At Horizon Bank, we specialise in making this process straightforward and stress-free for first-home buyers. This blog will take you through every step of the home loan process, from preparation to final approval, so you know exactly what to expect. Along the way, we’ll share actionable tips to make your application as strong as possible and demonstrate how Horizon Bank supports you at every stage.

Preparing for Your Home Loan Application

Before submitting your application, it’s essential to lay the groundwork. Proper preparation can help ensure your application is reviewed quickly and increase your chances of approval.

Assess Your Borrowing Power

Start by understanding how much you can afford to borrow. Borrowing power depends on factors such as your income, expenses, existing debts, and the size of your deposit. Use Horizon Bank’s borrowing power calculator or speak with one of our local lending experts to get a clear idea of how much you can realistically borrow.

Save for Your Deposit

Your deposit plays a crucial role in the application process. Ideally, aim for a 20% deposit of the property’s value to avoid Lenders Mortgage Insurance (LMI). If saving for a larger deposit isn’t possible, Horizon Bank can guide you through options for higher Loan-to-Value Ratios (LVR).

Check and Improve Your Credit Score

Lenders review your credit score to assess your financial reliability. Ensure you have a strong credit history by paying bills on time, reducing debt, and fixing any errors on your credit report.

Minimise Debts and Expenses

Reduce or eliminate any existing liabilities, such as credit cards or personal loans, before applying for the loan. Lowering your monthly expenses helps demonstrate your ability to manage future loan repayments.

Gathering the Required Documents

Getting your paperwork together before submitting your application will save you time and effort. Here’s what you’ll typically need to provide when applying for a home loan.

● Proof of Income - Provide recent payslips, tax returns, or a letter from your employer to confirm your earnings.
● Bank Statements - These should detail your savings history and daily expenses.
● Identification: Have government-issued photo ID ready, such as a driver’s license or passport.
● Details of Existing Debts - Include credit card statements or records of any outstanding loans.
● Property Information (if applicable) - Share the sale contract or a summary of the property you’re planning to purchase.

By gathering these documents in advance, you can streamline the application process and prevent delays. At Horizon Bank, our team will guide you on exactly what’s needed so you can be fully prepared.

Submitting Your Application

Once you have all your documents ready, it’s time to submit your home loan application formally.

How to Apply

Complete a detailed application form, providing accurate information about your financial situation and the property you wish to buy. Horizon Bank’s loan specialists will review your application and may recommend loan options tailored to your specific needs.

What Happens Next?

After submission, the bank will review your information and determine whether to proceed. You’ll be asked for clarification or additional documents if needed, so please respond promptly to avoid delays. Horizon Bank’s personalised service means you’ll always have a direct point of contact who can guide and update you throughout this step.

The Assessment Process

After receiving your application, lenders conduct an in-depth review to decide whether to approve your loan. Here’s what they look at during the assessment phase:

● Your Income and Expenses - Lenders confirm you can comfortably afford repayments based on your financial situation.
● Your Credit History - A strong track record of managing debt works in your favour.
● The Property’s Value - If you’ve already chosen a property, lenders will ensure its value supports the loan amount.

How Long Does It Take?

The assessment process can take anywhere from a few days to a couple of weeks, depending on the complexity of your application. At Horizon Bank, we take pride in our efficient processing times, ensuring that things move smoothly for you.

Conditional Approval

Once your application passes the initial assessment, the lender may issue conditional approval. This means your loan will be approved as long as you meet specific conditions.

Common Conditions to Fulfil

● Providing additional documentation (e.g. updated payslips).
● Completing a satisfactory property valuation.
● Submit further details about your finances if requested.

During this stage, stay in close contact with your lender. Horizon Bank makes this process seamless by providing clear instructions and proactive updates.

Final Approval and Settlement

After meeting all the conditions of your conditional approval, you’ll receive final approval for your home loan. This is the last step before settlement—where ownership of the property is transferred to you.

What Happens at Settlement?

Your solicitor or conveyancer will coordinate with the bank and seller to finalise legal documents.

Horizon Bank will arrange the transfer of funds to complete the purchase.
You’ll receive notification when everything is complete, and the property is officially yours.

Managing Timelines

While the settlement process usually takes several weeks, Horizon Bank ensures smooth coordination to avoid delays. We’ll work closely with your legal team to make the final stage as stress-free as possible.

Tips for a Smooth Application-to-Approval Journey

Applying for and securing a home loan doesn’t need to be daunting. Here are some tips to keep the process on track and efficient.

● Be Organised - Gather your documents early and keep them up to date.
● Communicate Promptly - Respond quickly to requests for additional information or documentation.
● Avoid Major Financial Changes - Refrain from applying for new credit or making large purchases during the home loan process.
● Choose the Right Lender - Work with a local lender like Horizon Bank, which understands your unique needs and provides hands-on support.

Start Your First Home Loan Journey with Horizon Bank

Buying your first home is a big step, but with the right partner by your side, it doesn’t have to feel overwhelming. Horizon Bank is dedicated to supporting first home buyers with competitive rates, local expertise, and a personalised approach.

From application to settlement, we’re here to guide you every step of the way. Ready to get started? Speak to a Horizon Bank lending expert today to begin your home loan journey with confidence.

The first home buyer loan first time buyers need to know about

Mon, 13 Oct 2025 22:17:54 Z

Buying your first home is one of life’s most exciting milestones, but the road to homeownership often comes with many questions and challenges. How much can you afford? What kind of loan is right for you? And, most importantly, how can you save while making such a significant investment?

At Horizon Bank, we understand these concerns, and that's why we’re thrilled to introduce a loan specifically designed for first-time buyers, offering incredible savings to help you take the first step into homeownership. Here’s everything you need to know about our First home buyer loan.

What Makes This Loan a Top Money-Saver?

When you’re purchasing your first property, every dollar matters. That’s why this loan prioritises affordability with features that deliver real value.

Zero Horizon Fees – Yes, Really

One of the standout features of this loan is zero Horizon fees. That means no annual or monthly establishment fees or offset account fees. With the cost of buying a property often feeling overwhelming, these cost-saving features provide much-needed relief.

Flexible Loan-to-Value Ratio (LVR)

Achieving homeownership can feel out of reach when a large deposit is required. With this loan, you can borrow up to 95% of the property’s value, making it possible to get started with a smaller deposit. Keep in mind that anything above 80% will require LMI or guarantor.

Principal & Interest Repayments

This loan operates on principal and interest repayments, helping you gradually build equity in your property while keeping payments manageable.

Why This Loan Stands Out for First-Time Buyers

We understand that first-time buyers face unique challenges, so this loan is built to address your needs head-on.

● Affordability: The lifetime discount and zero fees significantly reduce your costs.
● Accessibility: A high LVR lowers the deposit barrier so you can enter the property market sooner.
● Certainty: With no hidden fees, you can plan your finances confidently.

The lifetime 1% discount meant Jessica saved $38,000 in interest over the 30-year term. The zero establishment fees gave her breathing room during the upfront buying costs. Now, Jessica is happily settled in her new home, and her repayments remain manageable thanks to the affordable terms.

How to Maximise Your Savings with This Loan

Saving with this loan starts with understanding your options and staying financially prepared. Here are some tips to ensure you get the most out of it:

Improve Your Credit Score

A strong credit score can help you secure even better terms on a loan. Before you apply, pay off smaller debts and maintain a clear credit history.

Set a Realistic Budget

Ensure you know how much you can afford monthly without stretching yourself too thin. Horizon Bank’s loan calculators can help you estimate your repayments.

Explore Government Support

First-time buyers in Australia may be eligible for government grants or stamp duty exemptions. Research what’s available in your state to complement your savings with this loan.

Ask Questions

If you’re unsure about any part of the process, contact Horizon Bank. Our experienced, friendly staff is here to help first-time buyers every step of the way.

Your Next Step Towards Homeownership

Making the leap to buy your first home can feel daunting, but with Horizon Bank’s First home buyer loan, you can confidently move forward. The savings on interest and fees and the flexibility of a high Loan-to-Value Ratio make it easier than ever to achieve your homeownership dreams.

To see how much you could save, try our loan calculators or speak with one of our friendly team members today. At Horizon Bank, our mission is to make your path to owning a home a smooth and rewarding experience.

Take the first step towards homeownership. Contact us today or visit one of our branches to explore your options. With Horizon Bank by your side, the future looks brighter.

Frequently Asked Questions

Q: What does 95% LVR mean?
A 95% Loan-to-Value Ratio means you can borrow up to 95% of the property’s value, leaving you to contribute the remaining 5% as your deposit. Remember, anything above 80% will require LMI or guarantor.

Q: Can I use this loan for an investment property?
This loan is available for owner-occupied homes or investment property for first-time buyers.

Q: Are there any hidden fees?
No, this loan comes with zero hidden fees. The focus is on transparency and cost-effectiveness for first-time buyers.

Guarantor Myths Busted – What You Need to Know

Thu, 28 Aug 2025 00:38:41 Z

Guarantor Myths Busted – What You Need to Know

When considering a home loan, especially for first-time buyers, the idea of using a guarantor often comes up. A guarantor can play a significant role in helping you secure a loan, but there are plenty of misconceptions out there about what being a guarantor entails.

To clear things up, we’re debunking some of the most common myths, so you can make informed decisions about guarantor-backed loans. At Horizon Bank, we’re here to guide you through every step of your home loan journey, ensuring clarity and confidence in your decisions.

Myth #1 - Guarantors Must Make Regular Loan Payments

One of the most widespread misconceptions is that guarantors are required to make regular payments towards the loan. This is not the case. The primary responsibility for loan repayments always lies with the borrower.

The guarantor, however, does step in as a safety net. If, and only if, the borrower is unable to make payments, the guarantor may be required to cover the outstanding amount. It’s worth noting that this is often a last-resort scenario once all payment recovery options have been explored. Guarantors aren't required to contribute to monthly repayments as a matter of course.

How This Works in Practice

For instance, if you’re a parent acting as a guarantor for your child’s first home loan, you won’t be paying anything unless something unexpected happens. This safety net reassures the lender but doesn’t interfere with your own financial routine.

Myth #2 - Guarantors Are Tied to the Loan Forever

Many people believe that once you sign as a guarantor, you’re locked in for the entire duration of the loan. This is another myth. While it’s true that you do take on a commitment, it’s not necessarily a lifetime one.

Guarantors can be released from their obligations under certain conditions. A common example is when the borrower reduces their loan-to-value ratio (LVR) to 80% or less. Once the borrower has built enough equity in the property, the guarantor can apply to be removed from the arrangement.

At Horizon Bank, we advise guarantors to establish clear terms upfront and communicate with the borrower about progress on the loan.

Myth #3 - You Can’t Act as a Guarantor If You Have a Mortgage

Another misconception is that having an existing mortgage disqualifies you from becoming a guarantor. This isn’t correct. While lenders do assess a guarantor's overall financial position, having a mortgage doesn’t automatically rule you out.

Lenders will evaluate your income, current debts, and overall financial stability to determine eligibility. If your finances are in good shape, you can still act as a guarantor - even if you’re currently repaying your own home loan.

An Example in Action

Say you own a home and still have a mortgage, but your financial commitments are manageable. You may still be able to guarantee part of your child’s home loan, helping them reduce costs without compromising your existing obligations.

Myth #4 - Guarantors Only Cover the Cost of LMI

Some believe that guarantors are only required to step in for Lender’s Mortgage Insurance (LMI), which protects the lender if the borrower defaults. While guarantors can indeed help borrowers save on LMI by reducing the LVR, their role doesn't stop there.

Guarantors effectively provide the security a borrower might lack. This means guaranteeing a portion of the loan amount instead of simply covering LMI fees. Their involvement often helps borrowers access better loan terms or secure a property sooner.

At Horizon Bank, we often see guarantor-backed loans as a practical way to support loved ones without handing over any cash payments.

Why Understanding Guarantor Roles Matters

Understanding what being a guarantor involves ensures that both the borrower and guarantor enter the arrangement with clarity and confidence. A guarantor-backed loan can make home ownership more achievable for many Australians, but it’s vital for everyone involved to know their rights and responsibilities upfront.

Talk to Horizon Bank Experts

Still have questions about guarantor-backed loans? At Horizon Bank, we’re here to help. Our friendly team can guide you through the details, provide personalised advice, and help you explore the best home loan option for you.

Visit your nearest local branch or contact us today to learn more about how we can support your home loan goals. Together, we can make your dream of home ownership a reality. Horizon Bank has a branch network spanning the NSW South Coast and Illawarra. Horizon Bank branch locations: Albion Park, Bega, Bermagui, Berry, Merimbula, Moruya, Nowra, Thirroul, Ulladulla & Wollongong.

If you'd like more information, explore our FAQs or take advantage of our home loan options. We’re here to help you every step of the way.

Understanding Loan-to-Value Ratio (LVR) and Its Impact on Your Deposit

Tue, 26 Aug 2025 00:30:08 Z

When you’re preparing to buy your first home, you’ll encounter lots of jargon - the Loan-to-Value Ratio (LVR) being one of the most important concepts. LVR not only determines how much deposit you need but also plays a key role in your loan’s structure and the costs you’ll need to consider along the way.

This guide simplifies everything you need to know about LVR, from how it’s calculated to how it affects your path to homeownership. Along the way, we’ll share practical tips to help you manage your LVR more effectively and highlight how Horizon Bank’s local experts can guide you every step of the way.

What is the Loan-to-Value Ratio (LVR)?

LVR stands for Loan-to-Value Ratio. It’s a way lenders assess the risk of providing a loan by comparing the amount you want to borrow against the value of the property you wish to purchase.

How is LVR Calculated?

The formula for calculating LVR is straightforward:
LVR = (Loan Amount ÷ Property Value) × 100
For example, if you’re buying a property valued at $500,000 and need to borrow $400,000, the LVR would be calculated as follows:
(400,000 ÷ 500,000) × 100 = 80% LVR

This means the loan equates to 80% of the property’s value.

Why Do Lenders Care About LVR?

Lenders use LVR to gauge how much risk a loan carries. Generally, the lower your LVR, the lower the risk for the lender. Borrowing more with a higher LVR increases the lender’s exposure, which may lead to additional costs for the borrower, such as Lenders Mortgage Insurance (LMI).
Why is LVR Important for First Home Buyers?

For first home buyers, understanding LVR is essential because it directly affects how much deposit you’ll need and influences the overall affordability of your home loan.
Impact on Deposit

Your LVR determines the minimum deposit you’ll need to secure a home loan. Lenders typically require at least a 20% deposit for an LVR of 80% or lower. If you borrow more than 80% of the property’s value, your LVR rises, and you may be required to pay for LMI, discussed further below.

For instance:

LVR of 80% means a 20% deposit is required. On a $500,000 property, this would equal $100,000.

LVR of 90% would mean a smaller deposit of $50,000 on the same property, but would likely result in LMI and higher monthly repayments.

How LVR Affects Borrowing Power

LVR can also influence your borrowing capacity and the types of loans you qualify for. A lower LVR generally places you in a stronger financial position, making it more likely you’ll secure favourable terms, such as lower interest rates. A higher LVR may limit your options and add costs.

The Relationship Between LVR and Lenders Mortgage Insurance (LMI)

LMI is a type of insurance that protects the lender, not you, in case you’re unable to repay your loan. It’s typically required when your LVR exceeds 80%.

How LMI Works

Higher LVR loans are considered a bigger risk. To mitigate this risk, lenders require borrowers to contribute to LMI. The cost of LMI depends on the loan size and your LVR percentage. The higher your LVR, the more expensive your LMI will be.

Example of LMI Costs
On a $500,000 property with an LVR of 90% (loan amount of $450,000), LMI could add thousands to your upfront costs or be capitalised (added to your loan).

Tips for Managing Your LVR Effectively

Reducing your LVR before applying for a loan can lead to better outcomes, from avoiding LMI to securing competitive interest rates. Here’s how you can do it effectively:

1. Save for a Larger Deposit

The simplest way to lower your LVR is to save for a bigger deposit. This not only brings down your borrowing amount but also puts you in a stronger negotiating position for loan terms.

2. Consider the Property Value Carefully

Choose a property within your budget to keep LVR manageable. Overextending yourself on a higher-value property could push you into a higher LVR bracket, increasing costs.

3. Leverage First Home Buyer Incentives

Take advantage of Australian government grants or programs, such as the First Home Owner Grant, to help boost your deposit and lower your LVR.

4. Seek Guidance from a Local Lender

Working with Horizon Bank’s expert team ensures you are informed on your loan LVR, you understand your borrowing capacity, and can navigate the first home loan process with confidence.

5. Build Financial Resilience

Maintain a strong financial profile by managing debts and showing consistent savings habits. This can highlight your reliability as a borrower and may help during the approval process.

6. Explore Smart Repayment Options

Consider strategies like making fortnightly repayments instead of monthly to pay off your loan faster and gradually reduce your LVR over time.

Take Control of Your LVR with Horizon Bank

Understanding the Loan-to-Value Ratio (LVR) is crucial for first home buyers. From determining your deposit size to influencing loan approvals and additional costs like LMI, LVR affects nearly every aspect of your home loan experience.

At Horizon Bank, we’re here to make the process simpler and more transparent. Our local, customer-first approach ensures you’ll always have access to relevant information from people who understand the Australian market and your unique situation.

Your first home is closer than you think! Speak to one of our local lending experts today to better understand your LVR and discover how Horizon Bank can help you achieve your homeownership goals. Contact us now or visit our First Home Buyer Loan page for more information.

Tips for a Guarantor

Mon, 30 Jun 2025 05:37:19 Z

Becoming a guarantor for a loved one’s home loan can be a meaningful way to help them achieve their dream of home ownership. However, it’s a significant financial responsibility that requires careful consideration.

To help you prepare, we’ve put together a guide covering everything you need to know about being a guarantor, from eligibility and responsibilities to financial planning and how to exit the role when the time comes.

At Horizon Bank, we’re committed to ensuring that both borrowers and guarantors can make informed decisions, backed by local support and expertise.

Who Can Be a Guarantor?

A guarantor is someone who agrees to provide security for part or all of a borrower’s home loan, helping the borrower secure a property or access better loan terms. But who qualifies as a guarantor?

Eligibility Criteria

Guarantors are typically individuals with a stable financial history. This often includes:

Having a steady income or sufficient assets.
Owning property (outright or with an existing mortgage).
Possessing good credit.

Lenders will assess your overall financial standing to ensure you can act as a guarantor without putting yourself at financial risk.

Common Relationships

Most guarantors are family members or close relatives. Parents frequently act as guarantors for their children to help them get onto the property ladder. Occasionally, other trusted individuals, like extended family, can also step in, provided they meet the eligibility criteria.

Financial Considerations Before Saying Yes

Becoming a guarantor is a big decision, and evaluating your financial situation is essential before agreeing to help. While your intentions may be to support a loved one, it’s important to ensure that the role won’t strain your finances.

Assess Your Financial Stability

Before agreeing to anything, take an honest look at your financial picture:

Do you have existing debts, such as a mortgage, personal loan, or credit card obligations?
Can you comfortably handle potential financial pressure if the borrower faces difficulties repaying the loan?
How might becoming a guarantor affect your ability to secure credit in the future?

Potential Impact on Your Borrowing Power

Be prepared for the possibility that being a guarantor could impact your eligibility to take on new loans or financial commitments of your own. Lenders often consider a guarantor’s obligations part of their overall financial responsibilities, even if the loan doesn’t directly affect your finances.

Understanding Your Responsibilities as a Guarantor

While being a guarantor can be rewarding to help someone you care about, it’s important to understand exactly what you’re agreeing to. Clear expectations upfront can help avoid misunderstandings down the road.

Guaranteeing the Loan

When you act as a guarantor, you’re offering security to the lender to reduce their risk. This will involve:

Using your property as security.
Agreeing to guarantee a portion of the loan amount.

It’s crucial to understand that you won’t be making regular payments on the borrower’s loan. However, you will need to step in and cover missed payments if the borrower defaults entirely.

Managing Risks

Before signing any agreements, it’s a good idea to:

Seek independent legal or financial advice to fully understand the terms.
Discuss repayment plans and contingencies with the borrower to ensure everyone is on the same page.

How to Exit Your Role as a Guarantor

Many potential guarantors worry about being locked into this role indefinitely. Fortunately, there are clear pathways to exiting the guarantor role once the borrower has reached certain milestones.

Conditions for Being Released

Most lenders release guarantors from their obligations once the borrower reaches an 80% loan-to-value ratio (LVR). This means the borrower has repaid enough of their loan or the property has gained sufficient value to reduce the lender’s risk.

Steps to Exit

Once the conditions are met, you can formally apply to be removed as a guarantor. You may need to provide a request to the lender for a release of the guarantee.

Lenders usually handle these requests efficiently, but it’s worth staying in touch with the borrower and regularly monitoring their progress.

Supporting a Loved One with Confidence

Becoming a guarantor is a tangible way to help someone you care about achieve their dream of home ownership. However, entering the arrangement with a full understanding of your responsibilities and the potential financial implications is essential. By planning ahead and seeking experts' support, you can confidently fulfil this role.

Talk to Horizon Bank

Are you thinking about becoming a guarantor? The team at Horizon Bank is here to help. We’re committed to providing clear, personalised guidance to both borrowers and guarantors, ensuring everyone feels supported and informed throughout the process.

Visit us at your nearest local branch at Albion Park, Bega, Bermagui, Berry, Merimbula Moruya, Nowra, Thirroul, Ulladulla or Wollongong or contact us online. Together, we can help you take the next step with confidence.

Protecting Yourself From Online Scams

Wed, 22 Jan 2025 04:04:25 Z

Scams are everywhere, targeting people from all walks of life and costing Australians billions of dollars each year. Whether it’s fake emails, unexpected phone calls or online schemes, scammers always find new ways to gain your trust and steal your money or personal information. But 3 small steps can help keep us all safe from scammers. Stop. Check. Protect.

How to stay safe from online scams

Reduce your risk of being scammed and pay close attention to the content of text messages or emails.

Before making a payment, always check for a padlock symbol in the URL bar, on the left hand side. This indicates that you’re on a secure website.
Any time you log on to online banking or shop online, make sure that the websites you visit has the correct website address in the address bar, which should include the correct extension (such as ‘.com.au’) .au indicates an Australian website.

If you receive a spam email, avoid opening it. If you do open it, never click on any links or open any attached files. Emails or links may contain malicious software (also known as malware) that can infect your computer or device and steal your information over time

Avoid responding to text messages or missed calls that come from numbers you don’t recognise.
Keep your personal details like name, address, date of birth, license number, tax file number, bank account numbers and online banking passwords safe. Never give these things out willingly. Remember an organisation may ask for things like name, address or date of birth in an attempt to identify you over the phone, which should only happen if you have called them.

You should rely on reputable sources for scam information, and how to protect yourself online. These websites may also include the latest scams that are circulating.

How to spot a fake message

Scammers will use content that mimics the look and feel of official messages – scammers will use official company names and logos in communications, leading you to believe the message is legitimate.
Spelling mistakes and incorrect grammar is a key indicator of a scam message. Other things to look out for include a generic rather than a personal greeting, the names of made up organisations that don't exist, poorer quality presentation, overly official or forced language.
Be cautious if you're being asked to forward money or if you're told you've won a prize. Another tactic is to threaten you with arrest, even though you have done nothing wrong.
Any email or text that asks you to confirm, update or share personal or banking information has been sent from a scammer. Legitimate communications from banks, internet and phone providers will never ask you for your personal details via email or text message.
If there is an urgent call to action, such as asking you to unlock or verify an account, claim a prize or log in to a site and pay an infringement notice or outstanding debt.

Protect your money and bank details

Never give money, credit card details or online account details to anyone you don’t know and trust
Keep your receipts for a period of time as proof of transactions
Check your bank account and credit card statements regularly. A good way to do this is every time you get paid, receive government benefits or other income to your accounts
Report any unexplained transactions to your bank.
Keep your Visa cards safe and never hand them over to anyone else to use.
Make sure nobody else knows your PIN number. You can usually reset your PIN at an ATM supported by your bank, by visiting a branch or if you bank with Horizon, you can do this from within our app. Simply log in, click on cards > change PIN.
Don’t keep old cards or chequebooks lying around. Return them to your financial institution to be destroyed and to ensure they are no longer active.
Avoid being a victim of identity fraud - cut up expired cards through the magnetic strip and chip. Cut through the card numbers and dispose of the pieces in different bins so they cannot be pieced back together.

How to protect yourself - Don’t Click On That Link!

Press and hold a link on a smartphone to inspect it first if you’re unsure whether you should click on it.
Contact the business or organisation using a phone number from their website before you reply to any suspicious looking emails or text messages.
If you receive a suspicious email or text message and haven't engaged with its contents, such as clicking a link or replying to it, report it to Scamwatch and the relevant organization then delete the message.
If you have provided your online banking password to a scammer, give us a call immediately so we can assist you. If it is on the weekend, you can reset your password using the password reset link on the Online banking login page. If you have a Visa card you should report it to the Visa Hotline and also mark your card as lost or stolen in our app, as presumably the scammers will attempt to use it.
If you've clicked a link or opened an attachment from a scam email, close your browser, empty your browser cache and clear your browser history. Then perform a virus scan on your computer using anti-virus software. If you're on a mobile device, make sure you have updated your operating system, and run an antivirus scan if one is available on your device.
If you receive a call from a scammer posing as someone from a reputable organization, do not give access to your computer. Remote access means the scammer can look at your personal information and even install malware on your computer.

Getting support after being scammed

If a scam has caused you problems with debt, talk to a financial counsellor. They can help you get your finances back on track.
If you think someone has stolen your identity, you can contact iDcare - a free government-funded service which will work with you to develop a specific response plan to your situation and support you through the process.
You can apply for a Commonwealth Victims' Certificate - which helps support your claim that you've been the victim of identity crime.

Protecting Yourself & Your Data Online

If you use the online world for shopping, banking or using social media, it’s important that you do this safely. Visit Scamwatch for more tips on staying safe online and how to spot a fake scam. The team at Horizon Bank are always here to help and answer any questions. Get in touch with us today and let’s work together to create a safer online experience.

Beat the Cost-of-living Crunch - Smart Budgeting & Money-Saving Tips

Thu, 14 Nov 2024 04:32:22 Z

As inflation and living costs continue to rise, focusing on practical budgeting techniques is essential to regain control of your finances. This guide offers practical tips to help you save money, reduce expenses, and stay financially resilient even during challenging times.

Everyone is feeling the crunch of the cost-of-living crisis, and it seems far from over. Many of the essential expenses such as groceries & bills are starting to feel as though they are outpacing earnings.

Recent data reveals there was a 4% surge in the Consumer Price Index (CPI) for the year ending in May 2024. Of this, housing and transport costs lead the charge.
Although the government has taken some measures to offer some respite such as tax cuts and energy bill relief, it is important to be proactive and take steps to save & ease the financial pressure.

Here are some tips:

1. Mastering Your Budget: Tips for Effective Financial Planning

Your best tool in these challenging times is a well-structured budget. This can be a simple excel spreadsheet, a traditional paper planner or even a more advanced tool such as a budgeting app. The main goal is to be able to track your income & expenses, and from there, set limits for different categories such as groceries, dining out, transport and leisure to help you take control of your spending and feel on top of your finances.

Extra Tip: Check out the MoneySmart budget template for a helpful starting point. You can customise it to fit your spending habits.

2. Smart Shopping Strategies to Beat Rising Grocery Costs

Groceries are a major but necessary expense, but you can still help keep your spending down in this category:

Meal planning: Planning or ‘prepping’ your meals for the week is a great way to help keep spending down at the grocery store. If you have your meals planned out, you can make a specific shopping list of only the things you need for those meals. Going in with a list and a plan helps avoid impulse buying or overbuying as you only purchase what you need.
Compare prices: Check the different supermarkets to look for the best prices. You can look at the catalogues for the week to see the specials, you may even end up making a plan to buy certain items at one supermarket and others somewhere else to help save money.
Weekly specials: You might even decide to plan your meals for the week around what you have found is discounted at the different supermarkets.
Bulk buying: Items that are non-perishable, for example canned goods, toilet paper & toiletries, you can stock up on when they are on special for a good price. There are also cons to bulk buying. Be wary of overspending and buying more than you actually will need. Work out whether you’re getting a good deal and what‘ a reasonable amount to buy.
Pack your lunch: When you’re planning your meals each week, also plan for your lunches to take to work. Bringing your own lunch to work helps you save money compared to buying takeout or eating at restaurants every day.
Generic brands: Opting for the homebrand products over pricier name-brand products is a great way to save money. A lot of the time the products are pretty much the same.
Seasonal produce: Choose fruits and vegetables that are in season for maximum savings. The pricing will likely be more reasonable than something that’s out of season and therefore the demand is higher than the supply.
Rewards Programs: Check out the rewards programs or loyalty cards that shops offer. Earning points can save you money off your future shops and often there will be additional savings that are available to those joined up to the programs.

3. How to Cut Monthly Expenses and Save More

It’s important to review your regular expenses and scrutinise where you could be making potential savings:

Cancel subscriptions: If you have subscriptions or memberships that you’re paying for that you’re not using or aren’t relevant anymore, take the time to cancel them. If you’re keeping them, check to see if you get a discount for an annual subscription rather than a monthly one.
Shop around: Explore all your options by researching prices for essential things such as energy or insurance to ensure you’re getting the best deal you can. This also applies to other spending. Shop around to ensure you are getting the best price.
Negotiate bills: Although it may be daunting, don’t be afraid to reach out to your current providers to see if there are any better deals you could be getting. A regular review is worth doing if it can save you money!
Use public transport, carpool or walk: Using public transport whenever possible, carpooling with your friends, family or even colleagues, riding a bike or even walking depending on the distance. All these options can help you save in costs such as petrol which you could split when carpooling and reduces wear and tear on your vehicle too.
Energy efficiency: Looking into options to increase energy efficiency can help you save money. Reduce your energy consumption by unplugging electronics when they’re not in use, only using air conditioning when necessary or even opting for LED lights which are more energy efficient. Make sure your water taps are set to cold. Doing this means you’re not trying to heat water each time you turn a tap on and therefore reducing your gas or electricity energy bill.
Free & low cost activities: Explore free or lower-cost activities in your local areas such as parks, museums, libraries or community events.
Borrow instead of buy: Borrowing things such as books, movies, or games from libraries or family & friends instead of purchasing them.

4. Planning for Big Expenses: A Guide to Financial Preparation

Don't let unexpected costs derail your budget:

Create a calendar: Plan for upcoming expenses such as insurance renewals, car registration or strata levies are due, that way you can be prepared and plan your finances accordingly.
Save gradually: Set an amount to put into savings each month to help cover these bigger, or unexpected, costs when the arise. Putting aside small amounts more frequently will mean you don’t feel as much of a pinch, and the pool of money will grow.
You can read our blog on why you need an emergency fund for more information on planning for unexpected costs.
Automatic transfers: Following on from the previous point, you can set up automatic transfers from your main account to a designated savings account each month to ensure consistent progress towards your savings goals.
High interest savings account: Do your research and make sure that the accounts you have are earning you the best interest on your savings. At Horizon Bank we have a range of popular savings accounts to suit whatever your financial goals or needs are, contact us today to discuss your options.

Seeking Help for Debt and Financial Strain

If you're struggling with debt or feeling overwhelmed by the cost of living, there are resources that you can reach out to for help:

Talk to your bank or credit union: Discuss financial hardship assistance options or payment plans if you're facing difficulty with your loan repayments.
Financial counselling: You can contact the National Debt Helpline (1800 007 007) for free financial advice and support.
Mental health support: Reach out to Lifeline (13 11 14) or Beyond Blue (1300 224 636) if you need emotional support.

Remember, even the small changes can make a big difference. By implementing these tips and taking control of your finances, you can ease the burden of the cost-of-living crunch.

Looking for tailored budgeting support? Contact Horizon Bank, your Illawarra & South Coast based customer-owned bank, to learn about budgeting tools, low-interest accounts, and financial hardship assistance options designed to help you navigate today’s economic challenges.

How to Protect Yourself from Rental Scams

Thu, 31 Oct 2024 02:53:25 Z

We all know how competitive the current rental market is, so finding somewhere to call home can be an overwhelming task. Scammers are unfortunately using this to prey on unsuspecting renters.

“Rental scammers exploit the desperation of those seeking housing, particularly when the cost-of-living is high and available properties are scarce, compounding the challenges of an already difficult market,” COBA Chief of Financial Crimes and Cyber Resilience Leanne Vale said.

“Becoming a victim to a rental scam can be a devastating experience, both financially and emotionally,” she added.

In this blog, COBA’s Financial Crimes and Cyber Resilience team have shared some of their expert tips on how you can spot and avoid rental scams.

How rental scams work

Scammers prey on people who are searching for rental accommodation, which includes holiday rentals as well as residential rentals, and there are various tactics the fraudsters use.

A common method used involves advertising fake properties known as “phantom rentals”. These are listings that have photos and descriptions that have been taken from legitimate listings. Often these listings will be very enticing with appealing rental prices, locations or even exclusive amenities. This is how they lure victims in.

One other tactic the scammers may use is taking legitimate rental listings from reputable websites & platforms, then reposting them but with different contact information or photos. This means any enquiries or payments will be diverted to the scammer, as they’ve tricked the unsuspecting tenants into believing the scammers are the real property owner, real estate agent or property manager.

A sense of urgency such as pressure for upfront payments especially via methods that aren’t traceable like wire transfers or cryptocurrency can be a red flag also. They’ll claim it’s necessary to secure the rental.

The scammers could also request personal information such as bank account details or ID documents, under the pretence of conducting rental or background checks. They can use this information to steal the identity of the victim or commit fraudulent activities.

Rental scam indicators

You can protect yourself by being alert to the signs of a rental scam. Here are some red flags to be aware of:

An ad for a rental property seems too good to be true. This could be that the price is low, little information is requested of you, and it’s available for the exact time you want.
You’ve found that there are duplicate ads for the same property with different contact details – this can include a listing on a trusted site.
The ‘landlord’ or ‘property manager’ uses a strong sense of urgency to get the renter to make immediate decisions and/or payments to secure the property and not ‘lose out to someone else interested’.
If there is not an availability for an in-person meeting or property inspections due to many reasons. They will always have an excuse as to why they can’t meet. Requests for funds to be sent by methods that are hard to trace, such as wire transfers, prepaid cards, or cryptocurrency.
There is a lack of documentation, with no formal rental agreements, no receipts for payment, or refusal to provide any verifiable information about the property or landlord.

How to report a rental scam

If you encounter a suspected rental scam, report it to your bank if you have provided any payment or identification information.

It’s important that if you do encounter a suspected rental scam, that you report it. If you have provided any payment or personal banking information, report it to your bank immediately.

Even if you've managed to avoid losing money, reporting is still crucial to help prevent further fraud and assist other potential victims – report the scam to National Anti-Scam Centre (NASC) - Scamwatch.

If you suspect you have been a victim of a scam, contact us immediately on 1300 366 565 or fill out this form so we can secure your accounts and assist you further. Customer-owned banks are dedicated to safeguarding their customers from scams and fraud. In November, 55 mutual banks and credit unions demonstrated this commitment by joining forces to launch the Scam-Safe Accord. This industry-wide initiative represents a united front against scammers and reinforces the banking sector's determination to strengthen consumer protection. Find out more about the Scam-Safe Accord here.

Stay informed and protect yourself from rental scams. Share this blog with friends and family to spread awareness and potentially stop someone else being scammed. If you suspect a scam, report it immediately to help prevent financial fraud and support others in staying safe. For more resources and assistance, visit Horizon Bank and discover how they can help ensure financial safety and scam prevention. You can find more information about how Horizon safeguards your banking on our security page.

Horizon Bank has a branch network spanning the NSW South Coast and Illawarra.
Horizon Bank branch locations: Albion Park, Bega, Bermagui, Berry, Merimbula, Moruya, Nowra, Thirroul, Ulladulla & Wollongong.

Bank Impersonation Scams

Mon, 21 Oct 2024 05:02:51 Z

We will never, ever ask you for a One-Time-Password!

Doing your banking has become increasingly convenient by utilising online and mobile banking services. However, this convenience also comes with a downside: the rise of sophisticated cybercrimes, such as bank impersonation scams. These scams involve fraudsters who may pretend to represent Horizon Bank or other financial institutions and trick you into sharing sensitive information, including one-time passwords (OTPs). In this blog post, we will explore the dangers of bank impersonation scams and emphasise the importance of safeguarding your OTPs.

Understanding Bank Impersonation Scams

Bank impersonation scams typically begin with fraudsters attempting to gain your trust through various means, such as phone calls, emails, or text messages. They may pose as someone calling from Horizon Bank or customer service agents, using convincing tactics to deceive you into believing their authenticity. The scammers often claim that there is a security issue with your account or a fraudulent transaction, creating a sense of urgency and panic.

What is a One-Time-Password (OTP)?

One-time passwords are temporary codes sent to your registered mobile number or email address to authenticate your identity during online transactions. They provide an additional layer of security, ensuring that only the rightful account owner can complete the transaction. They should never be shared with anyone. However, scammers have devised cunning ways to trick individuals into sharing their OTPs, compromising their bank accounts.

The Dangers of Sharing Your OTP

Sharing your OTPs with anyone, including individuals claiming to be bank representatives, can lead to severe consequences. Here are some risks associated with sharing OTPs:

Unauthorised Account Access: Scammers may be able to gain access to your online banking account by using the OTPs you provide. Once given access to your account, they can conduct unauthorised transactions, transfer funds, or even change your account details, leaving you financially devastated.

Identity Theft: OTPs are a valuable piece of information for cybercriminals seeking to commit identity theft. By obtaining your OTPs, fraudsters can use them to verify their identity and gain access to other sensitive accounts, leading to potential financial loss and reputational damage.

Malware and Phishing Attacks: Scammers often employ sophisticated techniques, such as phishing emails or text messages, to trick you into disclosing your OTPs. Clicking on malicious links or downloading attachments from these messages can infect your device with malware, allowing criminals to steal your personal information.

Protecting Yourself from Bank Impersonation Scams

To safeguard yourself from falling victim to bank impersonation scams, follow our essential tips:

Verify Caller Identity: If you receive a call from someone claiming to be a Horizon team member or representative, don't share any sensitive information. Instead, hang up and contact us directly. This way you can verify the legitimacy of the call before proceeding.

Be Wary of Unsolicited Emails and Messages: Exercise caution when receiving emails, text messages, or social media communications requesting your OTPs. Legitimate banks and financial institutions will NEVER, EVER ask you to provide your OTPs or any other insecure communication channels.

Educate Yourself: Stay informed about the latest scams and fraud techniques. Banks often issue security advisories and updates on their websites or through mobile banking apps. Read these alerts to familiarise yourself with common fraud tactics and learn how to protect your personal information. We recommend staying updated via the Horizon Bank Facebook page and by visiting ScamWatch.

If you’d like to learn more about how we at Horizon safeguard your banking visit our security page. If you suspect you have been a victim of a scam, contact us immediately on 1300 366 565 or fill out this form so we can secure your accounts and assist you further.

How To Spot & Avoid Phishing In Texts, Emails & Calls

Fri, 27 Sep 2024 04:19:56 Z

Data from Scamwatch reveals that scammers’ favourite tools are text messages, emails and phone calls, these are the top three ways scammers are contacting victims to obtain their sensitive information.

“Phishing scams are a constant threat, and the only way to truly protect yourself is to remain vigilant with any type of unsolicited contact. Don't be fooled by seemingly trustworthy entities; legitimate companies will not ask you to provide sensitive information through unsolicited texts, emails, or calls,” COBA Chief of Financial Crimes and Cyber Resilience Leanne Vale said.

COBA’s Financial Crimes and Cyber Resilience team have provided some top tips to help you outsmart phishing scams and prevent you from falling victim.

What is phishing?

Phishing is when scammers impersonate trusted entities, targeting individuals through phone calls, emails or text messages. They have impersonated banks, telecommunication companies & government agencies such as the ATO or myGov for example.

The websites & emails that the scammers use are designed to mirror the branding and logos of the company or institution they’re imitating so that they look legitimate. Their aim is to extract personal information from you such as credit card details, usernames, codes and passwords.

Common tactics they use include:

The ‘technical error’: The scammers may claim there has been a system error or glitch that has erased customer data and urge you to re-enter your details.
The ‘security update’: You’ll be asked to update your details for ‘security reasons’.
The ‘unauthorised activity alert’: Scammers may raise alarms about some suspicious activity or transactions on your account and ask for your details so they can investigate further.

How can you spot phishing attempts?

Scammers use phishing scams to obtain your personal information and often will include malicious links they want you to click. When it comes to spotting phishing attempts, we suggest that you always stop & think before you click, and if you’re unsure if it’s legitimate, contact the company directly. When doing so, use their official website, phone number or mobile app so you can try verifying the request you received and never use the contact details that are within the call, text message or site you receive.

Here are some red flags to look out for:

Suspicious sender:
Although the message or email may appear to be from a known and trusted company, the number or email address can be unfamiliar or not match the official contact details.
Urgent language:
Look out for the sense of urgency in the language. Scammers will often use language such as ‘Your account is locked!’, ‘Payment overdue’ or ‘Immediate action required!’ to try to pressure you into acting quickly and without thinking.
Suspicious links:
Stop, think & don’t click! Never click on links within unsolicited text messages or emails. As mentioned earlier, it’s best to go directly to the company’s website or app, or contact them by phone directly.
Requests for personal information:
Legitimate companies don’t ask you for personal information such as passwords, codes or credit card numbers via a text message or phone calls.
Suspicious attachments:
Be careful not to open any attachments you receive from unknown senders or suspicious senders. They may contain harmful malware.

What should you do if you spot a phishing scam?

Reporting a phishing scam is crucial, even if you’ve managed to avoid falling victim to one or losing money. By reporting the scam and sharing your story you can help protect others and stop the criminals. Report the scam to National Anti-Scam Centre - Scamwatch.

Customer-owned banks are dedicated to safeguarding their customers from scams and fraud. In November 2023, 55 mutual banks and credit unions demonstrated this commitment by joining forces to launch the Scam-Safe Accord. This industry-wide initiative represents a united front against scammers and reinforces the banking sector's determination to strengthen consumer protection. Find out more about the Scam-Safe Accord here.

Protect your personal information from phishing scams. If you suspect a phishing attempt, report it immediately to help prevent further cybercrime. For more resources and assistance, visit Horizon Bank and learn how we can support your cybersecurity efforts and scam prevention.

Horizon Bank has a branch network spanning the NSW South Coast and Illawarra.
Horizon Bank branch locations: Albion Park, Bega, Bermagui, Berry, Merimbula, Moruya, Nowra, Thirroul, Ulladulla & Wollongong.

Horizon Bank App

Thu, 22 Aug 2024 10:31:28 Z

With the world constantly on the move, it has become ever more important to have access to your money while you're on-the-go.

The Horizon app provides banking at your fingertips and is available for both Apple and Android. It provides customers with real time access to accounts and branch information – anytime, anywhere.

Horizon Bank App features

Access to account information
Transfer to & from accounts
Pay bills
Transfer funds via Osko®
Activate cards
Lock and unlock cards

A few things to remember

Don’t keep your Member Number and Password with your mobile device.
Make sure you logout when you’re finished with mobile banking.
Get in touch with Horizon Bank immediately, if you’ve lost your mobile device or feel that someone may know your login details.

How to Prepare for a Pain-Free Tax Season

Tue, 30 Jul 2024 05:27:55 Z

Three claims the ATO is watching for this year

Last month we saw the beginning of the new financial year and the closing of the last, which means if you earned an income in the last 12 months, it’s time to go through your income and deductions so you can prepare and file a tax return.

Many Australians are hoping for a tax refund to relieve cost-of-living pressures. Being aware of what the Australian Tax Office (ATO) is targeting at the moment, can help get your return processed quickly and seamlessly.

The ATO has given advice to taxpayers not to rush through their tax returns, as any mistakes or omissions will likely hold up their refunds.

“We see lots of mistakes in July where people have forgotten to include interest from banks, dividend income, payments from other government agencies and private health insurers,” ATO assistant commissioner Rob Thomson said.

The ATO have also announced 3 key focus areas for this tax season, so here’s what you should be paying extra attention to before you file your tax return.

1. Work-related expenses

Many workplaces have adopted flexible working arrangements since the COVID-19 pandemic, which allows some Australians to now have hybrid roles where they work from home part of the week, rather than being in the office full time.

With working from home there are a variety of expenses that are valid, but you are required to have valid records to support these expenses. The ATO is watching for taxpayers who may overclaim for these expenses without the valid records.

There are two methods that can be chosen from when filing a return, one being the ‘fixed rate’ method and the other being an ‘actual cost’ method. The ‘fixed rate’ method means you can claim 67 cents an hour, but to do so must be able to substantiate your time working from home. An easy way to do this is by keeping a diary or a spreadsheet of your work from home time.

“Copying and pasting your working-from-home claim from last year may be tempting, but this will likely mean we will be contacting you for a ‘please explain’. Your deductions will be disallowed if you’re not eligible or you don’t keep the right records.” Mr Thomson said.

2. Rental property claims

There are a number of legitimate expenses you can claim if you own an investment property, however the ATO have said its common that owners get their income tax returns wrong. This can hold up the process and raise red flags.

Because of this, rental property claims will be firmly in the ATO’s sights this year.

“We encourage rental property owners to carefully review their records before lodging their return and take care to ensure they are claiming deductions correctly,” Mr Thomson said.

Common mistakes when it comes to investment property claims include not keeping proper records and claiming an immediate deduction for renovations (which are classed as capital improvements).

3. Additional income

As mentioned earlier by Mr Thomson, pre-filled tax information isn’t always readily available and in by 1 July.
Taxpayers can end up having to make amends to their returns once additional information comes through because of this. Additional information can include dividends, extra work income or health insurance information.

“We know some prefer to tick their tax return off the to-do list early and not have to think about it for another 12 months, but the best way to ensure you get it right is to wait for just a few weeks to lodge,” Mr Thomson said.

“You can check if your employer has marked your income statement as ‘tax ready’, as well as if your pre-fill is available in myTax before you lodge. That way, an amendment doesn’t need to be made later, which could result in unnecessary delays.”

If you’d like to learn more about what you can and can’t claim, visit the ATO website.

Navigating tax season doesn't have to be a stressful ordeal. By understanding the Australian Tax Office's key focus areas, including work-related expenses, rental property claims, and additional income reporting, you can prepare your tax return with confidence and accuracy.

Remember to keep meticulous records, double-check for any missing information, and consider waiting until all pre-filled data is available before lodging your return.

Taking these steps will not only help you avoid common mistakes but also expedite the processing of your refund. Stay informed and proactive, and you'll find that tax season can indeed be pain-free.

Horizon Bank has a branch network spanning the NSW South Coast and Illawarra.
Horizon Bank branch locations: Albion Park, Bega, Bermagui, Berry, Merimbula, Moruya, Nowra, Thirroul, Ulladulla & Wollongong.

Why You Need an Emergency Fund

Mon, 29 Jul 2024 03:57:28 Z

From time to time we all have surprise expenses that come up, but the financial pressure can pile on when you’re hit with an especially large, unexpected cost & it can quickly blow out your budget.

For when these surprises come along, an emergency fund can help cover you and your family. We’ve looked at a few reasons why this safety net is important and some steps you can follow to get one set up.

What’s the purpose of an emergency fund?

Unfortunately, this fund isn’t for fun spending such as a holiday or shopping spree. An emergency fund is designed for expenses that aren’t anticipated that you may need to cover in a short time period such as:

Medical or dental bills
Urgent home repairs
Car repair costs
A loss of income for a period of time
Emergency travel

If you don’t have an emergency fund, you might have to tap into your savings, take out a loan or extend a loan to cover the unexpected costs which can be stressful.

How to build an emergency fund

1. Set up a new account

An emergency fund is usually a dedicated bank account. That way, you can see how much is in it and don’t have the temptation of taking money out for reasons other than urgent costs. Speak to your customer-owned bank about establishing a new account. You may even reap the benefits of a bit of extra interest if you save regularly.

Usually an emergency fund will be a dedicated bank account. By having it that way, you can easily see how much you have in it as well as removing some of the temptation to take money out of it for reasons that aren’t urgent costs.

You can speak to your local branch or contact us to discuss your options when establishing a new account, you may even be able to benefit from some extra interest if you save regularly depending on the account you go with!

Check out our popular savings accounts or our popular everyday accounts.

2. Establish a target

Although it’s hard to know exactly how much you may need in the future for life’s unexpected events, having a ballpark figure in mind can help you with your saving.
The Australian Securities and Investments Commission’s MoneySmart suggests putting aside three months’ worth of living expenses. The site has a budget planner you can use to see what this may look like for your household.

3. Think about regular payments

Work out how often you will make payments into the emergency fund. If you’re starting from scratch think about putting money into the emergency fund weekly, fortnightly or monthly. This could depend on the frequency of your pay.
You may opt to have automatic deductions from your main account to your separate bank account set up for your emergency fund, this way you don’t have to think about it.

4. Consider adding any windfalls to your emergency fund

If you get a pay rise, inherit some money or receive a tax refund, consider directing some or all of it into your emergency fund. Adding a larger payment can help build the fund up quickly.
Adding a larger payment to your emergency fund is a good way to help build the fund up quicker. If you happen to get an inheritance, a good tax refund or a pay rise for instance, you may consider directing some or all of those funds to your emergency fund.

5. Set up some rules for tapping into the fund

Having some ground rules around when or how you can use the funds in your emergency fund is important so that you don’t tap into it too often. Keeping the emergency fund at the right level is key. For example, things such as smaller car repairs or dental bills you may just want to use money from your other accounts rather than the savings in your emergency fund so it isn’t being used too often, saving the funds in there for more major incidents.

Building an emergency fund will provide you with peace of mind that you’ll maintain financial stability should unexpected expenses come up. By setting up your dedicated account, establishing your savings targets, making regular payments and setting yourself clear ground rules for its use, you can create a great financial safety net that will protect you and your family from unanticipated expenses.

Don't let surprise costs derail your financial plans. Start taking steps today to build your emergency fund and secure your future. Speak to your local Horizon Bank branch team for more information on setting up a dedicated account or you can get in contact with us online. Remember, the key to financial resilience is preparation, and an emergency fund is your first line of defence.

Ready to take control of your finances? Begin building your emergency fund now and enjoy the confidence that comes with being prepared for life's unanticipated events.

Horizon Bank has a branch network spanning the NSW South Coast and Illawarra. Horizon Bank branch locations: Albion Park, Bega, Bermagui, Berry, Merimbula, Moruya, Nowra, Thirroul, Ulladulla & Wollongong.

How To Prepare When Your Fixed Rate Is About To End

Thu, 25 Jul 2024 02:13:15 Z

If you locked in a fixed-rate loan before interest rates began to rise, you may be worried about the upcoming increase in your mortgage when the term you locked in comes to an end. Here are a few tips on how you can avoid a budget shock when your mortgage reverts to a variable rate.

When the interest rates first began to rise from their record-low rates, many homeowners rushed to lock in a fixed-term rate to secure a lower, stable rate.

The Reserve Bank of Australia estimates that close to 1 in 4 mortgages were ‘fixed’ at the end of last year, which essentially means the rate was locked in for a period. Usually, banks will offer a fixed-rate period of 1, 2, 3 or 5 years.

However, for homeowners who had locked in a fixed rate earlier, such as in 2020 or 2021 when rates were much lower, will likely feel the pinch a lot more when their fixed-term ends than those who opted for a fixed rate in 2022 or 2023. This is because the rates jumped up from around the 2 per cent mark to closer to the 6 per cent mark, and this could potentially add hundreds or thousands of dollars to their repayments in interest, depending on the size of the loan.

It's difficult to know what the market is going to look like in the future when opting for a fixed-rate, which is usually done from the perspective of knowing exactly what your repayments will look like for a certain term. Unfortunately, all those fixed terms will eventually expire, and homeowners will return to a variable rate, usually paying more interest. Some may fix their loan again when it comes to this time, but it will likely be at a higher rate than the one they were offered in their previous fixed-mortgage term.

If you’re finding yourself in this position, here are a few ways you can make the transition a smoother, and hopefully a less stressful experience.

Build a buffer

A good idea to test how you will be able to manage the higher repayments is to start putting a bit extra into savings between now and the end of your fixed rate mortgage term. A starting point for this could be to use a mortgage calculator to identify a ballpark of what your new repayments will be when the fixed term ends, and put the difference into a savings account. This will give you an idea of how the household budget will be affected, plus you may even benefit from extra interest in the savings account too.

Some fixed-term loans also allow you to make extra repayments, which could help ease the burden when the mortgage increase occurs. At Horizon, we allow up to $30,000 in extra repayments each loan anniversary year, which helps reduce the term of the loan. Horizon also allows you to redraw on those funds free of charge if you require them.

Adjust the budget

If you work out the new higher repayment and it’s looking tight budget-wise, you may need to look at making some cutbacks. Firstly, look at scaling back discretionary spending where it’s feasible, such as limiting dining out or getting takeaway meals and subscriptions or entertainment activities that are not necessary.
Reviewing your budget is always a good idea to ensure you are using or saving your money effectively for your household.

Many online tools can help with budgeting and identifying leaks, such as MoneySmart’s budget tool.
Horizon Bank also has some budgeting tools and tips to help out.

Come up with a plan of action

It’s important to have an action plan before the fixed-rate term ends so you’re prepared for the change in repayments. A good start is to discuss with your lender everything you need to know before the rate changes; for example what rate you will be offered if you were to fix the mortgage again, or what rate you will be offered if you were to stay on a variable once it reverts. Sometimes there’s a difference between what a new customer and an existing customer would be offered ratewise. If you’ve been with your bank for a while and have always made repayments on time, you may find your bank is willing to negotiate to keep your business. If you’ve paid off more than 30% of the value of your property, you may find you’re eligible for a rate discount.

If you want to go into another fixed term loan, it’s also wise to think about that in advance so you can do the sums and get things started promptly. However, if you decide that you want to refinance to another lender, don’t forget to weigh the costs against the savings. Some lenders will charge exit and application fees, so it’s worth doing your calculations to see if refinancing makes sense for you and your situation.

Finally, if you’re having trouble paying your loan and this is causing you anxiety, you can always speak to your lender’s hardship team or a financial counsellor for free via the National Debt Helpline: 1800 007 007.

The end of a fixed-rate mortgage term can be a challenging transition, especially in an environment of rising interest rates. However, you can navigate this phase with minimal financial discomfort with careful planning and strategic decision-making. Building a financial buffer, adjusting your budget, and outlining a clear plan of action are all effective ways to prepare for the increase in repayments.

Remember, open communication with your lender is key. Understand the new rate you'll be offered, negotiate if possible, and consider all your options, including another fixed term or refinancing, always weighing the costs against potential savings.

With the right approach and resources, you can manage this transition smoothly and maintain control over your financial future. For more information on home loans and navigating changes in mortgage rates, visit Horizon Bank today.

We’ve got the Illawarra and South Coast covered with branches located in Thirroul, Wollongong, Albion Park, Berry, Nowra, Ulladulla, Moruya, Bega, Bermagui and Merimbula.

Be Scam-Smart: 10 Tips for a Safe Tax Season

Tue, 11 Jun 2024 05:39:15 Z

We know that navigating tax season can be daunting but throw in the increasing threat of tax scams and it’s even trickier. By remaining vigilant and informed, you can protect your personal information and financial security.

Below are 10 simple tips you can follow which will help you recognise common scams and how to avoid them. These 10 practical tips to identify phishing emails & reporting suspicious activity will enable you to safeguard your identity & prevent any financial losses during this upcoming tax season.

1. Beware of phishing emails: Phishing emails are frequently being sent out by scammers, in this instance they will be pretending to be from myGov or other related government agencies. Often phishing emails ask for you to provide personal information & other sensitive details such as your myGov username and password.

2. Verify email sources: A quick and easy way to help determine if an email from myGov or government agencies is legitimate before responding, is to always double check the sender’s email address. Typically, any official emails from myGov will come from addresses ending in @my.gov.au

3. Avoid clicking on links: Think before you click! Be cautious of any links that are included in emails that are allegedly from myGov. Instead of clicking links, you’re best to manually type in the myGov website address to your browser to access your account.

4. Watch for urgency or threats: Often phishing emails will create a sense of urgency or be threatening to try coercing you into taking immediate action. Always be sceptical of emails that claim your myGov account could be suspended or you may face penalties if you don’t respond to the email promptly. The same goes with offers of refunds or overpayments.

5. Never share personal information: Remember that official representative of myGov or government agencies won’t ever ask you to provide them with personal information via email. This includes your password, tax file number or banking details. If you receive unsolicited emails, avoid sharing this information in response.

6. Report suspicious emails: It’s important that if you receive any suspicious emails claiming to be from myGov or other government agencies, you report them to the Australian Cyber Security Centre (ACSC) or even the myGov help desk. If the email you receive is regarding taxation, you can forward the email to the Australian Taxation Office (ATO). To do this you can:

Phone the ATO on 1800 008 540.
Forwarding the scam email to ReportScams@ato.gov.au
Take screenshots of fake social media posts and email them to ReportScams@ato.gov.au

7. Use two-factor authentication: A good safeguard of your myGov account is to enable two-factor authentication if possible (2FA). By adding 2FA you add an extra layer of security by requiring a second form of verification in addition to your password when logging in, such as a code sent to your mobile phone.

8. Stay informed: Keeping up to date with the latest scam alerts and security advice from the ATO, myGov and any other relevant government agencies. Often these organisations will provide information around common scams and ways to protect yourself against them.

9. Educate others: Tell your friends, family and colleagues about myGov phishing scams so you can spread awareness. Encourage them to also be vigilant and to report any suspicious emails they receive.

10. Regularly monitor your accounts: Keep a close eye on your account activity on your myGov account and linked services such as the ATO, Centrelink, Medicare or Department Veterans Affairs. If you notice any suspicious or unauthorised activity, or changes to your account, report it immediately.

You can review further information about active scams and examples of myGov impersonation scams on their website.

By making sure you’re aware of the risks associated with the myGov phishing emails, and making sure you are proactive in taking measures to protect your account, you’re able to safeguard your personal information and minimise the risk of falling victim to a scam.

Top 5 Alternative Strategies for Entering the Australian Housing Market

Wed, 08 May 2024 10:17:08 Z

Struggling to qualify for a home loan on your own? There may be some other ways to secure your first home! Here are 5 popular strategies that may help you.

Property prices are still high and rising in a lot of major cities, so the dream of owning a home can sometimes feel like it’s moving further out of reach for many Australians.

However, for savvy buyers, there are still plenty of ways to get your foot in the door. Thinking outside the box… here are some ideas.

1. Buy with a friend or relative

Consider buying with a loved one or friend. It’s simple, you can split the cost of the deposit and the loan, which make it easier for you to both qualify for the loan with your bank and meet the loan responsibilities.

Before going ahead with this option, it might be worth getting professional advice. It’s best to do so, so that you have an exit plan and preparation for unexpected events such as job loss or getting sick.

Check out Horizon’s range of Home Loans or reach out to a lender today to discuss this option more.

2. Get a guarantor loan

A guarantor loan means the involvement of a third party – this is usually a parent, extended relative or friend. They put their own assets against your loan as a guarantee. This will give your lender security in case, for some reason, the loan can’t be repaid.

While guarantor loans are good to help those who don’t otherwise qualify for a loan, it comes with risks for the guarantor. If you’re unable to pay the loan back, the lender can ask the guarantor to pay the loan. If they can’t repay the loan, their assets can be repossessed.

At Horizon Bank we have a Family Equity Loan, which allows family members to use the available equity in their home or investment property to provide additional security to help cover any borrowing shortfalls between the deposit and loan amount. Reach out to one of our lenders today to learn more, or enquire now online.

3. Consider rentvesting

If you’re not able to buy your dream home because you can’t afford it, you could consider investing in a property to rent out at a smaller cost, therefore getting a smaller loan, and renting yourself somewhere else in your preferred area that suits your lifestyle choices. This gives you the opportunity to own a property. Often, owners will use the rental income they earn to pay off their loan, and sometimes even help cover their own rental costs, as well as helping with other property-related expenses. You may want to consult with an accountant to learn about any tax benefits (negative gearing).

There is a risk of over-committing with this strategy. The costs may end up outweighing the income your property generates, so it’s very important that you do the math beforehand and work out your budget.

You can use our budget calculator to assist in budgeting.

If you’re thinking about buying an investment property, check out Horizon’s investment loans.

4. Look farther afield

Regional areas are rapidly growing and can often offer similar lifestyle opportunities at a lower cost. Consider a change in scenery if moving is an option for you, and move somewhere where a property market hasn’t caught up to the likes of major cities yet.

Regional home buying has been trickier for buyers in the past, with concerns of a move somewhere regional or to the country could hamper their links to city-based employers. This in a post COVID era is an issue that has evaporated, thanks to new technology and more flexible work opportunities.

5. Take advantage of incentive schemes

There are a number of national, state and territory based incentive schemes to check out, depending on where you plan to buy and/or live, that can help you get started. These include:

First Home Owner Grant – Eligible first-home buyers that are planning to live in their property can get a grant of between $10,000 and $30,000. This scheme is funded by states and territories.
Help to Buy – This scheme is set to arrive later in 2024, and is when the federal government offers eligible buyers a contribution of up to 40% of a home’s cost, in exchange for a proportional equity.
NOTE: This scheme will only be available to a limited number of prospective homeowners.
First Home Super Saver Scheme – This program allows savers to build up their deposit within super while benefiting from tax concessions. Up to $50,000 can be saved up in the borrower’s super account and they can withdraw it once they are ready to apply for their loan.
Other state and territory based schemes – Different jurisdictions have slightly different approaches in helping first-time buyers, so it’s worth checking your state and territory websites to see what they can offer.

How to Protect Yourself from Money Mule Scams in Australia

Wed, 24 Apr 2024 04:47:47 Z

We are seeing money mule scams become more common in Australia, with victims being recruited by criminals through fake job ads and romance offers. We’ve put together some tips so you can keep yourself safe.

Movies and crime TV shows might be the place you’ve seen the work of ‘money mules’, but we’ve seen real-life examples of this illegal activity popping up in the Australian retail banking space in recent months.

Simply put, money mules will transfer the money of crime – such as fraud or scams – into a third party’s bank account to hide it from the authorities.

These scams are disguised as an employment opportunity or even a new romance, so unsuspecting victims sometimes get caught up in it all. Here’s how people get caught out and how you can stop it from happening to you.

How money mule scams work

Money mules are the middle-men that act on behalf of other criminals that are trying to hide or launder money derived from crime.

In order to cover their tracks, the money mules will try to recruit new people to get involved in the transfer of large sums of money.

A common way of new people being recruited is under the guise of a legitimate employment opportunity, where the employee can earn sums of money quickly by making transfers.

Another common way is through a romance scam, where a potential partner will ask their online love interest to transfer money for them.

Shielding yourself from a money mule scam

It can be tricky to spot these scams, as they are quite sophisticated with the fraudsters creating legitimate-looking email addresses or websites, so they don’t have as big a chance of being detected – however even if they do a good job of disguising themselves there are often some red flags.

Here are some tips that might help:

The old saying, “if it sounds too good to be true, it probably is”, definitely applies to money mule scams. Being offered large sums of money for minimal and easy work, is a big red flag, so beware.
If you get a job offer, make sure you do your research on the company. Things to look for are their ABN, how long the company has been registered and who the directors/owners are. Be extra cautious of businesses that are listed overseas.
If something feels a bit off, ask a trusted family member or friend for some advice. Another perspective is always handy as they may pick up on things you missed.
If you haven’t met someone in person, or you don’t know the person, don’t send them money.
Always protect your banking details and make sure you’re updating your passwords periodically.
Always think before you click any links in emails or text messages.

What if you think you’ve already been scammed?

If you believe you’ve fallen victim to a money mule scam, it’s very important you report it to your bank as well as the police as soon as possible. The sooner you get in touch with your bank, the more likely it is that they’ll be able to stop the transactions. It is important to note however, some transactions aren’t able to be stopped – such as wire transfers.

After you speak with your bank, we’d recommend contacting IDCARE – which is the national identity and cyber support service – on 1800 595 160. As money mule scams can involve identity theft, IDCARE can help you come up with a plan if that is a risk you’re facing.

You can also report the scam to Scamwatch.

It is vital that you stay vigilant against Australian banking scams. By staying alert and recognising red flags, you can protect yourself against falling victim to these scammers.

Money mule scams are on the rise in Australia, so be wary of any “too good to be true” opportunities or offers and keep your banking details safe. Everyone is vulnerable to scams, so everyone needs information about how to identify and avoid being scammed. You can find more information on scams awareness on our website.

Economics Jargon Busted!

Tue, 16 Apr 2024 01:33:48 Z

Do you ever feel like when you are listening to news about the economy, you have to try decipher what is being said as if it's a complex code. We get it! In this guide, Economist Nicki Hutley helps to unravel the tangled web of economic jargon so that you can decode financial news, and even any decisions you may face when it comes to work, spending or investing. Buckle up for the crash course in economic know-how!

Byline: Nicki Hutley

Being able to understand economic concepts is a powerful tool that you can use in making decisions when it comes to your work, your purchasing choices, and borrowing and investing money. You might hear politicians often using economic jargon, so it can also help to better understand what they are talking about. In saying this, often economists don’t make it easy to understand, so this is why we’ve put together a quick guide of commonly used terms that we feel could be useful to you.

Monetary Policy - The RBA (the Reserve Bank of Australia) will use monetary policy to try and steer the economy in the right direction when the economy is either running too hot, meaning high inflation, or too cold, meaning high unemployment. There are 3 ways they do this, but the most common which you are likely to know all about, is setting interest rates (also referred to as the cash rate, which we will explain further in the next point).
Higher rates make borrowing more expensive, so people and businesses tend to spend less, which can help stop the economy from overheating. Conversely, when the economy needs a boost, like when people aren’t spending much and businesses aren’t growing, the RBA might lower interest rates. Lower rates encourage people and businesses to borrow and spend more, which can kickstart economic activity.

Cash Rate – The cash rate is the interest rate that banks pay to borrow funds from other banks. It is set by the RBA board at each of their meetings. Although this sounds pretty boring, it tends to get a lot of attention in the media, and this is because the cash rate is what influences all the other interest rates, such as mortgage and deposit rates. When the cash rate goes up or down, this will typically flow through to the rate you’re charged for your mortgage, your personal loans and credit cards.

Inflation – Inflation is probably a term you’re familiar with; it measures the rate at which prices change over time. The Consumer Price Index, or CPI, is the main measure of inflation. The CPI is made up of the changes in the price of hundreds of different average household goods. This includes things such as bread, fruit, meat, beer, toothbrushes, hairdresser services, school fees, BBQs, electricity, cars & petrol to name a few.
Some prices will go up while others will come down in any one period.
The RBA has a target for ‘underlying’ inflation, which takes out items that tend to jump around a lot—such as petrol and some foods—of 2% to 3%. When inflation is higher than this target and rising, the RBA is likely to increase the cash rate.

Gross Domestic Product – The measure of the size of our economy is called Gross Domestic Product, or GDP. GDP is reported every 3 months and tells us how individuals, businesses and governments have spent and invested their money. This report covers everything from toothbrushes to roads.
GDP tells us which parts of our economy are doing well, and what parts aren’t doing so well. Economists are mostly interested in seeing how GDP changes between one period to the next and whether we are in a period of growth or not. If the GDP falls for 2 quarters in a row, that is defined as a recession.
Something else economists sometimes talk about is “trend growth”. This indicates how fast the economy can grow without setting off inflation.

Stagflation – Stagflation is a term that was created in the 1970’s to describe a period when economic growth is low, or shrinking, yet inflation is high. Stagflation doesn’t happen very often fortunately. An example of stagflation is in 1983 when inflation hit 11%, but the economy was in a recession.

Productivity – Productivity is one of the most important economic indicators. It measures how much is produced for each hour worked. We’re sure you’ve heard the saying “work smarter not harder”, well when we work “smarter” productivity goes up. This is important as productivity is one of the key ingredients for improving our standard of living. When we see a rise in productivity, we see businesses doing better and this means profits and/or wages are higher as a result. Sounds ideal right? So, how do we get productivity to grow? Increasing investments into machinery and technology that help us do our jobs more efficiently, we can make improvements to the way businesses operate and we can invest in upskilling people. Productivity can also be improved by governments, by making it easier for businesses to do business through investing in infrastructure such as roads and telecommunications.

Fiscal Policy – Think of Fiscal policy as the government’s wallet and spending habits. Just like how you manage your own money to buy things or save for the future, the government uses fiscal policy to control spending, taxes, and borrowing to keep the economy in good shape. Fiscal policy is balancing what people want or need from the government (such as schools, hospitals, roads, defence and childcare to name a few) with the requirement of paying for these things through taxes – taking into account the overall effect of those decisions on the economy.
A very important day for the fiscal policy calendar is the second Tuesday in May. This is when the federal government hands down its budget. When the government spends more than it receives, the budget will be in deficit leading to an increase in debt.

Labour Force – The Labour Force is the number of people who are working (employed) or aren’t working but looking for work (unemployed). You’re counted as employed by The Australian Bureau of Statistics even if you work just one hour per week, and you don’t count as unemployed unless you are looking for work. If you aren’t applying for jobs or working for any reason, then you’re not counted as a part of the labour force.

Underemployment – Unemployment, as previously mentioned, is the number of people actively looking for work. This is reported monthly basis as a percent of the labour force.
There is a concept called underemployment which refers to the people who work part-time but seeking more hours. When you add together the unemployment and underemployment, you get the underutilisation rate. Policy makers will look closely at this rate to see if there is likely to be wage pressure, which could lead to inflation.

Exchange Rate – If you’re an avid traveller, you’ll know this term very well and probably keep a close eye on it. The Exchange Rate refers to how much you would get if you were changing your Australian dollars into another country’s currency, or vice versa.
If you’re lucky enough to have a trip overseas planned soon, you’ll be following the exchange rate for your destination, so you can map out costs while you are there.
Another time you may encounter exchange rates is when you’re buying something from overseas (imported goods) which could a piece of clothing, a car or petrol. When the Australian dollar falls, we pay more for imports.

Cryptocurrencies – Cryptocurrencies can only be accessed via computers or other electronic devices and don’t have a physical form like banknotes or coins. The most commonly known cryptocurrency is Bitcoin. They are often referred to as “cryptos”. It’s important to know that it is not the same as ‘real’ money, and is not regulated in Australia. Cryptocurrencies aren’t a very useful form of money as most sellers won’t accept cryptocurrencies as payment. Cryptocurrencies are often very volatile, compared to the Australian dollar that generally doesn’t move by much day to day.

Together, we’ve delved into the intricacies of some key economic concepts and terms that are frequently used when discussing the state of the economy and its impact on our lives. Deciphering the complexities of economics isn’t just about unravelling jargon; it's about equipping you with the knowledge to navigate the economic currents shaping our lives. I hope this explainer helps you to more confidently steer through these economic waters and traverse the complexities of our financial world.

At Horizon Bank, we believe in empowering our customers with the knowledge and resources they need to make sound financial decisions. Understanding economic terms and concepts is crucial, but having a trusted financial partner can make all the difference. Whether you're planning your next investment, considering a loan, or simply seeking some guidance on navigating the current economic climate, Horizon Bank is here to support you. Visit our website at Horizon Bank or come into one of our local branches to learn how our personalised financial services can help you apply your newfound economic insights in practical, profitable ways. Let's decode the world of finance together.

4 Tips to Pay Off Your Home Loan Sooner

Mon, 15 Apr 2024 02:19:51 Z

4 TOP TIPS TO PAYING YOUR HOME LOAN OFF FASTER (without increasing your payments)

Pay your home loan off faster without increasing your payments? That doesn’t sound right!
Well of course paying more off your loan will reduce it but short of asking for a raise or getting a second job, most of us are working off what we receive each payday. These paying off your home loan faster tips are all about working smarter, not harder.
Stick with me and I’ll give you 4 top tips on easy and fast ways to pay off your home loan quicker.
You may have heard that the secret to success is to find those little hacks, those incremental improvements that snowball to achieve tremendous results. Well, this is all about finding what’s available to you and taking full advantage to benefit you financially. It’s not as hard as you’d think.

1. CHOOSE YOUR REPAYMENT FREQUENCY

If you don’t specify how often you want to make loan repayments, your bank or lender is likely to make it monthly. If you’re getting paid weekly or fortnightly, change payments to that.
KEY INFO: This is really important and simple information … your loan interest is being calculated on the daily balance of your loan, so the less your loan balance is … the less interest you’ll attract and you’ll eventually pay off your loan quicker.
This tip and the rest below are all incremental ways that takes into consideration that Key Info and helps you reduce the length of time of your home loan and therefore pay your debt off quicker.

2. MORTGAGE OFFSET ACCOUNT

Ask your lender for a mortgage offset account. This account is key to successfully paying off your home loan quicker.
What’s a mortgage offset account you may be asking?
Basically, a mortgage offset account is a savings account that earns no interest, the balance however offsets your loan balance.
Put simply … if you had $500,000 left to pay off your home loan and you had $30,000 in your mortgage offset account, you would only pay interest on $470,000 rather than $500,000! How good is that?

As an example, if you had a 6.00%p.a. home loan, that would be a saving of $1,500 in interest over a year, compared to if those funds were in a savings account earning 1%p.a. The less interest you attract means you pay your loan off quicker!
You haven’t increased payments AND you still have access to your savings in the mortgage offset account should you need it.
Ideally, any spare cash you have would be deposited and kept in the offset account.
This leads me to tip #3 and how you can live day to day while keeping as much cash as possible in your mortgage offset account.
[Learn more about Horizon Bank’s Mortgage Offset Account here.]

3. GET A CREDIT CARD

Are the warning bells going off? I know this sounds counterintuitive but the idea here is to find a low rate no annual fee card that you can use daily. What this does is delay payment of your everyday expenses.
Remember, your home loan interest is normally calculated daily and charged monthly. It stands to reason that you should keep has much money as possible in your mortgage offset account to offset your daily loan balance. You can achieve this by delaying the payment of your everyday expenses as long as possible.

The other REALLY important part of this tip is to pay the required balance of your credit card to avoid any credit card interest.
Generally, cards with reward points attract a high annual fee and interest rate. If you are wanting to minimise the cost, a no or low annual fee credit card is your go to.

If your bank or lender is doing right by you, you can arrange to have the balance of your credit card paid out of your mortgage offset account automatically each month to avoid any interest.
[Learn more about Horizon Bank’s low rate Visa credit card here.]

4. HOLD OFF PAYING BILLS

You may be alarmed once again at the idea of delaying payment of bills but once again, this is your opportunity to keep as much in your mortgage offset account for as long as possible. Remember, your loan interest is being calculated on its daily balance. The longer you can keep your money offsetting the loan the quicker you can pay off your home loan.
Your online banking should allow you to set up automatic payment of your bills from your mortgage offset account on the last day payment is required. Set and forget.
[Learn more about Horizon Bank’s banking access facilities here.]

SIT BACK AND RELAX
If you take a little time to put all these tips into place, you can sit back and relax knowing you’re working the system to benefit you financially. You’ll achieve the ultimate goal of paying off your home loan faster.
_________________________________________
This blog has been brought to you by Horizon Bank.
Horizon Bank has a branch network spanning the NSW South Coast & Illawarra, Branch locations: Albion Park, Bega, Bermagui, Berry, Merimbula, Moruya, Nowra, Thirroul & Ulladulla & Wollongong.
Horizonbank.com.au

Help Your Kids Build Healthy Savings Habits

Fri, 12 Apr 2024 08:45:00 Z

Want to set your children up for financial success? Start teaching them basic money lessons early on to help them develop good practices to last them into adulthood.

As parents, you can set your kids up for success in many ways, one of them is teaching them good money habits.

Schools are beginning to bring financial literacy into their curriculums, however the basic and most important lessons often start at home. Sometimes, this can involve children observing their family’s behaviour; other times, it involves more active engagement. Here are a few ways you can help give your kids a head start.

1. Establish a rewards scheme

One of the most fundamental financial lessons is that money needs to be earned. While we realise as adults there are caveats to that rule, it’s an important place to start with children. Once they realise they cannot get things they want for free, it encourages them to be more mindful of the money they have and might encourage them to start to look at ways they can earn money to save up.

A good way to put this lesson into place is to consider rewarding kids for their positive behaviours. An example is to set chores for the kids that they earn money for doing such as cleaning their room, taking the bins out or helping out in the kitchen. Keeping rewards small might encourage them to save their earnings in order to get themselves something bigger and more meaningful.

2. Incentivise putting money away

As a kid it can be hard for them to see the benefits of saving their money and not spending it as soon as they get it. To make saving their money a more appealing notion, you could offer them reward or bonus money once they have saved a certain amount. For example, when they reach $10 saved, you offer an extra $5 for their efforts. It tells them more could be gained from storing money than buying something immediately. It’s also an early introduction to compounding interest.

3. Let them help at the counter or checkout

To understand saving money, kids may need to become familiar with the money exchange involved in purchasing something. This can help to teach them that the things we want aren’t free and need to be bought with money. A good way to do this is to let your kids pay at the checkout at shops with cash and receive the change. It may be even more impactful of a lesson if it’s something they want to buy, like a favourite food item or a toy, and they are using money they earnt.

4. Set up a bank account

Several banks offer accounts for young children to help them kick-start their savings habits. At Horizon Bank, we have a few different youth accounts to choose from. Setting one up could be a fun experience for the kids and encourage them to save by wanting to go to the bank to put money into their own account. It could also help the little ones see that money can grow over time with regular investment. They’ll likely earn some interest as time passes, which may help teach them about the power of longer-term saving.

5. Introduce goals

We all know it can be hard to feel motivated to save money if there is no goal or target, you’re aiming for. Think about sitting down with the kids and asking them what it is that they want to buy, then helping them work out what’s needed to achieve that goal. You may need to discuss the goal they set to ensure it is reasonable and achievable for them, so they aren’t discouraged if they are unable to achieve it. It’s likely that you will need to be checking in with them to ask how they are going working towards their goal, what they need to still achieve and encouraging them to keep going so they stay motivated and don’t lose sight or interest in their goal.

Teaching kids about money and savings is not a one-time discussion but a continuous journey filled with practical lessons and experiences. Building wealth for kids starts by instilling healthy money habits early. Children can understand the value of saving and smart spending decisions with the right guidance and tools.

Encouraging savings and setting a savings goal for kids will help them grasp the concept of financial planning and delayed gratification. Incentivising saving and making it a fun, rewarding activity can reinforce these concepts. Letting them participate in real-life transactions can also enhance their understanding of money's worth and the importance of budgeting.

The journey to financial literacy is a gradual process, and the team at Horizon Bank is here to help! With a range of youth accounts, we can provide the tools you need to help your child build healthy savings habits. Remember, it's never too early (or too late) to teach your children about money. The seeds you sow today will reap benefits as your children become financially responsible adults. Get in touch with us today.

We’ve got the Illawarra and South Coast covered with branches located in Thirroul, Wollongong, Albion Park, Berry, Nowra, Ulladulla, Moruya, Bega, Bermagui and Merimbula.

What is an Offset Account?

Thu, 11 Apr 2024 00:01:41 Z

What is an offset account?

A home loan is a major financial commitment. This is why it’s a good idea to use products that will help you manage this commitment. Put simply, an offset account is a savings account that ‘offsets’ your loan balance and can help you pay it down quicker.

Here's an example: Sarah and Tom have a $400,000 Home Sweet Home loan. They also have $40,000 in a Home Sweet Home 100% offset account linked to their home loan.

Instead of paying interest on the full $400,000, their offset account balance means they only pay interest on $360,000 ($400,000 – $40,000). If their home loan interest rate is 6.00%p.a Claire and Sam would pay $2,158 interest in a month instead of $2,398 – saving them $240 just because they have an offset account. A bonus feature is that they can access their money at any time if needed. It is important to note that an offset account, while it is a savings account, does not attract any interest.

Why get an offset account?

A mortgage offset account with a substantial balance will reduce the amount of interest you pay on your home loan, which will reduce the amount you pay over the life of the loan.

An offset account can be used just like a savings account where you can make regular deposits. The bigger the balance, the more it’s helping you to pay down your home loan. If you come into an inheritance, earn winnings or some other form of income, holding it in your offset account will ensure you’re maximizing its effectiveness in regards to your payments. You’ll be able to manage your offset account from within Online Banking and our mobile banking app.

When you log in, you’ll be able to see the balance and make deposits, transfers and withdrawals. There are no withdrawal limits from an offset account and transfers are instant.

What should you look for in a mortgage offset account?

Not all offset accounts are the same. Some offset 100% of your loan, while some offset a smaller percentage so make sure you check the details of the account. Be on the lookout for:

A 100 percent (full) offset account, rather than a partial offset
Easy access to your offset funds
No balance limit or penalties for withdrawal
Any monthly or annual fees for having an offset account

Some financial institutions may offer multiple offset accounts linked to one loan, which can help if you're saving for a few big-ticket items like another property, a holiday, a wedding or a new car.

Look out for any fees associated with multiple offset accounts.

How much money do you need in an offset account to make it pay?

Having a substantial balance in your offset is going to maximise its effectiveness in reducing your interest costs. While you can use it as a savings account and withdraw money from it, any money regularly withdrawn from the account may not be beneficial. If the money is leaving the account as quickly as it goes in, the benefit is going to be minimal. Unless you have money sitting in this account long-term, you may only see little or no benefit.

You may also want to consider the interest you would earn in a regular savings account that has an attractive interest rate. If using an offset account, will the reduced interest on your home loan be greater than the interest you would earn, if your savings in the offset account were in a savings account?

Is it better to have money in offset or redraw?

Offset and redraw facilities offer the same savings concept but are different in how they work. They both can help you pay off your loan earlier by reducing the amount of interest you pay on your home loan. Both are generally available on most standard variable rate loans.

An offset account works like a savings account. You can have your pay deposited there, link a debit card to it, and make regular deposits and withdrawals. Alternatively, a redraw is a loan feature. You can only use your redraw if you have made additional repayments to draw from.

Making extra repayments into your loan can increase the equity in your home, reduce your loan repayments and will help keep extra savings out of sight, out of mind.

Many loans now have a redraw feature that allows you to make additional repayments to your loan. Some lenders may have a redraw minimum or a fee for using the redraw feature.

You may be able to use an offset account and the redraw feature on your loan, it doesn’t have to be one or the other.

Ultimately, which one you prefer to use comes down to how you manage money. If you need discipline and don’t want to access the funds as you would from any other account, a loan redraw facility may be the best option.

At Horizon Bank, we’re here to help you with your personal banking needs. Get in touch with our friendly team today and let’s chat about your home loan and investment loan options. Speak to a real local person with branches conveniently located in Albion Park, Bega, Berry, Bermagui, Thirroul, Wollongong, Ulladulla, Moruya, Merimbula and Nowra.

10 Tips: How To Ace Your First Auction

Wed, 10 Apr 2024 04:30:29 Z

The process of buying a home can be stressful, and an auction process can seem quite daunting… but it doesn’t have to be! Auctions are often a common rite of passage to owning your first home, going into it prepared with forethought and strategy can help maximise your chances of success (without having to pay too much).
If this is your first home buying experience, we’ve got 10 tips for you to help you on your journey to acing your first auction, not missing out or paying too much and getting that dream home!

1. Do your homework.

When preparing for a real estate auction, research is key! Here are a few things you can do:

Take a look online at recently sold listings in the area so you can better understand the prices at which similar properties have sold for.
Walk around the neighbourhood and if you have the opportunity, speak to some of the neighbours about the area.
Attend other open homes for nearby properties.

These sorts of activities can help you better understand the home's location and market value and assist in deciding a suitable bidding range for the auction.

2. Obtain a professional building report.

It's important to fully understand the condition of the property and what you’re bidding on, so getting a thorough onsite inspection of the property as well as obtaining a professional building report is a must. If the building report doesn’t come back as favourable, you’ll be able to walk away before the bidding begins. Alternatively, you could use this information to set a lower bidding limit.

3. Set a budget.

Establish a clear budget before stepping into the auction. Remember, you need to consider more than just the bidding price. There are additional expenses such as stamp duty, conveyancing costs, furnishings and any renovations that need to be taken into account. It’s very easy to get over-excited at an auction, so it’s key that you set a maximum bid amount that aligns with your financial capabilities … and stick to it.

4. Apply for financing pre-approval and pull your deposit together.

Pre-approval for a home loan is a type of preliminary approval from a lender. Before you start bidding at an auction, you need to approach your lender to get pre-approved for a loan so that you can be confident in knowing you have finance to pay for your new home should you become the successful bidder. This will show you how much you can comfortably afford based on your income and expenditure.

You will also need to ensure you have your deposit saved and ready to transfer if you are the winning bidder at the auction.

Get fast pre-approval with Horizon’s quick loan application turnarounds! Enquire with your local lender now.

5. Understand the auction process.

Auctions are typically carried out by a real-estate agent, who will act as the auctioneer, and are subject to strict rules. Before an auction, the seller of the property will nominate a reserve price, this is not usually made public. During the auction the hopeful buyers will compete to put in the highest bid for the property. Auctions are fast paced so it’s important to make sure you’re keeping track of the competing bids being placed and stick to your budget. If the reserve price is met and bidding continues, the home will be sold at the end of the auction however, if the bidders don’t reach the reserve price the auctioneer might ‘pass in’ the property, which means it is not sold.
Another important piece of information you need to consider before diving into an auction is that if you are the successful bidder, there is no cooling off period or time to change your mind about the sale.

6. Familiarise yourself with the auction rules.

As mentioned above, some auctions will have specific rules or procedures. Things such as requirements for registration, bidding increments and payment methods.
Make sure you get a copy of the auctions terms & conditions to review, that way you can be prepared to follow the rules.

7. Thoroughly examine the sale contract.

In order to protect yourself against any potential risks that come with buying the property, obtain a copy of the sale contract and show it to your solicitor or conveyancer for review prior to the auction. They can review the contract and explain any risks that may come with purchasing the property.

8. Attend other auctions as an observer.

If you want to try to understand the dynamics and pace of an auction process, it’s a good idea to attend some auctions just to observe. This will help you get a feel for the auction process before you go in as a bidder.

9. Bid strategically.

There are a few tailored bidding tactics that you can use to maximise your chances of success at an auction, such as establishing dominance by bidding early, bidding incrementally so you can scope out the competition or waiting until the last minute to jump in with a decisive bid. You may need to adapt your strategy based on the behaviour of the other bidders or the dynamics of an auction on the day.

10. Enjoy the experience.

Although it’s important to be prepared, strategic and level-headed at an auction, you should also try to enjoy the experience! Auctions are exhilarating and whether you win or lose, each time you participate in an auction you will gain valuable insights and lessons for the next time. Every bid you make brings you closer to owning your own home or investment property! Celebrate your successes and learn from your mistakes. We know you’ll get there!

Although it can seem daunting participating in your first auction, it can also be an exhilarating and rewarding experience as long as you go in with the right mindset and preparation.

It’s important to remember that success at an auction isn’t just about winning, it’s about securing the right home at the right price and time for you.

By following the tips above and doing all the right preparation, setting your budget, staying calm under pressure, and observing auction protocol, you’ll be on the path to acing your first auction! These strategies will enhance your chances of success.

As you step into the world of auctions, remember that financial readiness is critical. Horizon Bank ensures you have all the financial support and advice you need to make confident bids. Whether you're looking into securing a loan for that must-have item or seeking advice on managing your finances post-auction, our team at Horizon Bank is ready to assist you. Don't let financial uncertainties hold you back from acing your first auction.

Visit us online or drop by your nearest branch to discover how we can help you make your auction experience seamless and financially sound. Let Horizon Bank be your partner in navigating the exciting world of auctions. Start your journey with us today!

Final Wishes Worksheet

Mon, 29 Jan 2024 04:35:06 Z

Planning Ahead: How to Discuss and Document Your Final Wishes

Are you planning ahead and preparing for the future? End-of-life planning is a topic that may seem daunting and many shy away from, but it’s an essential part of life. By discussing and documenting your final wishes, you can ensure that your desires for your life celebration are fulfilled, and in turn ease the burden on your loved ones in a difficult and challenging time.
At Horizon we have created a Final Wishes Worksheet, that will be introduced through this post, which can help you facilitate this important conversation and provide guidance on how you would like your life celebrated.

The Importance of Discussing Final Wishes

Being able to discuss your final wishes with your loved ones is very important as it can provide clarity and peace of mind for both you and them. End-of-life planning is often overlooked in life planning although such an important aspect. It is especially reassuring that in a time of grief, after having these conversations, your family or friends can avoid the stress of having to try make all the decisions in preparing your final arrangements during challenging times.

Overcoming the Challenges

We understand that bringing up the topic of end-of-life planning with your family and friends can be a challenging conversation to start. Start by choosing a calm, comfortable setting and be open about your intentions. It helps in starting this conversation to acknowledge the discomfort that may come with it, to make your family and friends feel at ease that is difficult for all parties, then go on to emphasise the practicality and emotional benefits of you all having this discussion.

Documenting Your Wishes

As previously mentioned, we have a Final Wishes Worksheet that we have designed to make documenting your wishes straightforward and easy to interpret for your loved ones. The worksheet is thorough and covers many aspects that if not provided, your loved ones may struggle making decisions about. By having your wishes in writing, it removes any ambiguity about your preferences for your end-of-life arrangements and provides a straightforward reference for your loved ones when they may need it most in their time of grief.

A Step-by-Step Guide to Using the Worksheet

The worksheet covers various aspects of end-of-life planning, ensuring the majority of what your loved ones are required to provide information on, they will have. As you fill it out, it’s important to take your time and reflect on each section. It may be overwhelming to be putting thought into each topic in such detail, so take your time and ensure you are comfortable with your preferences for your final arrangements. If needed, it may be helpful and less daunting to have your loved ones assist you with the worksheet or even all of you do your own at the same time. It’s likely to spark some interesting insights. The ability to be thorough and thoughtful is crucial in ensuring your wishes are clearly articulated and easy to understand.

Sharing with Loved Ones

Once you have gone through and completed the worksheet, it’s time to share it with your loved ones. You may want to go through the worksheet together so you are able to answer any questions your family and friends may have, which ensures that in the future they are clear with your final wishes. Storing the worksheet in a secure yet accessible location is very important. A suggestion is to keep it with your important documents file along with your Will, passport, birth certificate etc. You may wish to also share the worksheet with your attorney in addition to your family and friends. The worksheet needs to be located, in the event your loved ones require it. Having this worksheet accessible will bring you peace of mind knowing your family can easily access this information when needed without having to worry about where to find it.

Supporting Your Plans Financially

The best way to ensure your final arrangements are carried out as you’ve planned for, is to support them financially. Financial planning is an integral part of end-of-life arrangements, so you will need to think about ways you can provide this support for your final plans. Some ways to do this is to consider a special rainy day savings account that could be used for any kind of emergency or having an insurance policy that will be able to financially support your plans, easing the burden on your loved ones.

Although often an overlooked part of life planning, it is crucial that you document your final wishes and have the conversations with your family and friends. Don’t leave your final wishes to chance and ease the burden on your family and friends when it comes to the difficult time of planning your life celebration. Our Final Wishes Worksheet provides you with a straightforward tool to assist in facilitating these important conversations.

One of Horizon Values is we’re all about our customers. We’re here for you. At the most difficult time for you and your loved ones, we believe the Final Wishes Worksheet takes some of the pressure off decision making. You can access our Final Wishes Worksheet here and start the conversation.

Horizon Bank has a branch network spanning the Illawarra and South Coast with offices at: Thirroul, Wollongong, Albion Park, Berry, Nowra, Ulladulla, Moruya, Bega, Bermagui and Merimbula.