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Aussie families could pocket more than $7,500 in savings this year by switching to cheaper providers, plans, and supermarket products.
With cost-of-living pressures mounting and the threat of a cash rate hike looming, these savings could provide much-needed relief for families struggling to keep budgets in check.
Canstar's data insights director Sally Tindall said the biggest wins come from refinancing home loans, changing electricity plans, and reviewing health insurance.
'The start of a new year is a great time to reflect on your finances and make the changes that will set you up for the 12 months ahead,' she said.
'Review your major expenses, compare what you're paying against what else is on offer in the market, and if there's savings to be had, make the switch.'
Ms Tindall urged households to list key expenses, compare rates, haggle with providers, and set 6–12 month reminders to stay on the best deals.
'You'd be surprised how willing some providers are to offer discounts when faced with losing a customer,' Ms Tindall added.
'A few phone calls and clicks could save thousands - a small effort for a big payoff in 2026.'
Under Canstar's calculations, switching half of your weekly shop to home brand could save you nearly $2500 over the year for a family of four
Under Canstar's calculations, switching half of your weekly shop to home brand could save you nearly $2,500 over the year for a family of four.
ABS data released on Monday reveals Australian households are ramping up spending despite diminishing hopes of rate cuts this year, setting a challenge for the Reserve Bank to bring inflation under control.
The Commonwealth Bank has held firm on its February rate hike prediction, arguing that softer wage growth is not enough to deter the Reserve Bank.
'We continue to see a February 2026 rate hike as the most likely scenario. Thereafter, we expect the cash rate to remain on hold at 3.85 per cent,' the report said.
Canstar analysis shows a 0.25-point rate hike would quickly bite, adding roughly $90 a month to repayments on a $600,000 mortgage.
Borrowers with $750,000 loans would pay $112 more, while $1million mortgages would climb by $150 a month.
Consumer confidence is sliding, with the latest Westpac-Melbourne Institute Index showing rising fears about family finances and the economy in 2026, fueled by a sharp shift in interest rate expectations.
The Reserve Bank meets on February 3 to decide whether interest rates will rise or remain on hold, with Governor Michele Bullock weighing whether inflation is cooling fast enough to avoid further tightening.
Reserve Bank chief Michele Bullock (pictured) is weighing whether inflation is cooling fast enough to keep rates on hold when it meets on February 3
For households, the message is clear, according to AMP deputy chief economist Diana Mousina.
'With inflation cooling slowly and rate cuts unlikely, households face another tough year,' she said.
'Staying proactive, shopping around for energy deals and budgeting for higher rents will be key.'