Lucrative savings rate for retirees

[img_assist|nid=8108|title=|desc=|link=none|align=left|width=60|height=100] The new cash rate of 7.4 per cent per year is now offered in Australia to BT Super for Life fund members. Melanie Evans, Head of BT Super for Life, notes that the new offering is one of the highest rates in the online savings space.

Evans says that the late amendments to pension fund rules in Australia allow anyone aged  60 or up to operate their retirement fund like a standard online savings account. In fact, BT customers can access their pension funds “at call 24 hours a day, tax free, earning 7.4 per cent”, which is significantly higher than bank rates.

“Investors no longer need to think about super and banking in isolation – it’s about bringing the best of both worlds together so investors can easily manage and control their savings in a high interest, online environment with all the tax advantages of super,” she said.

“With the BT Super for Life Transition to Retirement (TTR) or Retirement account, customers can easily establish regular one off withdrawals directly to their online banking account.”

Using the service investors, as per calculations of BT, may increase returns by up to 68 per cent.