If you have money in term deposits, or even a bank account giving interest, then at times you'll probably need to compare the return for depositing money in one account versus another.
Recently I was moving some money around and performing the comparison of term deposit rates quite a bit. It can get tedious performing the calculation for each bank and then working out the difference. To make things easier I wrote the Compare Term Deposit Rates Calculator.
Whilst usually you're trying to work out how to improve your return, recently I had to move $2,000 and had a choice of two online savings accounts to move it to. One was paying 2.95% and the other 3%. The bank I was moving from, charges 65 cents to transfer money to another person's account, and because this account is with another bank, a fee gets charged. Fees aren't much but they do add up.
I decided to put the amount into the Compare Term Deposit Rates Calculator and see what difference it made in terms of return on the money for a month. I was actually quite surprised. It was an incredibly small 8 cents for a month. A dollar over a year. The return for that amount is so small it doesn't really matter which account the money was transferred to. Both the online savings accounts had no additional fees to transfer money to another account, so once out of the original bank, if I did want to move the money between the accounts, there was no additional cost.
Which account did I transfer the money to?
It really didn't matter as the return was so low. However I did transfer the money to the account paying 3%.
The real lesson here was to use the calculator to determine the real impact on the return so a better decision can be made rather than just guessing.
The Compare Term Deposit Rates Calculator is my latest web app. I write these web apps for my own personal use and make them available to assist others. I hope you find the web app useful. Most of my web apps can be found on the main page of JustLocal (www.JustLocal.com.au), or you can go directly to the web app at www.CompareTermDepositRatesCalculator.com.au.
Kelvin Eldridge
www.OnlineConnections.com.au
IT support.
Recently I was moving some money around and performing the comparison of term deposit rates quite a bit. It can get tedious performing the calculation for each bank and then working out the difference. To make things easier I wrote the Compare Term Deposit Rates Calculator.
Whilst usually you're trying to work out how to improve your return, recently I had to move $2,000 and had a choice of two online savings accounts to move it to. One was paying 2.95% and the other 3%. The bank I was moving from, charges 65 cents to transfer money to another person's account, and because this account is with another bank, a fee gets charged. Fees aren't much but they do add up.
I decided to put the amount into the Compare Term Deposit Rates Calculator and see what difference it made in terms of return on the money for a month. I was actually quite surprised. It was an incredibly small 8 cents for a month. A dollar over a year. The return for that amount is so small it doesn't really matter which account the money was transferred to. Both the online savings accounts had no additional fees to transfer money to another account, so once out of the original bank, if I did want to move the money between the accounts, there was no additional cost.
Which account did I transfer the money to?
It really didn't matter as the return was so low. However I did transfer the money to the account paying 3%.
The real lesson here was to use the calculator to determine the real impact on the return so a better decision can be made rather than just guessing.
The Compare Term Deposit Rates Calculator is my latest web app. I write these web apps for my own personal use and make them available to assist others. I hope you find the web app useful. Most of my web apps can be found on the main page of JustLocal (www.JustLocal.com.au), or you can go directly to the web app at www.CompareTermDepositRatesCalculator.com.au.
Kelvin Eldridge
www.OnlineConnections.com.au
IT support.
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