🦘 Inflation Comes In Hot, Coles Slashes Prices, New Smartphone Scam Draining Aussie Bank Accounts

G’day everyone!

Here’s what we’ve got in store for you today:

• Inflation Comes In Hot

• Coles Slashes Prices

• New Smartphone Scam Draining Aussie Bank Accounts

Let’s have a look at the market snapshot before jumping into the news:

Australia’s Inflation Takes a Jump to 3.6%, Surpassing Expectations

April was another wallet-squeezing month for Australians as the annual inflation rate ticked up to 3.6%, just a notch above the 3.5% observed in March 2023, as reported by The Guardian.

Economists were betting on inflation to hover around 3.4%, but the actual figures released by the Australian Bureau of Statistics (ABS) have dashed those hopes.

The relentless rise in living costs, compounded by consecutive interest rate hikes aimed at taming inflation, continues to pinch household budgets.

While the Reserve Bank of Australia (RBA) keeps a wary eye on these developments, it admits hitting its 2-3% inflation target range might be a distant dream, not expected before the end of 2025.

Brief moments of economic calm hinted at by Michelle Marquardt, the ABS head of prices statistics who pointed out a five-month stability in inflation rates, were overshadowed by the recent increases.

The inflation bus is being driven by essential expenses such as:

• Housing, which rose by 4.9%,

• Food and non-alcoholic beverages climbing by 3.8%

• Transport increasing by 4.2%

• Alcohol and tobacco prices jumping a significant 6.5%

As the economic indicators slowly reveal the challenging road ahead, all eyes remain on the RBA’s next moves to navigate through these inflationary waves.

Price Wars Heat Up as Coles Slashes Prices on Hundreds of Winter Staples

Hot on the heels of Woolworths, Coles is chopping prices too, bringing some much-needed relief to shoppers bracing against the chill—and inflation.

Starting today, Coles is slashing prices on over 200 products, perfect for whipping up warm winter meals.

Coles' Chief Commercial Officer, Anna Croft, is all about giving customers more bang for their buck, saying they’re “doubling down on value” this winter.

This marketing mantra rings especially timely, as the cold season often translates to heavier meals and heftier grocery bills.

Whether you're shopping in-store or online, these price cuts extend to staples across the board, including apples, avocades, and thousands of weekly specials.

Just earlier this week, rivals Woolworths rolled out similar price deductions on over 450 items, including cuts on beef chuck steak and whole chickens.

With both retail giants trimming prices, it seems your winter feast won’t freeze your finances this season.

Coles’ promising three months of savings on hearty food essentials mirrors a broader supermarket strategy to keep customers loyal in a tight economic pinch.

So, stock up and stay warm — your pantry (and wallet) will thank you!

Watch Your Back: Scammers Posing as IT Support Drain Millions from Aussies

Aussies, beware! Fraudsters dressed up as IT support have tricked many, siphoning off nearly $16 million.

The ACCC has sounded the alarm following a spike in remote access scams throughout early 2024. Victims now lose an average whopping $17,943 due to these cunning cons.

Here’s how the scam works:

It begins with an unexpected call or email, warning of a faux problem needing urgent tech support.

Once they have a victim on the hook, these scammers instruct them to install screen-sharing apps like AnyDesk or Teamviewer, gaining unrestricted access to personal bank details and more.

ACCC Deputy Chair Catriona Lowe and Jason Gordon from Bendigo Bank offer this simple tip: if someone’s asking you to download something or dish out your info over the phone —UNPLUG!

In 2023, Australians reported over 600,000 scam incidents totaling $2.7 billion in losses. Poor seniors are bearing the brunt of this grim saga.

Remember, if an offer sounds too lucrative or if you're pushed for immediate action, it’s likely a scam.

Suspicious? Contact your bank ASAP, halt those transactions, and hit up Scamwatch for official assistance.

Getting scammed can be grueling, so don’t shy from seeking emotional support either - BeyondBlue and Lifeline are just a call away.

IAG's Alleged Loyalty Discount Deception in the Hot Seat

Heads up, deal lovers and loyal customers!

A brewing legal storm suggests that those loyalty discounts you cherish might just be smoke and mirrors.

Insurance giant IAG is facing a hefty class action, helmed by Slater and Gordon, accusing it of playing fast and loose with the term "loyalty discount" for home and contents insurance through its Victorian brands like RAVC, SGIO, and SGIC.

The core of the issue?

Allegations are swirling that these so-called discounts are not what they seem but are instead based on puffed-up base premiums—making your "discount" more of a clever illusion than a real bargain.

It’s a classic bait and switch ruse that not just IAG but numerous other businesses might be playing, charging loyal customers more and not less.

The plot thickens as legal proceedings by ASIC are already underway, targeting other IAG brands (IAL and IMA) for similar deceptive practices, where an algorithm reportedly hiked premiums based on customer loyalty.

Amidst these controversies, IAG stands its ground, denying any wrongdoing and insisting it has always kept its promises to customers.

The takeaway?

It might be time to ditch the comfort of sticking with one provider. Scouting around for better deals might just be your best defense against these marketing magics.

You Made It!

If you’ve read all the way up to here, we just wanted to let you know that you’re an absolute legend!

Time to go to work and show off how clued up you are about what’s going on in the business world 💪

Keep an eye out for tomorrow's newsletter. Until then, we’d love to get your feedback below!