There is little to know information about Discovery Bank’s Vitality Money program and how it works…. That is until you join Discovery Bank.
Unlike Vitality Health or Vitality Drive there is no set way of earning points. Vitality Money Points are awarded based on your personal financial situation.
So here is how Vitality Money works:
The most points you can earn of Vitality Money is 100 000 (At this stage it is unclear how Vitality Money Goals points are assigned).
Points are award for the following:
Debt Management: Up to 30 000
You get debt management points based on how you manage your unsecured debt. Unsecured debt is a very expensive form of debt that has a big effect on your financial wellbeing.
How Vitality Money calculates your debt management points
Your debt management points are calculated by comparing your minimum monthly debt repayments to your monthly income.
- If your minimum debt repayments are less than 5% of your monthly income, you will earn the maximum number of points.
- If you miss two or more of your repayments, your points will decrease.
Retirement: Up to 10 000
Your retirement points tell you whether or not you’re saving enough towards your retirement.
How Vitality Money calculate your retirement points
- Vitality Money calculates your retirement points by comparing your monthly income to your monthly retirement savings.
- Complete your Retirement Assessment to set your retirement goals.
- You will earn the maximum number of points if you are on track to meet your retirement goals.
- You will automatically receive points for retirement savings with Discovery Invest. You can also receive points when you upload documents that show you have retirement savings with other financial services providers.
Savings: Up to 30 000
You’ll earn savings points based on the savings you have access to in an emergency. It’s very important to have emergency savings because unexpected expenses can be very costly and harm your financial wellbeing.
How Vitality Money calculate your savings points
- Vitality Money calculate your savings points by comparing your income to your emergency savings.
- Emergency savings are easily accessible and do not include your retirement savings.
- You will earn the maximum number of points if your emergency savings are more than three times your gross monthly income.
- You’ll automatically earn savings points for any savings with Discovery Bank and Discovery Invest. Savings with other investment institutions also contribute towards earning savings points. You need to upload documents that provide proof of your savings to qualify.
- It is important to remember that savings with other banking institutions do not contribute towards savings points.
Insurance: Up to 25 000
You earn insurance points based on how much protection you have in place to guard you against unexpected expenses.
How Vitality Money calculate your insurance points
- You will receive the maximum number of points if you are a member of a medical scheme, have life insurance and have short-term insurance.
- It’s important to note that your insurance points do not measure whether the amount of insurance you have is enough.
- Speak to your financial adviser regularly to discuss your cover and insurance options.
- You can also receive points for group life cover if it includes both the income continuation and severe illness benefits. You need to upload documents showing you have cover.
Property: Up to 5 000
You earn property points when we compare your secured debt to the value of your home. If you do not own a home, we calculate your points using the value of your investments as an amount you could use to pay a deposit on a home.
How we calculate your insurance points
- We compare your secured debt to a personalised age-based target for your secured debt.
- The target moves continuously down to R0 at the age of 65 (to avoid having secured debt in retirement)
- Your personalised property points target will change as you grow older or purchase additional property.