[Carey]

Trying to get our heads round how we will manage money things in NZ; do you set up direct debits for bills as in UK? How do you manage without a cheque book? Do you often pay with cash ? For rent, for utilities, kids activities, shopping? Can you get cash back ?

[jubjub]

Cheque books are a rarity, and you have to pay for them too, some sort of Govt duty...

direct debits are starting to come in for things like rates.

Most of our stuff is done online via internet banking, its easy to set up a bill payment for regular use, and there is also a very efficient bank transfer system that peoiple use instead of cheques, its very common to hand over your account details, ie for Trademe payments, some transfers take place same day too. the only things we use cash for are our personal expenses everything else is electronic transfers or eftpos (bank card)

cash back is available similar to Uk system

[BaldyBeardyBloke]

Some of the terminology used by the banks is slightly different, but essentially everything is pretty much as oper the UK.

It's rare that we pay cash for anything and the internet banking systems are first class here.

The only thing to be aware of is that banking is not free like the UK i.e. using a cheque will cost you. Using an ATM from a bank other than your own will cost you. Over the counter transactions at the bank will cost you. Setting up a new automatic payment will cost you, some basic accounts have a monthly fee etc...

None of these cost a fortune but it all adds up.

[Moorf]

We definitely use d/debit for our household bills because most of them have a 10% "paid on time" discount :nice1 (phone and elec).

We'll take cash if we know we're heading off the beaten track - some of the more rural cafes and restaurants/shops don't always have EFTPOS - same for entry fees/gold coin donations for some wee rural museums etc.

You can get cash from just about anywhere using your EFTPOS card (garages, shops etc) you don't even need to buy anything. You'll be charged a small fee dependent on your bank.

[nippa&pippa]

Compare with UK's internet banking, we have found the NZ's internet banking is very quick, if the payment go to other poeple who have same bank as you, the payment done on the same day and if another bank's then next day or a day after :nice1 while UK take 5 days to transfer money, no matter which bank..zzzzzzz

[DB]

In banking technology terms, from the sixties on until fairly recently, NZ was about two decades in front of the UK. Remember when the UK had two then three ATM networks? NZ has only ever had one, and every card works at every machine. But machines are still owned by banks, so going to an other bank ATM you dont always get all the facilities, and you can get charged more. For example, with the bank I use you cant top up mobile phones from other banks ATMs, only from their own.

So internet (and phone) banking is very established here, and has been for a long time. There are accounts available with no running charges for most activities if you dont have paper statements and do all your transactions online. However wander in to a branch to do something and you'll get a $3 charge.

For face to face transactions, just about everywhere with a physical presence will have EFTPOS facilities. NZ is almost a cashless society. Even the local farmers market has a wireless EFTPOS machine, and many taxis do too. You can buy your beer in the pub with EFTPOS.

"Cash back" (UK) is called "cash out" here, and almost every time you complete an EFTPOS transaction, you'll be asked if you want "any cash out?". Some places have signs like "no cash out", so you know that it isn't an option, but that is fairly rare.

Your bank will issue you a cheque book, but there is a cost associated; there is a cheque tax which the bank prepay to the IRD and then you get charged it.

When you say "direct debit" we say "automatic payment" and yes this is supported.

You can do manual payments, either one offs, or set up details once and then reuse them time and again, for example, to pay the rates, electricity, phone, internet; I do the actual payment manually, but just have to enter the amount, everything else is preset.

Have a look at this ASB info page (http://www.asb.co.nz/fastnetnew/).

And yes, kids have EFTPOS cards too :)

[vixxann]

And yes, kids have EFTPOS cards too :)

what!!! :eek: that sounds very dangerous to me (knowing my eldest!)

[jubjub]

what!!! :eek: that sounds very dangerous to me (knowing my eldest!)

its fine, they cant spend what isnt there.... so if you manage their accounts for them, you can still control the spending!

[Carey]

DB thanks heaps for that, very useful.

[M-Squared]

We pay everything by direct debit. I love not having to worry about sending off cheques every month. :nice1

Also, if you have Genesis as your energy provider, they're tied in to FlyBuys, as are BNZ, so if you have your mortgage through them, the FlyBuys can rack up pretty quickly! :nice1 We're getting a nice breadmaker next month. :)

[IanW99]

...
Also, if you have Genesis as your energy provider, they're tied in to FlyBuys, as are BNZ, so if you have your mortgage through them, the FlyBuys can rack up pretty quickly! :nice1 We're getting a nice breadmaker next month. :)

Are you sure Genesis do Flybuys? AFAIK they only do AA rewards.

Contact energy do Flybuys.

Ian