7 Oct 2010

New saving funds launched

7:03 am on 7 October 2010

Two new savings products have been launched this week, employing fresh tactics to get New Zealanders to put aside their pennies.

A recent survey by Rabodirect showed 46% of New Zealanders are not saving - that compares with 9% of Australians.

ASB has launched a 'Save the Change' scheme, to help its customers save.

Customers will be able to round up their eftpos transactions, automatic or bill payments, to the nearest $1, $2, $5 or $10 and the difference is then automatically transferred to a savings account.

The bank says the system was originally introduced by a bank in the United States and it's also offered in Britain.

Massey University centre for banking studies director David Tripe, says the new product is just another way for the bank to attract deposits.

And 'TravelGoals' - a goal-focussed, save-in-advance payment option for holidays, which customers can choose and book themselves has been launched by Mike Pero.

The funds are held independently under the custody of Public Trust and do not accrue interest, but members can win travel-related prizes each month.

David Tripe says he would like to think the new products will improve saving rates in New Zealand, but he will wait to see how successful they are in practice, before passing judgement.