Trending Financial News 6 March 2020

Xinja Bank STOPS accepting NEW CUSTOMERS

The Xinja Bank Stash account is, from today, closed to new customers.

Eric Wilson, the neobank’s CEO, announced yesterday Xinja would “pause” opening new savings accounts, “so it can look after existing customers following the RBA’s rate cut and unprecedented inflows”.

Xinja Bank only opened for business in January and attracted about 25,000 new account opening in first month. Mr Wilson said Xinja now has more than 25,000 customers, 43,000 accounts and more than $350 million in deposits.

Read more about “what is Xinja Bank about” at InfoChoice.

Xinja Bank cuts new customers, not rates

Xinja Bank has decided to cut new customers, not the interest rate on its Stash savings account.

“When faced with higher than expected deposit flows, and an RBA rate cut, most banks would just drop deposit interest rates, hurting existing customers while chasing new ones,” said Xinja Bank CEO Eric Wilson.

“That’s not what Xinja is about.

“We are holding our Stash rate steady, at 2.25 per cent, but hitting the pause button on customers opening new Stash accounts.

“We want to stand by the rate we have offered,” he said.

Read InfoChoice’s Review of Xinja Bank Stash account.

The best term deposit rates in March

The best term deposit rates on InfoChoice are over 2.0% pa in March 2020. The highest Australian term deposit rate right now on InfoChoice is 2.35% pa (for five years) from Judo Bank.

Citi is paying 1.80% pa on 3 and 6-month term deposits. UBank is paying 1.70% pa on 3 and 6-month terms.

Compare term deposits from Australia’s banks, credit unions and neobanks at InfoChoice.

Australia’s new neobanks want to take on the world

What new banks are opening in Australia?

Australian banking regulators are dealing with nearly one hundred fintechs interesting in a banking license.

Xinja Bank opened for business in January and have ambitions to be a global digital bank.

Up, Volt Bank, 86 400, Judo Bank are all new Australian neobanks joining other online bank brands in Australia such as UBank and ING.

Hay and IN1 Bank are yet to reach the market, although Hay looks close.

Stamp duty relief for bushfire victims

The NSW Government announced that people whose properties have been destroyed or substantially damaged by bushfires will receive stamp duty relief if they buy a new home. No stamp duty is now payable by bushfire victims under a $55,000 threshold – which is the duty payable on a home worth $1.25 million.

Read more about the outlook for the Sydney property market in 2020 at InfoChoice.

Rental rules changing in Victoria

Tenants are now allowed, under Victorian law, to keep a pet in their rental property, with the written consent from their landlord or rental provider. A landlord must go to VCAT if they want to refuse permission for a pet.

130 new rental reforms will be introduced by 1 July 2020.

Read more about the outlook for the Melbourne property market in 2020 at InfoChoice.

Which banks have cut home loan rates?

The Reserve Bank cut interest rates at 2.30pm on Tuesday 3 March 2020 by 0.25 percentage points to a new historic low of 0.50% in response to the growing economic and financial threat to Australia from the coronavirus.

All four big banks have passed on the cut with many other lenders also passing on the full 0.25 percentage point cut. For a full list of banks and lenders that have passed on the March RBA interest rate cutv, go to InfoChoice.

Which countries are cutting interest rates?

The USA joined Australia in cutting interest rates this week in response to the worldwide threat of the spreading coronavirus.

Other countries to cut their official central bank interest rates include Canada, Japan and the European Union.

Read more about interest rates around the world and which countries are cutting interest rates in March at InfoChoice.

Term deposit rate cuts

Judo Bank and MyLife MyFinance have sliced term deposit rates in recent days, since the RBA March rate cut last Tuesday. Other banks are expected to announce savings rate cuts in the next few days or weeks.

Rate conscious savers are “going to have to get used to lower rates for an even longer period of time,” Andrew Murray, CEO of Curve Securities said.

Curve finds term deposits for clients such as local councils. For a typical client of Curve “it’s a little bit difficult; budgets are not going to be met on interest income,” said Mr Murray.

Top cryptocurrencies in March 2020

The three top currencies – Bitcoin, Ethereum and Ripple have been even more unpredictable than usual. Bitcoin is trading at around A$13,242, down almost $100 in seven days. Ethereum is now trading at A$339, up $8 for the week, with Ripple (XRP) at $0.36, up 1 cent for the week.

Get all the information on the top cryptocurrencies in March 2020 at InfoChoice.

What are the top ten cryptocurrencies?

The top cryptocurrencies by market capitalisation in March 2020 are:

Bitcoin (BTC) – A$242.7 billion total market cap.

Ethereum (ETH) – A$37.6 billion

Ripple (XRP) – A$15.6 billion

Bitcoin Cash (BTC) – A$8.9 billion

Litecoin (LTC) – A$5.9 billion

EOS (EOS) – A$5.1 billion

Tezos (XTZ) – A$3.4 billion

Chainlink (LINK) – A$2.5 billion

Stellar Lumens (XLM) – A$1.8 billion

Ethereum Classic (ETC) – A$1.4 billion

Keep up to date with the latest cryptocurrency prices and news at InfoChoice.

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