FREQUENTLY ASKED QUESTIONS
Questions by Topic
Budgeting
Credit
Not all credit reporting agencies give you a credit score, but may instead give you a credit rating such as ‘low’, ‘fair’, ‘good’, ‘very good’ or ‘excellent’.
You can read more about credit reporting agencies on the Moneysmart website.
- Multiple credit applications (including phone contracts)
- Regular late and / or non-payment of bills including utilities, phone bills, loans etc.
- Mortgage default
Financial Advice
- Identify short, medium and long-term goals
- Develop strategies to achieve your financial goals
- Better manage your money
- Develop an investment plan
- Choose tax-effective investments
- Make the most of your superannuation
- Find out if you’re eligible for any government assistance
- Work out your insurance needs
- Plan for your retirement
- Consider your estate planning needs.
Investing
- Pay off any high-interest debt
- Set aside emergency savings
- Protect your valuable possessions with insurance
- Consider whether you need personal insurance coverage
- Think about why you want to invest (what’s the purpose and timeframe?)
- Read our investing guide
- Which investment methods may work best for your situation
- Whether you can make regular additional contributions to your investment
- Whether you need or want professional financial advice
- What type of investment account suits your needs
- Your financial goals and when you'll need the money
- How comfortable you are with market ups and downs
- Whether your plans might change and you'll need flexibility
- If there's a minimum period before you can withdraw
- How long it typically takes to get your money out
- Whether you can take out part of your investment
- What costs or losses you might face for early withdrawal
Saving
Tax
Consumer Tips
- Get the item repaired if it can be fixed
- Receive a replacement if repair isn't possible
- Get your money back if the problem is serious
- Cancel your service contract if it's not meeting guarantees
- Receive compensation if you've experienced loss or damage
- Misleading or deceptive conduct
- False or misleading claims about products
- Pressure selling tactics
- Unfair contract terms
Debt
Financial Counselling
If you have financial difficulties, problems with debt or can’t manage on your income, a financial counsellor may be able to help. Financial counsellors do not charge a fee.
Insurance
- General insurance covers your possessions (like your car or house)
- Personal insurance protects you and your family (like life or disability insurance)
Each type has different renewal terms—personal insurance usually guarantees renewal, while general insurance is generally reviewed annually.
- Compulsory Third Party (CTP) - Covers injuries to others in an accident (required by law)
- Third party property - Covers damage to other people’s property, but not your car (may include cover in the event your car is stolen or destroyed by fire)
- Comprehensive - Covers damage to your car and other people's property, plus often additional benefits like roadside assistance
- Understanding how insurance works
- Understanding the death and invalidity cover provided by the Commonwealth Superannuation Corporation (CSC)
- Using online calculators to work out the true replacement value of your important valuable possessions
- Keeping an updated list of your possessions
- Checking exactly what events your policy covers
- Considering total replacement cover instead of sum-insured
- Reviewing your cover regularly as values change
Scams
- STOP - Take a moment before you act
- THINK - Ask yourself if this could be fake
- PROTECT - If you've already responded to a scam, take action right away to protect yourself
- Send you emails or texts with links to sign into your account
- Tell you you'll be arrested
- Ask you to pay tax debts using gift cards, bitcoin, or prepaid credit cards
Superannuation
However, if you joined the ADF on or after 1 July 2016, you will be covered by the new military superannuation arrangement in which you may choose to have Defence’s super contribution of 16.4%pa of your remuneration paid into any complying superannuation fund (ADF Super, a retail, industry or self-managed superfund).
Members of MSBS (not DFRDB) may also choose to join the new military arrangement, but before you do, think very carefully about what you’re giving up. Consider getting financial advice before you make such an important decision. From 1 November 2021, where a person joins a new employer and the person does not choose a superannuation fund, the employer may have to contribute to the new employee’s previous fund. This change aims to stop new superannuation accounts from being opened every time an employee starts a new job. More details on this on the ATO website.