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An exciting journey  If you’re a first time home buyer, buying a home is likely to be the biggest single purchase you’ve ever made. It’s a big deal and can be stressful and overwhelming. Knowing what’s involved in the process, will make you feel confident as you move through the motions from inspecting properties to signing a contract and receiving the keys.   You’ve found the one, now what? When you’ve found a home for sale you’re ready to make an offer on, it's time to review the contract of sale. The person selling the property must have a contract of sale prepared and available for inspection for potential buyers. You’ll possibly find a few copies of these on the kitchen bench or other obvious places within the property. If none are readily available, ask the real estate agent for a copy. Once you obtain a copy, take it to your solicitor. They'll review it closely with you before signing to ensure it’s acceptable. Next we’ll talk about making an offer. Keep in mind that having pre-approval for a home loan is ideal before making offers, to ensure you know exactly how much you can afford to borrow. You'll be able to make a realistic offer on the property. Pre-approval also streamlines the process of finalising your finance before making an offer.  Making an offer Once your solicitor gives you the go ahead that everything in the contract looks OK, you’re now ready to put an offer in writing to the real estate agent or seller. An email to the real estate agent will usually suffice. Your offer should include how much you’re willing to pay and any conditions to the sale such as inclusions, repairs, deposit amount or timeframe for moving in. Ask your solicitor to help you prepare your written offer so you don’t miss any important details. Let the negotiations begin If your first offer is accepted straight away congratulations! However, the seller may also enter into negotiations with you over price. Keep in mind that the seller is also free to take written offers from other potential buyers and can even exchange contracts with them. Paying a small deposit as an expression of interest lets the seller and real estate agent know you’re serious. If your offer is not accepted and you’ve paid a holding deposit, this will be refunded.  Exchange and signing of contracts Once the sale price has been agreed, you’ll sign the contracts and your solicitor will facilitate the exchange. At this point you’ll need to pay the full deposit which is usually 5-10% of the purchase price. From the date the contract is exchanged, you become the owner of the property. Now is the time to consider getting it insured. Check out our information on home and contents insurance.  What you need to know about the cooling off period When you buy a residential property in NSW, you have five business days called the cooling-off period after you exchange contracts. During this period, you may get out of the contract and withdraw from the sale as long as you give written notice. The cooling-off period starts as soon as you exchange and ends at 5pm on the fifth business day after exchange. Keep in mind that if you do withdraw during the cooling off period, you’ll have to pay the seller 0.25% of the purchase price. These five days can be a good time to check the condition of the property and, if necessary, arrange pest and building inspections. *Take note: the cooling-off period does not apply if you buy a property at auction or exchange contracts on the same day as the auction after it is passed in. Settlement Settlement usually takes place about 6 weeks after contracts are exchanged (although a longer or shorter settlement period can be negotiated with the seller). This is when you pay the rest of the sale price and stamp duty using your home loan and become the legal owner of the property. Your solicitor and lender will work together to keep you informed about settlement and when you’ll need to start making loan repayments. It's a good idea to inspect the property one last time on the morning of settlement day, to ensure it is in the same condition as when contracts were exchanged. After settlement, you’ll receive the keys and you’ll be able to move in! Happy days! Get in touch with the friendly team at Horizon Bank to discuss your home buying options. 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.

Should I refinance my home? If you’ve been paying off your home loan for a few years now, it may be a good time to re-evaluate your home loan and ask yourself “should I refinance my home?" First let’s look at what refinancing is, and the pros and cons. Refinancing – what is it? Refinancing is moving your home loan to a new product with a more competitive interest rate or better features than what you currently have. This could be with your current lender or a new one, depending on eligibility requirements. You can save money by switching to another loan, by having lower repayments or by not paying loan administration fees. However, the key question you need answered is “when should I refinance my home?” Let’s look at that next. When should I refinance my home? If you’ve been on a fixed rate loan and the end of the term is coming up, now would be a good time to look for a better rate. If you want to consolidate debt, or are struggling with repayments, refinancing to a basic ‘no frills’ home loan may be an option worth considering. Accessing equity in your home for renovations or to purchase another property are also reasons to refinance. If interest rates are starting to rise you may consider changing your variable home loan to a fixed home loan. A fixed loan will give you the peace of mind of knowing your repayments will remain the same over the course of the fixed period. When shouldn’t I refinance? Some key scenarios where refinancing may not be financially viable is if you’re about to move house. When you sell you're settling your loan on that property and likely taking out a new loan for another property anyway. Other times where refinancing may not make sense is if you're still making repayments during a fixed rate term, or if you own less than 20% of your property value (as you’ll likely have to pay lender's mortgage insurance again). Using a refinance rates calculator can help you work out whether you'll save or spend money by switching your loan. If the value of your home has fallen, you’ll find yourself refinancing in negative equity. This is not ideal, as you're paying more for a home than what it is worth. Put off refinancing and make regular weekly or fortnightly repayments to get on top of your repayments (if the original idea was to refinance to a lower rate)  Review Your Current Loan  Work out how much you’ve paid off and how much you’ll be paying in interest over the remaining life of your current loan.  Also ask yourself if your loan’s features are still working for you or if you’re looking for something extra. Redraw facilities and offset accounts are just some of the features available to you when you refinance. While you’re reviewing your loan, take into account any ongoing monthly or annual fees you’re likely to be paying. Check out how much it will cost to exit your current loan. This means taking note of any early exit or termination fees. If you have a fixed rate loan these are likely to be quite high, which may outweigh the benefit of refinancing. There's no harm in asking your current lender for a better deal. Do a Home Loan Comparison   The home loan and lending market is very competitive and there are many options to choose from. When shopping around for current refinance rates, the key things to look out for are fees and ‘introductory’ or ‘honeymoon’ rates. Check to see how long they last before reverting back to a higher standard rate. Keep in mind that not all rates are available when refinancing, which is likely to happen if you want to stick with the same lender. Some lenders do not accept refinances for certain loan products, instead they’ll be for new business only. Use our loan comparison calculator to see how much different home loans will cost you. If you're looking to refinance your Home Loan to Horizon Bank, but are not sure where to begin, get in touch with our friendly team today and let us help you on your journey.  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.

Cost saving tips for renovating on a budget There’s no better reward and satisfaction than taking a step back at the end of a renovation to admire your hard work. Whether you’re looking to update a few features or plan on stripping an old room down and creating something from the ground up, read on for our top cost saving tips whilst renovating. Your renovation on a tight budget Improving the aesthetics and functionality of your home will require money to be spent so it’s important to prioritise where to spend your money. You want it done properly so instead of spreading your funds across two or three areas in your home, consider putting all of your available funds into one space that needs the most work and that you and your family will get the most out of. To start off, use our budget planner calculator to see what extra money you have to put towards your renovation.  If you need a helping hand a Horizon personal loan can help to cover all or some of your renovation costs. Get your design right Getting the design right from the get go will reduce your waste and therefore the cost of removing it. In the long term, an environmentally friendly design that allows for natural light and ensures the house is properly insulated will also reduce your heating and cooling costs. Look for ways to save Taking DIY lessons before you start renovating will give you a basic understanding of tools which means there could be some jobs you can do yourself rather than paying someone else to do. This will not only save time and money but will give you practical skills for use in future.  Keep it simple, as changing major structures or moving plumbing are examples of things that are likely to blow out your renovation budget. There’s no shame in getting a professional in. Not only do they have experience, they also have the right tools for the job. You might find that if you DIY it, you’ll need to shell out for expensive tools you won’t need beyond the job. Shop around for fixtures and fittings This takes a bit of time but sourcing your taps, light fixtures etc online or from wholesalers could save you money in the long run. Do your research on materials that will last a while and improve the quality of your home. Keep an eye out for sales and discounts along the way. Include the costs of fixtures and fittings in your budget planner or expense manager to keep track of all the items you’ll need for your renovation. Make sure you have all the essential materials and fixtures you need before starting the job. This will help you avoid inconvenient delays. Gather friends and family together Many hands make light work. Ask family and friends to lend a hand during the clearing out, demolishing and labour intensive parts of your renovations to save money on tradespeople.  Keep track of invoices and quotes This is where a budget planner or expense manager is really useful to keep on top of what you were quoted for versus what you actually end up paying. This keeps tradespeople accountable and also helps you remember where you sourced your fixtures and fittings from for any warranty claims. The important bits to take away Start by understanding all the associated costs of your renovations. Make good use of budgeting tools to help prioritize these to create a home remodel budget you can work with. Seek advice from licensed trades people and kitchen or bathroom designers to make a fully informed decision. Allow time for the planning, setup and installation of your new rooms and have a plan B if you can’t use your bathroom or kitchen for a few days or weeks. Need some extra help with planning your renovation budget? Get in touch with the friendly team at Horizon Bank and ask us about ways to fund your renovation today. 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. 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.

Saving to buy a house? You’ll have more options with a larger house deposit Your house deposit is just one of the costs you need to consider when saving money for a house. Other costs include stamp duty, legal fees, removalist plus money for furnishings and the list goes on. Let’s take a look at how you can save for that dream home faster. Work out what you’re saving for The best way to save for a house is to have an idea of what you’re saving for. This will not only give you a clearer picture of your end goal, but will also help your lender in giving you an estimate on your borrowing power and affordability. So consider, are you after an established home, townhouse, apartment or something off the plan? Do your research to be fully informed on each type of dwelling so you can inform your lender with confidence about what you’re looking to purchase. Set a goal Set an amount you would like to save and a timeframe to save it in. This will help keep you on track with saving money for a house. A deposit of 20% of the property price is generally required by most financial institutions to avoid lenders mortgage insurance. Lenders Mortgage Insurance (LMI) is a cost imposed by financial institutions to protect themselves against ‘high risk’ loans. Any loan that is greater than 80% of the property value is considered ‘high risk’. You will need LMI if you’re borrowing more than 80% of the property value. Set a budget – and stick to it! Take a look at your income and expenses, if you’re spending more than you earn now is a good time to cut back! Regular dinners, coffee outings, direct debits and other subscriptions/memberships are costly and will hinder your savings goal. Use our budget planner to get you started. Save regularly Making regular deposits into a savings account that’s not an everyday account and will normally pay a better interest rate is critical to your savings success. A Reward Saver account is great example. If you get paid weekly, your savings should also grow weekly. This takes discipline and effort however saving to buy a house = owning your own piece of the property market. Worth it! What else can I do? Doing all the above but feeling like it’s still taking forever to get that house deposit? Here are a few other options to try: • Move back in with parents or relatives • Pick up casual work on top of your current job • Limit the amount of times you go out in a month by picking and choosing between social commitments • Need some time out? Go away for a short weekend trip rather than long interstate or overseas holidays • Any extra funds that come your way should go straight into savings The important bits to take away • Be clear on exactly how much you need to save • Keep a budget to show where you’re spending and saving. Use our budget calculator to help. • Higher interest savings accounts will reward you for saving (and not withdrawing!) • Moving back home may sound drastic, but will help you reach your end goal much faster.    Looking for more advice on how to save for a house deposit? Get in touch with Horizon Bank today and let us help you on your journey. 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. 

Choosing a home loan can be a daunting and overwhelming experience – especially for first home buyers. With rates and rules around lending and eligibility changing all the time, it can be hard to get a grasp on which home loan is relevant for you and your situation. In this blog we’ll run through the types of loans on offer and what they’re used for. Principle & Interest Home Loans These types of home loans are comprised of two components; the principle and the interest. The principle is the whole amount you need to borrow to purchase your desired property. The interest is the rate that’s charged and added to your principle amount. Your repayments will be comprised of the principle and the interest. Principle and interest home loans are normally for buyers and first home buyers of their primary place of residence. Compare our Home Loans Interest Only Home Loans   Interest only home loans, as the name suggests, is where you’re only paying off the interest charged on top of the principle amount borrowed. Your repayments will be comprised of the interest charges only. While this sounds appealing, you need to be aware of any introductory periods that revert to principle and interest repayments, as your repayment amount will increase. Interest only lending is suited to investors taking out a mortgage to buy an investment property, as the interest only repayments provide certain tax benefits. They’re also good for managing short-term loan needs. For example, you might need it for a bridging or construction loan. Get in touch for interest rates Variable & Fixed Home Loans The other key feature of a home loan is whether to go with a variable or a fixed interest rate. There are advantages and disadvantages to both. Fixed home loans provide the convenience of a fixed rate mortgage for a term of either 1, 2, 3 or 5 years. After your term is up, the rate will usually revert back to the bank’s standard variable rate unless stated otherwise in your loan contract. The benefit of a fixed home loan is you know exactly how much your repayments will be each month and your rate won’t change during the fixed period. The main disadvantages are that fixed home loan rates are usually a bit higher than variable rate loans. They can have higher set up fees and break costs and banks will usually limit how much you can pay off your loan in a year. Variable rate loans are often lower than fixed rate loans. Variable interest rates can change at the bank’s discretion. If the rate rises, so will your repayments which may affect your budgeting and saving. Conversely, if the rate decreases, your repayments will reduce. This gives you an opportunity to pay the loan off quicker if you keep your repayments the same. Use our loan repayment calculator to see the difference in repayments would be with the two different types of loans’ interest rates. Choosing a Home Loan Based On the Features You Are Looking For Choosing a home loan is all about considering your current situation and making an educated decision as to whether the loan set up will suit you long term. A fixed rate home loan is great for fixed repayments that won’t change during the specified term. However if you want to pay off more than the minimum monthly repayment and make lump sum repayments where you can, it may not be the best choice. Considering additional features such as a redraw facility or an offset account are great ways to make your savings reduce the interest charged on your home loan and to pay it off quicker. You can compare our home loans and their comparison rates by viewing our home loan comparison table. We also have a range of mortgage calculators you can use to get an idea of what your repayments may be. Frequently Asked Questions How much can I borrow? The total amount you can borrow will be dependent on a number of factors such as income, expenses and existing debts. Use our borrowing power calculator to get started. What will my repayments be? Your repayment amount will depend on how much you borrow from us, your interest rate, and how often you make repayments. Use our repayment calculator to get started. How do you refinance a home loan? If you have your home loan with another lender and would like to refinance to Horizon Bank, check out our article on refinancing or get in touch with any questions. If you’re looking for a Home Loan, but not sure where to start, get in touch with the friendly team at Horizon Bank today and let us help you on your journey. 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.

As property loans are usually a long term commitment, you need to ensure you have a strategy in mind that places you in a good position to repay that loan. Let’s look at a few key topics to consider in your home buying strategy. Factors affecting the property market Education about the property market is key. There are trends where house prices rise and fall, thus having a sellers versus a buyers' market. If you're in a position to monitor house prices over a period of time this will help you buy at an advantageous time. Factors such as interest rates, economic growth, mortgage availability (or credit growth), supply and demand are all relevant to the Australian housing market. For example, lower interest rates encourages borrowing while a high supply of housing will see a fall in prices. How do you find the right property? Follow the process of questions to ask yourself to help you find the right property. What's your purpose for buying property? E.g. are you after a home to live in or an investment property? Where do I want to buy? Your purpose for buying property will help you answer this question. If you are looking for a family home for example, a property close to shops, schools and transport could be beneficial. When do I want to buy? If you want to buy a home in the next 6-12 months, now is a good time to set up a savings plan and start growing your deposit. How much can I borrow? Using our borrowing power calculator will give you an idea of your borrowing capacity. What will my repayments be? After looking at the prices of a few properties you’re interested in, use our home loan repayment calculator to work out what your repayments will be. Researching location and price is important, but there are other things you should consider such as the cost of land rates in the area, any major scheduled works on infrastructure and local council plans for the area. How do you find and apply for a Home Loan? The home loan and lending market is highly competitive, with many features that make repaying and managing your loan easy. For an easy home buying process, you can apply for home loan pre-approval. Pre-approval gives you two months to go property hunting. It's important to find the right loan based on your needs. Again, answering the first question above will tell you whether you need a home loan or investment loan. From here, you can choose a fixed or variable rate loan with principle and interest or interest only repayments. (Interest only repayments can only be used for investment loans or for short-term bridging loans). Speaking to an experienced lender is the best way to find the right home loan for you. How do you manage a Home Loan once you buy your home? Managing your loan via Online Banking is an easy way to stay in control of your repayments. We can setup automatic loan repayments, so you'll avoid being in arrears.  Regular weekly or fortnightly repayments could give you extra savings in your home loan that you can redraw on later (if your home loan has a redraw facility) these savings will also minimise the interest you incur. View our range of home loans to get started. Alternatively, you may choose to have an Offset account. You can deposit your pay and savings into the account and the balance is then offset against the amount owing on your loan. For example if you have a property loan of $200,000 and $25,000 in your offset account; in this situation, you’ll only be charged interest on a loan balance of $175,000 ($200,000 - $25,000). No matter whether you're planning on buying your first home, new home or investment property, we're here to help. Get in touch with the friendly team at Horizon Bank today and let us assist you. 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.

Money Saving Tips During Lockdown The current situation with Coronavirus outbreaks and subsequent lockdowns presents challenges as our habits and routines are thrown out the window. One thing you may notice is your spending and savings plans getting off track. With more time spent at home, you’ll likely notice an increase in the amount of food and power being consumed. Adjusting our budgets to reflect these changes is the best way to ensure we stay on top of our finances. Horizon Bank has put together some tips to ensure you are keeping your spending and your budget on track. Read on to find out how to apply them to your finances. How to save money in lockdown Shopping lists Shopping online at the moment is the safest and most convenient way to get items you need around the home. If you have started shopping online, it’s essential to use a list still and only buy the things you need. Keeping an eye open for sales and discounts is possibly now more important than ever. Keep an eye on your social media and email offers for when your favourite brands and stores are having a sale or clearance. A list is also vital if you are still heading to the supermarket, local convenience store or butcher for essential food items. This will curb the temptation to overspend or spend aimlessly. Keep in mind that individuals need to shop with purpose rather than browse. Food consumption may increase with everyone spending more time at home, so be mindful of this. Consider looking up recipes you can make with leftovers or with minimal ingredients to make your food shopping stretch further. Direct debits If you have had reduced work during a lockdown, you will want to review your automatic direct debit payments. Now is the perfect time to sort through them and pause or cancel any subscriptions that you can live without for a while, or that you we’re meaning to cancel anyway. Keeping track of your balance to avoid any overdrawn fees is a good idea. Speak to your bank about how to effectively manage this. You could also talk to your utility providers about a payment plan or changing the frequency you pay. Financial Support Financial support options from the government may be there for you, so it’s important to find the information you need to claim it. Use the links below to access financial support information. Business financial assistance  Disaster Payment - New South Wales  Work and financial support  Claim working from home tax relief If you are now working from home due to the coronavirus pandemic, you could claim some money back for working from home expenses. The Australian Taxation Office has articles about what individuals can claim whilst working from home. Here’s what you can claim if you’ve been working from home. Keep in mind you may need receipts and invoices as proof of purchase. Electricity expenses. Heating, cooling and lighting the area from which you are working and running items you are using for work cleaning costs for a dedicated work area phone and internet expenses computer consumables (for example, printer paper and ink) and stationery home office equipment, including computers, printers, phones, furniture and furnishings Review your service providers If you have been with the same phone, electricity or insurance provider, get in touch with them to see if payment plans or financial relief can be offered. This could be especially useful as you may find your energy bills have increased with everyone being at home for an extended period. Get in touch and chat with them about your different options during a lockdown and if they can do something to keep you as a customer. You may be rewarded with a discount if you have been a loyal long term customer. Now is also a good time to get in touch with your bank or financial institution if the coronavirus lockdown has financially impacted you. They may be able to defer your mortgage payments or organize an arrangement. Ensure you are fully aware of the impact of extended loan terms or deferred payments. Track Spending When you are more conscious you are of what you are spending, the less likely you are to overspend. Eventually, this will become a habit that you can use to save money even when lockdowns have ended. Check out these highly-rated budgeting and savings apps. If you’d prefer to keep a physical track of expenses, you can use an exercise book or a folder for receipts. A paper planner or diary would also work well. This will help you keep on top of your bank balance, and it may even see you have some extra cash at the end of the month if every dollar is accounted for. As a local Wollongong bank with branches across the Illawarra and South Coast, the team at Horizon understands this is a difficult time for many. We are happy to help you with any questions you may have about your accounts and banking needs. Get in touch with us today. 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.

What’s the difference between a debit card and credit card? A debit card provides access to your own money held in a transaction account. A credit card is a loan provided by your bank that gives you access to funds or ‘credit’. This becomes a debt and you will need to repay the minimum balance each month. Spending your own money versus the banks is one of the key differences between a debit card and a credit card. Find out more about our low rate Visa credit card, or to easily access your own funds, check out the features of our Visa debit card. How Do Debit Cards Work? Debit cards are used to access funds directly from the account they are linked to. You can only spend what is in your account. For example - if you try to spend $500 but only have $250 in your account, your transaction will be declined. You’ll need to keep an eye on your balance, as you might face overdrawn fees if you try to spend more money than is in your account. Debit cards can be used to withdraw cash directly out of your bank account at ATMs. Know your transaction fee allowance to avoid any unnecessary costs prior to withdrawing money. You can be confident that our debit card offers security from Visa, so you can make secure purchases at the counter or online. You can easily apply for a Visa debit card from Horizon by calling or visiting any of our branches. You can also apply for a Visa debit card online and one of our friendly staff will process your application. A feature of our debit card is having access to an overdraft facility. You can apply for an overdraft which will provide you access to extra funds in case of emergency. This is a form of credit that will need to be paid back monthly. How Do Credit Cards Work? Your credit card, unlike a debit card, is a loan. When you apply for a credit card, you're approved for a certain amount, which is an ongoing line of credit. The amount you’re approved for is known as your credit limit and it’s how much you can spend before your card is ‘maxed out’. If you reach this threshold, you won’t be able to make any further purchases until you make a credit card repayment. Each month, you'll receive a statement from us which will include: Your opening credit card balance Total amount spent on purchases The total amount of cash advances Payments, refunds and other credits Total interest charged Fees and charges – for example, any late payment fees Your closing balance When making a repayment, you’re required to cover the minimum payment (and not the whole balance) however you'll typically pay higher interest on your closing balance in the long term. To easily manage repayments, set up a regular direct debit to your credit card account to avoid a late payment fee. You could also ask us to set up a payroll split, so when your pay comes in, a portion will go directly to your credit card. Read our blog on how credit cards work which includes tips on how to use one effectively. You can apply for a Visa credit from Horizon by calling or visiting any of our branches. You can also apply for a Visa Credit Card online. What about security? We take the security of your funds very seriously. If you suspect a fraudulent transaction on any of your accounts, please notify us immediately. Taking control of card security is also in the palm of your hands. You can lock or unlock your card from within Horizon’s mobile banking app. Locking your card suspends any further transactions from occurring until you unlock it again from within the app. You can also report your card lost or stolen from here as well and we will order you a replacement. Shopping online is secure as Visa has developed a program that helps confirm your identity when you make an online purchase. During an online purchase from your desktop, mobile or other digital devices, you may be guided through an extra check to verify your identity. This helps us ensure it is you making the purchase and better protects you from fraud. This is the one way Horizon Bank and Visa have teamed up to secure your account(s). Which is better?  Whether you choose a debit or credit card is a matter of personal preference in how you prefer to spend your money. At the end of the day, a debit card is your own money and a credit card is a loan from your bank or financial institution. If you believe you can manage the repayments on a credit card, then use our budgeting calculator to see how repayments will fit into your spending. A debit card will always be you spending your own money, however, you can apply for an overdraft to have access to extra funds in case of emergency.   Get in touch with the team at Horizon Bank to learn more about whether a debit card or credit card is best for you. With convenient locations across the Illawarra and South Coast regions, we are happy to help you with any questions you may have about debit and credit cards. 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 Product Disclosure Statement and 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.

What is Being Environmentally Friendly? Being environmentally friendly means living a lifestyle that is better for our planet and reducing your environmental impact. However, it does require some fundamental behavior changes in our shopping and everyday activities. It does also mean more than sorting your paper from your plastic. There are many ways you can become more environmentally friendly and lead a sustainable lifestyle. A few practices that can be implemented include; conserving water driving less and walking more Consuming less energy. A great way to do this is by changing lightbulbs - Replace old incandescent or compact fluorescent bulbs with LED bulbs. buying recycled products creating less waste by reducing your use of single-use plastics and paper planting more trees composting food scraps Making different choices on a personal level can help in changing your awareness and consumption of resources. Other ways to be environmentally friendly at home Invest in eco-friendly technology  Turning appliances off at the power point will help in lowering electricity costs. You can take it a step further by making sure that the tech and appliances you have are as energy-efficient as possible. This way, you're using much less energy for the time that the product is on, saving money, and reducing your energy output. Recycle everything Recycling paper, bottles and cardboard is great, but could you improve your recycling-ability and waste  reduction? You can recycle almost  everything, from batteries to paint. Before you throw it away, take a minute to find out if you could  recycle  it instead. Your local tip or recycling centre may  take things like mattresses, paint and E-waste at a cost. Recycling your food scraps in a compost bin will ensure you always have nutrient rich fertilizer on hand for your gardens.  Take your old clothes, shoes and bed linens to a charitable organization that can re-purpose them for those in need. Cut out plastic Plastic seems to be everywhere. To reduce your use of single use plastic, stop buying bottled water, opting for a reusable stainless steel bottle instead. Bring your own bags when grocery shopping and keep your fruit and veg loose in your trolley rather than using a bag. Invest in beeswax wraps to wrap sandwiches and other items in your children’s lunchbox like trail mix or cut up fruit. Change Transportation We currently have a campaign where new and existing members will go into a draw to win an ebike. (Ends 30 June 2021) If you live close enough to work, consider using an e-bike as your main mode of transportation. Cruising on an ebike can save commuters time and effort, so you can arrive at work feeling fresh. You can rule out the sweat factor and extra clothes involved with riding to and from work. Not only do ebikes provide the benefit of exercise, but because they run differently to other types of powered transportation, they are considered zero-emission vehicles  running on clean  energy as they are powered by a battery. Motor vehicles typically run on gas, petrol or diesel that release carbon emissions into the atmosphere whereas e-bikes don’t. Changing to an electric or hybrid vehicle is a great leap into becoming environmentally friendly and having a positive impact on the environment. Electric vehicle uptake in Australia is low, however this is expected to rise as cheaper models arrive and more charging infrastructure is rolled out. The biggest bonus is that greenhouse gas emissions can be eliminated if EVs are charged using renewable energy. Using an EV contributes to improving air quality as they produce no carbon dioxide emissions when driving. Thinking of purchasing an EV? Ask us about our car loan products to finance your vehicle. Support An Environmentally Friendly Business At Horizon Bank, we have sustainable business practices in place to remain a responsible and influential environmental citizen. We have solar panels on our head office building We recycle our printer cartridges through Close the Loop We use recycled paper for printing, and are constantly reviewing the amount we print to reduce paper usage. We have lights that are motion censored in our offices. They turn off if they do not detect motion for a specified amount of time. We Promote a healthy working environment by including plant life in our offices. Another one of our sustainability initiatives is to provide products that promote our members sustainability goals. Any business can promote a healthy working environment by considering natural light and air ventilation. These improvements can vastly enhance the quality of the air within a workplace, so if you’re a business owner it may be worth getting a professional in to consider the options available. Whether it is installing skylights in a dark and dingy office space or getting ventilation systems added into a busy warehouse or manufacturing area, there are many ways in which the space where employees work can be enhanced. Some other simple business practices to reduce energy usage is to have energy efficient appliances with standby or energy saving settings. Chemical management and using green products for pest control and weed management is also another way to contribute to environmental practices. At Horizon bank, we take sustainability and the environment seriously.  Visit us online to learn more about our Green Horizons’ key strategic initiative.  With branches conveniently located across the Illawarra and far South Coast in Thirroul, Wollongong, Albion Park, Nowra, Ulladulla, Moruya, Bermagui, Bega and Merimbula there is always someone you can chat to in person. 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.

In this blog we’ll take a look at some practical ways you can make changes to your spending and saving habits. At this time in your life, you’re likely in full time work and may have just bought your first home or investment property. You may even be thinking about starting a family. Whatever your personal situation, read on for simple ways on how to save money. Have a Personal Budget Check out our blog on budgeting tools and tips to get started on a budget. It is important to list your income and expenses honestly to get a good grasp on where you need to cut back and save on. Get rid of your debt Car loans and credit cards are typical debts for people in the under 30 age category. A great money saving tip is to pay these off quickly and reasonably. The key is to set up a recurring direct debit from your pay. This also means committing to paying off more than the minimum monthly balance. Paying off credit card balances in full and on time is essential to avoid extra interest charges and late payment fees. Track how much you spend Sometimes we can fall into the trap of thinking spending on big ticket items is what gets us into trouble, when often it’s the little recurring, everyday purchases that end up costing us more. For example, regular takeaway coffee, lunches and parking costs all add up at the end of the month. This is why it’s important to keep track of your day-to-day spending, so you’re keeping on top of your personal finances and not living beyond your means. There are plenty of apps for this, check out ASIC’s MoneySmart app. Your bank statement is a good place to start and will tell you how much money is going into your bank account and how much is going out. You can then compare this with your budget to see whether you’re sticking to it or not, making it easier to identify areas you need to save. If you find yourself impulse buying, consider how long you have to work for to pay for that product. This will help you evaluate if it is worth the money. Saving & investing your money now The best money saving tips and savings plans are forward thinking with the future in mind. Working hard and saving money will enable you to have a comfortable lifestyle if you decide to expand your family with children. There are many ways to invest spare savings that all provide different returns. ASIC’s MoneySmart website has more information on investing. Alternatively, seeking advice from a financial planner is useful at any age to create an investment plan that will set you up for the future. Plan ongoing expenditure Having a plan for your expenses is a great way to save money and automate many of life’s everyday tasks. ‘Bill Smoothing’ is offered by some electricity and gas companies which allows consumers to pay off bills fortnightly or monthly. This can be included in your budget planner and it works well for people on tight budgets and avoids ‘bill shock’ where you’re required to pay off one large bill. Planning meals is another great way to avoid overspending on the weekly shop. Planned meals means you know exactly what groceries to purchase and this will avoid random visits to the supermarket. Get started on your savings journey by using our budget planner calculator. 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. 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.