Westpac pledges $200 savings account for new babies

Westpac is offering parents a savings account with $200 for every child born in 2017.

Westpac pledges $200 savings account for new babies

To celebrate the bank’s 200th year in business, Westpac has created a new type of account for all Australian children born in 2017, which includes a $200 deposit from the bank and no monthly account fees.

The idea has been developed in response to The Westpac Financial Future Report, which showed that parents’ main motivation for opening their child’s savings account from an early age centres around giving them a financial head start, as well as helping them understand the value of money as early as possible.

Having looked over the fine print, there doesn’t appear to be any hidden fees or charges that are out of the ordinary.

I’ve always trusted the judgement of my parents and am still with the bank (under a new name) in which my childhood savings account was set up. It appears as though Westpac is trying to gain the loyalty and trust of current parents, but also, securing future customers at the same time.

What do you think? Is this a clever marketing concept from one of our ‘Big Four’ or simply a cheap trick to lock in new customers?

Read more at westpacgroup.com.au



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    12th Jan 2017
    This is an incentive greater than any they offer to their shareholders.
    12th Jan 2017
    I think a bit of both - a good marketing concept and a way of enticing new customers.
    However, having had Westpac mishandle an Investment and lose us money in the past,
    I would not trust them much.
    12th Jan 2017
    "Clever marketing concept" or "cheap trick to lock in new customers"
    Is there a difference?
    12th Jan 2017
    Good on the bank. Depends whether you are a negative thinker or positive thinker as to how you perceive it.
    12th Jan 2017
    Does it matter? At worst the baby will have $200 + interest at age 18. At best, it could be several thousand dollars if the parents do make contributions to the account. Take note: the parents can withdraw any contributions they make but NOT the original $200. That will go to the 'baby'.
    Barbara Mathieson
    12th Jan 2017
    Oh well, at least the child will have $200 towards a house by age 18!
    12th Jan 2017
    If the economists get their way the kid could owe money to the bank. Depends on how low negative rates go.
    15th Jan 2017
    good point rae. this is probably what westpac's marketing strategy is aiming at anyway.
    12th Jan 2017
    The Old Campfire song of the 60's

    There'll always be a Menzies
    A Menzies there shall be
    So long as nothing happens to
    The mighty BHP

    There'll always be a Menzies
    If nothing ever fails
    So long as nothing happens to
    The Bank of New South Wales.

    la la la
    13th Jan 2017
    Most likely NON interest bearing account; WESTPAC are not in the charity business, and many customers most likely have a nice FAT mortgage..and Westpac are hoping that their children will grow to also borrow lots of lovely money and pay lots of lovely interest.

    However Westpac have cast forth the 'bait' and see how many they reel in.
    two cents worth
    12th Jan 2017
    Either way .... its a great offer .... and no account keeping fees for 16 years!
    13th Jan 2017
    Yes it is certainly a good saving vehicle. No account fees is great. I have a friend with an old, fees free account which works well.

    15th Jan 2017
    westpac is really out of step with the modern world. the two biggest problems we face are pollution and over-population.

    they should offer a bonus to couples/women who have only one child. and a bigger bonus to those of us who choose to be child-free. penalties and fees to those who have more than one child. in the near future we will have to limit populations to the carrying capacity of the land on which they live.

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