Neobank Volt announces industry-first partnership with Cotton On
Cotton On team members and customers will be introduced to the Volt Savings Challenge.
Newly launched digital bank Volt and Australian retailer Cotton On have come together in a partnership which will see team members introduced to a savings challenge. The partnership is the first of its kind between a neobank and a major Australian retailer and is centred around financial literacy.
"The partnership will help us continue to show millions of Australians how to quickly develop and improve their savings and spending habits with Volt," said Steve Weston, Volt CEO.
The Volt Savings Challenge has been designed to create good financial habits by having Cotton On users save over a six-week period and track it in the Volt app. The idea is that over this period, the savings "habit" should be embedded behaviour.
The savings challenge will be open to Cotton On team members at first and in time this will be extended to Cotton On perks (loyalty) members as well.
Brendan Sweeney, general manager of ecommerce at Cotton On Group said partnering with Volt is about introducing tailored banking services to millennials that provide a supportive environment for healthy savings habits.
"Our millennial team and customers are highly engaged, digital-first and have told us that they are looking for trusted partners who can help them achieve their financial goals," he said.
Volt savings account (and how it compares)
Cotton On team members and customers that sign up to the challenge will be able to benefit from Volt's competitive savings rate of 2.15% p.a., which applies to all balances up to $245,000. There are no conditions to meet to have this rate applied. This differs quite a bit from traditional bank accounts, which often require you to deposit a certain amount each month or use your debit card a certain number of times to earn the rate.
Other neobanks, including Up Bank and 86 400, have also launched savings accounts with competitive rates. Up Bank's Saver Account has a maximum variable rate if 2.25% p.a. which you can earn on your balance by making at least 5 transactions per month using your Up Everyday Account.
The 86 400 Save Account also comes with a maximum variable rate of 2.25% p.a. which you can receive when you deposit at least $1,000 per month in either your Pay account or your Save account.
With both Up Bank and 86 400, you can create multiple savings accounts and have the rate applied to each of them.
According to Weston, the Volt "no catches" 2.15% variable interest rate is designed to help people become financially healthy and masters of their own money.
"The partnership will help us continue to show millions of Australians how to quickly develop and improve their savings and spending habits with Volt."