Taking advantage of Bankwest Hero account

I've known about the bankwest Hero account for a while now, but dismissed it quickly because I don't have an ongoing salary of $2000 a month to avoid the monthly account keeping fee. Just reading the product disclosure statement though, I couldn't see anything that stops people from just doing a regular, end-of-month automatic transfer from their Telenet saver (or similar) of $2000 to their Hero account, and transferring it back immediately.

If this is possible, then anyone with $2000 in savings parked away in a Telenet account earning 7.75% interest can have a Hero account as well for all their everyday transactions.

What do you reckon? Better still - can anyone with a Hero account verify this?

Oh, and another question for those of you who have this Hero account - I've heard that "fee-free" banking with Bankwest is NOT free, because they charge $0.25 everytime you do a BPAY or Pay Anyone transaction using online banking. Is this true with Hero as well?

Comments

  • Not having the account but reading the T&Cs

    the money being deposited doesn't need to be from income, so you can bring it in from where ever.,

    as for fees they state

    Withdrawal Fee
    Except as stated in clauses 4.3, 4.10 and 4.11, there are no further electronic, cheque or counter
    withdrawal fees applicable to this account.

    An electronic withdrawal is any cash withdrawal or debit transfer made at or using BankWest Online
    Banking, Phone Banking, Direct Debit, Periodical Payment, or a BankWest ATM, EFTPOS terminal
    or selected Other Bank ATM (NSW, TAS, ACT and NT – Commonwealth Bank, VIC – Westpac, QLD
    – Bank of Queensland and SA – BankSA) where the “Savings” or “Cheque” button was selected.

    However, any cash withdrawal or debit transfer made with the MasterCard Debit Card at a BankWest
    ATM, EFTPOS terminal or selected Other Bank ATM where the “Credit” button was selected is not
    an electronic withdrawal. The fees stated in clauses 4.3 and 4.11 may apply to these transactions.

    A cheque withdrawal is any withdrawal made using a personal cheque to withdraw funds from this
    account.

    A counter withdrawal is any withdrawal or debit transfer made at a BankWest Service Centre,
    BankWest Agent, Neighbourhood Bank or using Bank@Post.

    The Bpay fee on standard accounts is 20c per transaction - but I read the "debit transfer made at or using BankWest Online
    Banking" in the above, as covering this, so no charge. You can also call their 13 number and ask to be sure

    as for end of month transfer you will lose the interest for the time the money is transfered - or you can transfer in - the out $500 each week for to give you a deposit of $2000 for the month.

  • I went into a BankWest branch to query transferring our savings account to the Hero account as we bank with BankWest anyway. It turns out that in order to get this account you will need to complete an application for finance as it comes with a compulsory line of credit.Don't really want anymore credit so I will not be applying for this.

  • Why not get a HSBC account? No account keeping fees, 5 withdrawals per month at ANY atm and no min balance. You only need $2000 to open the account but after that you can drain it down to 1c if you like. Sounds better than the Bankwest account to me!

  • The line of credit is just a simple credit check. The account has a $100 overdraft protection. That is your credit line.

    You can also have an account that charges $3 per month linked with your TeleNet Saver. BankWest is not just for those that work and have access to large sums of money.
    I also set up a 9% account that needs $50-$500 per month added (and no more) to earn the high interest.

    Basically I am giving Westpac the arse for now. Their best rate is 6.7%. Not even close to 7.75% or 9%.

    Setup was quick and painless. Highly recommended bank to deal with. I will NEVER pay an ATM fee again!

    Now because I signed up for Telenet Saver at the Brach, I need to find put if MoneyBackCo will credit me the $40 joinup fee.

  • That is interesting. Wonder if the bank employee I spoke to knew what he was talking about!!?

    When I went to the branch they asked for 2 years tax-returns (self-employed) and told me the Hero account comes with a $2,000 overdraft which is compulsory so I would have to complete a full finance application.

    They were pretty much asking for the same documentation as when we got our homeloan (which is with BankWest as well).

    That was the reason I decided to give the Hero account a miss - just too much hassle involving the accountant and paying him extra fees just to set up a savings account.

    I am actually considering leaving BankWest, not too happy with being flogged bank fees left right and centre.

    • Maybe your situation was different to mine. I have saved up quite a bit over the last few years. The ability to transfer $2,000 a month might be an issue with some/others.

      I think the loophole around this is to have $5000 in Telenet Saver account and transfer $2000 for one day into the account. I'm going to read their Terms and Conditions more see what "hidden" fees are there.

      But once again, what fees might apply to some, might not to others.

Login or Join to leave a comment