The Australian banking system has faired reasonably well during the global financial crisis due to much tougher regulation and supervision of the markets and activities than a number of countries. That means that, in the main, it has one of the lowest exposures to the toxic assets that have blighted many other financial systems.

Unsecured loans (that is loans that do not rely on any other underlying security other than your promise to repay) are readily available. Good credit history is essential to get the best rates and terms. Loan amounts are usually between AU$3,000 and AU$40,000 although other options can be sought if you have very bad or very good credentials. Be prepared to prove your income and provided that you have a legal purpose for the loan, the application process can be completed in less than 20 minutes with funds available within 48 hours.

Secured loans are more common in Australia than in many places in the rest of the world, particularly in Europe. These loans are taken for a range of purposes such as to purchase a car, boat or caravan, or for debt consolidation. Borrowers are required to provide some form of security, such as a charge over property or other valuable assets, which can be surrendered should you fail to keep up the repayments on your loan. Rates tend to be lower than with unsecured loans due to the extra security afforded to the lender. The amount that can be borrowed also increases and is only limited by your ability to repay and the value of the security you are offering. Loans secured on a car, caravan or boat can be for up to 7 years and AU$100,000 or more. There is usually an establishment fee of around AU$200 and a monthly service charge in addition to the capital and interest payments. Loans up to 7 years will usually be on a fixed interest rate meaning that the repayments will remain the same for the full term. Larger amounts for longer periods will be on a variable rate basis meaning that the capital paid remains constant through the term but the interest charged on the outstanding balance will track a bank base rate plus a fixed margin.

As with any secured loan or home mortgage, if you fail to make the monthly payments as scheduled you may lose the assets offered as security. If the property when surrendered does not sell for enough to pay off the outstanding loan, then you will also be liable for the difference. If you fail to make the repayments under an unsecured loan then you will be sued through the courts and an enforcement order sought against you. With such an order an authorised representative of the court may seize any assets necessary to be sold to realise the sums due.

So, it is clear that there is risk in borrowing, but if you furnish yourself with as much information as possible and compare the products the market has to offer, you will be taking sensible steps to mitigate this risk and ensure that you are borrowing only what you can reasonably afford. Although we will never make recommendations on particular products, Cheaper Option aims to provide you with this information so that you can be comfortable that you have made the decision that is right for you.

Big Pond – As Australia’s largest broadband provider, Big Pond has a range of services on offer including land line ADSL broadband as well as Mobile Broadband for true freedom of movement.

Optus – Supplying to the consumer and business markets, Optus offer competitive ADSL services as well as cable broadband for super fast connection in cabled areas. If you live in a particularly remote area then you might need to take advantage of their satellite service for all your entertainment and internet needs.

Vodafone – Mobile Broadband, which doesn’t require a fixed landline and uses 3G mobile networks to connect your laptop at high speeds, is growing fast in Australia and Vodafone are one of the leading providers. Ideal for urban renters or travelling business people.

AAPT – If you’re looking for a no-nonsense ADSL connection then AAPT are one of the top contenders in this arena, with their focused business model and good customer service record.

Dodo – Don’t be put off by the extinct nature of their namesake, Dodo cover the ADSL and mobile broadband markets with a range of competitive plans and they also offer naked DSL for those who without a phone service.

Virgin Broadband – There are a range of Mobile Broadband plans available from Virgin Broadband and you can opt for a fixed term contract or a pay as you go option that lets you pay for only the data you use rather than on a monthly basis.

Netscape – One of the top providers of naked ADSL, their advanced technology can offer customers living in certain areas up to 20Mbps download speeds and 1Mbps upload speeds along with a variety of contract lengths to suit your needs.

Grapevine – Servicing customers through both the TransACT network and the national network and providing ADSL at speeds between 256Kbps and 20Mbps, grapevine certainly have all the bases covered. They also have some innovative plans, such as a pay as you go ADSL service for people who use broadband very little.

These sites come in a variety of types, with some specialising in deals on electronic goods, whilst others are dedicated to digital TV, broadband or mobile phone packages. The best way to find a site that will cater to your needs is to head to your favourite search engine and type in, for example, ‘broadband price comparison Australia’. This will provide you with a list of the top comparison sites that cater to the Australian market. Some of the largest and most successful comparison sites have been created by UK based companies, so let’s do a quick case study to see how they work and how you can use them to your advantage.

Comparison sites are particular popular in the uk for example, Comparethemarket.com is a leading price comparison website which caters to all types of insurance including car, van, bike and life insurance. It lets you check out loans and other types of offers using a simple interface. Along the top of their main page there are a series of links in the form of tabs that will take you directly to the type of insurance you want to compare prices for and depending on the one you pick you’ll need to enter a few personal details to make sure that you get the most accurate quote. Once you’ve filled in the forms your details and status will be assessed and the site will query tons of companies to get the best prices available. You’ll then be able to follow one of the offers through and make a purchase, or keep your details stored for the next time you need a quote.

Price comparison sites of all types work in a similar way to this model, though the less complex the transaction the less details you’ll need to hand over, right down to basic product price comparison sites where all you’ll need to do is enter the name of the product and it will automatically search through online shops for the best price that matches your search criteria.

These types of sites are the definitive way not just to get the best deals but also see which services are available in your area. This is particularly useful when considering a new mobile phone package or a broadband connection, as you can target your search using your address and telephone number so you only see deals that you can actually get in your home or region. Price comparison sites can save you hundreds of pounds and should be your first port of call if you want impartial, subjective advice and comprehensive comparison which won’t cost a penny and will save time.

All of the major banks provide cards and it is not necessary to be an existing customer to apply for one. As with any financial service, it is wise to research the market to look for the one that offers the optimal combination of fees and terms to suit your need.

Many cards offer a balance transfer incentive to attract new customers. The Citibank Clear Visa Platinum Visa card offers a full six months interest free on transferred balances alongside a 10.99% rate on new purchases. As is common with all card providers in Australia, there is an annual fee payable of AU$85. The ANZ Low Rate MasterCard also has a 6 month balance transfer free period but charges 11.74% on new purchases but has a lower annual fee of AU$58.

There is such a wide variety of offers that you need to be clear as to the main feature that appeals most. For example, the Emirates Citi Platinum Credit Card offers a 4.9% interest rate on balance transfers for life but charges a whopping 19.99% interest on new purchases not paid off in the month.

If you have no balance to transfer from another card then you can start to look for which offers the lowest annual fee and interest rate on new purchases. Of course, if you plan to repay the full balance every month then you need only look for the lowest fee and any other perks. If this is the case, there are two loyalty type cards available – the Quantas Frequent Flyer And the Woolworths Everyday Money cards.

As the name implies, the Quantas Frequent Flyer card is an easy way to earn miles to be redeemed on the national carrier for flights. It offers no facility for free balance transfers and charges a high 19.99% rate on balance. The annual fee is an eye watering AU$249 and it uses the American Express system that is not as widely welcomed as the two major clearing systems. Airmiles are earned at 1.5 for every dollar spent with an introductory 7,500 miles credited. The Woolworths Everyday Card is based on the MasterCard system so is more widely accepted. Points are earned at 3 per dollar and can be redeemed every four months, provided you have earned enough, for a shopping card that can be spent in a wide range of stores.

Selecting a card can be a daunting challenge given the many permutations available. Using a comparison website can prove helpful in working out which features you would gain the most benefit from. We like to think that at cheaperoption.com.au is one of the easiest and most comprehensive. As well as the main terms and conditions you will also get advice on the editor’s best picks per category.

Many of the banks that operate there are domestically owned and have expanded overseas. The major ones include Australia and New Zealand Banking Group, Westpac Banking Group and the Commonwealth Bank of Australia. Some of the others are less well known but have expanded their investment activities in the past year to take advantage of global weaknesses. One such is Macquarie Bank. In all, there are around 15 banks operating around Australia with the majority having their head office in either Sydney or Melbourne.

As may be expected in a modern thriving western culture, there are a number of foreign owned banks operating in Australia. These include big names such as HSBC, ING Bank, Citigroup, Ivestec and Rabobank. Most have their head office in Sydney.

Many other banks operate their presence in Australia as a branch rather than as a separately registered company. This means that although there is supervision by and reporting to, the Australian Prudential Regulatory Authority, the principal regulator remains that of the parent company in their home jurisdiction. The list of such banks is long but reflects the global nature of banking in a modern free trade, open capitalist society.

The domestic market is dominated by four of the home grown banks. These are Australia and New Zealand Banking Group, National Australia Bank, Westpac Banking Corporation and Commonwealth Bank of Australia. Due to long standing unwritten policy, these four can never merge enabling a base level of competitive pressure in the market.

The largest bank, as at the end of July 2009 and measured by market capitalisation, was Commonwealth Bank (AU$63.2bn). Fractionally behind was Westpac (AU$62.8bn) with National Australia third (AU$49bn) and Australia and New Zealand Bank fourth (AU$44.4bn).

Commonwealth Bank has around 7.7 million customers and operates through 1,011 branches with 3,350 ATM’s. Westpac has 10 million customers and 1,200 branches and operates 2,800 ATM’s. It is Australia’s largest provider of home loans. National Australia is the worlds 17th largest bank and operates 1,714 branches and 2,939 ATM’s

Main competitors to these big four are Bank of Queensland, Suncorp-Metway and Bendigo Bank. These form a strong second division with strong regional presence.

Very few foreign banks have a retail financial services presence. Most operate in the capital markets and corporate sector to facilitate business interests between countries. Of the few that do have retail banking operations, Bank of Cyprus Australia, Laiki Bank and Citibank Australia have the most branches.

As a testament to the strength of Australian Banking, Australia and New Zealand Bank was named the leading most sustainable bank in the world in the 2008. This is the second year in succession that ANZ has won the accolade when it shared the title with Westpac.

The Australian economy is starting to recover from the recession at a fast pace and recent forecasts have estimated a GDP growth of 3.5% for 2010. Stronger commodity prices and an end to the long running drought will help power Australian Banks profits.