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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. 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.

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.

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. 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. 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.

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.

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.

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.  

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. 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.

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. 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.

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. 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.

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 RELAXIf 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