- Term deposit rates continue to lift across the market as the prospect of another cash rate rise firmed this week
- Westpac, NAB, ANZ, Macquarie Bank, and ING were among the bigger banks increasing their term deposit offerings
- But it was smaller banks who joined the market's 5% and over club this week
Many banks had raised their term deposit rates even before the big four's economists changed their outlooks to predict a cash rate hike next week.
The war in the Middle East has tipped the odds in favour of a March cash rate hike and another in May, meaning 2026 may well kick off with three cash rate rises, wiping out 2025's three cuts.
While it's bad news for mortgage holders, those holding cash can expect to see more term deposit rates above the 5% benchmark in the not-too-distant future.
A few more institutions joined the 5% club this week.
Below are the current rates 5.00% or over, according to the Savings.com.au data base.
| Institution | Rate | Term | Balance amount | Interest paid |
| Rabobank | 5.10% p.a. | 5 years | over $500,000 - $2m | Annually |
| 5.00% p.a. | 5 years | over $100,000 - $500,000 | Annually | |
| Great Southern Bank (Platinum Plus 55+) | 5.05% p.a. | 1 year | $5,000 - under $100m | End of term |
| MOVE Bank | 5.05% p.a. | 12 months | $5,000 - $2m | End of term |
| 5.00% p.a. | 13-14 months | $5,000 - $2m | Annually | |
| 5.00% p.a. | 15-23 months | $5,000 - $2m | Annually | |
| 5.00% p.a. | 24 months | $5,000 - $2m | Annually | |
| Judo Bank | 5.00% p.a. | 5 years | $1,000 - $2m | Annually |
| Community First Bank | 5.00% p.a. | 12 months (Special offer) | $10,000 - $1m | End of term |
| Bank Australia | 5.00% p.a. | 12 months | $500 - $3m | End of term |
| Qudos Bank | 5.00% p.a. | 1 year | $5,000 and over | Annually |
| Australian Military Bank (Investment Plus) | 5.00% p.a. | 1 year | $1,000 - $250,000 | End of term |
| Australian Military Bank (Teen Plus) | 5.00% p.a. | 1 year | $500 - $250,000 | End of term |
As they say, watch this space.
In the meantime, let's run through this week's new club members.
Great Southern Bank blitzes one-year market
One of Australia's largest customer-owner banks Great Southern Bank has trumped the market's 12-month rates with its new offering of 5.05% p.a. on its Platinum Plus 55+ product for deposits over $5,000.
GSB's Platinum Plus products are available to customers or super funds/trusts where the trustee is aged over 55.
The rate applies to those choosing end-of-term interest payments with those opting for monthly interest receiving 4.95% p.a.
Great Southern is also offering 4.95% on a one-year term deposit to general customers and an eye-catching 4.90% p.a. for a seven-month deposit, both with interest paid end of term.
MOVE Bank also moves higher
Customer-owned MOVE Bank has also broken through the 5% benchmark with its 5.05% p.a. offering for a 12-month deposit of amounts between $5,000 and $2 million, with interest paid at maturity.
The rate drops to 5.00% p.a. for those choosing 13-14 month, 15 to 23 month, or two-year terms where interest is paid annually.
All those rates drop by 0.10% for those opting for monthly interest payments.
The term deposit offerings come hot on the heels of MOVE's Growth Saver's market-high savings account rate of 5.15% p.a. announced last week.
The savings rate is made up of a base rate of 0.10% p.a. and bonus rate of 5.05% p.a. and applies to balances up to $25,000 when customers deposit a minimum of $200 and make no withdrawals during a calendar month.
Bank Australia/Qudos join the club
Merger partners Bank Australia and Qudos Bank are also new additions to the 5% club this week.
The customer-owner banks lifted their 12-month term deposit rate by 20 basis points to reach the 5.00% p.a. benchmark.
The rate applies to deposit amounts of $500 to $3 million at Bank Australia and to deposits over $5,000 to Qudos customers.
Qudos will pay the same rate to customers choosing either monthly or end of term payments.
Bank Australia drops the rate to 4.90% p.a. for those choosing monthly interest payments.
Australian Military Bank marches to 5%
Australian Military Bank is no slouch when it comes to competitive term deposit rates.
It's offering 5.00% p.a. on both its Investment Plus and Teen Plus one-year term deposit products, for amounts $1,000 to $250,000 and $500 to $250,000 respectively, with interest paid end of term.
Those seeking monthly interest payments will earn a rate of 4.90% p.a. for 12 months on an Income Plus investment.
The Military Bank has increased a range of its short-term rates on Friday.
And if you're wondering - yes, you can take out an Australian Military Bank term deposit if you're not a current or former member of the defence forces.
Big four movers: Westpac, NAB, ANZ
After Commonwealth Bank lifted a raft of term deposit rates last week , its big four peers - Westpac , NAB , and ANZ - were flying the flag this week.
Westpac
Westpac launched a new special offer deal of 4.80% p.a. for a two-year term for existing customers opening or renewing online.
The deal includes a 0.10% online bonus and applies to deposit amounts between $5,000 and $2 million with interest paid at maturity.
A rate of 4.70% p.a. applies to those opening or renewing in branch.
The special offer deal also applies at other brands in the Westpac stable: St George Bank , Bank of Melbourne , and BankSA although for wider balance amounts between $1,000 and $5 million.
NAB
Meantime, NAB lifted its term deposit rates by up to 0.35% early in the week, playing catch up with the market.
NAB's best rate is now 4.70% p.a. for 12-month and two-year terms for amounts between $5,000 and under $2 million with interest paid annually.
Both rates saw a 0.35% jump although NAB's rates for shorter and longer terms remain considerably below the 4% benchmark.
ANZ
ANZ was the last of the big four to announce new rate increases this week, upping the ante with its 12-month rate of 4.80% p.a. for amounts between $5,000 and under $2 million with interest paid annually.
It's 0.45% jump on the old rate, with some of ANZ's shorter term rates increasing by up to 1.55%, indicating the smallest of the big four is out to more than match the rates of its peers.
The 12-month rate drops to 4.70% for those opting for monthly repayments.
It's the same rate being offered for a five-month deposit with interest paid end of term.
Big four's top term deposit rates
While we're on the big four, let's have a look at their best term deposit rate offerings as they now stand:
| Bank | Best rate | Term | Deposit amount | Interest Paid |
| CommBank | 4.70% p.a. (special offer) | 12 months | $5,000 - $5m | End of term |
| Westpac | 4.80% p.a. (online rate only) | 24 months | $5,000 - $2 m | At maturity |
| NAB | 4.70% p.a. | 12 months | $5,000 - under $2m | At maturity |
| ANZ | 4.80% p.a. | 12 months | $5,000 - under $2m | End of term |
But let's not overlook Australia's 'fifth big bank'.
Macquarie lifts again
All three big banks were headed off at the pass by serial market-stealer Macquarie Bank which again nudged some of its term deposit rates higher.
Macquarie's best rate is now 4.90% p.a. for one year for deposit amounts between $5,000 to $1 million with interest paid end of term.
Its six- and nine-month rates also got a boost to 4.75% p.a. and 4.80% p.a. respectively.
Those rates drop by 0.05% for deposits over $1 million to $10 million while the one-year rate drops to 4.75% p.a. for the same deposit amount.
ING joins the fray
ING, Australia's sixth-largest household deposit holder behind the big five, also got itself into the game this week, upping its shorter-term term deposit rates by up to 0.15%.
The Dutch-owned online bank is now offering a top rate of 4.90% p.a. for one year on deposits of $10,000 to $5 million.
Here's a selection of its latest rates for balance amounts of $10,000-$5 million:
| Term | Rate (% change) | Interest paid |
| 3 months | 4.60% p.a. (+0.15) | End of term |
| 4 months | 4.50% p.a. (+0.05) | End of term |
| 6 months | 4.80% p.a. (+0.10) | End of term |
| 7 months | 4.60% p.a. (+0.10) | End of term |
| 9 months | 4.75% p.a. (+0.10) | End of term |
| 11 months | 4.60% p.a. (+0.10) | End of term |
| 1 year | 4.90% p.a. (+0.10) | End of term |
| 2 years | 4.45% p.a. (+0.10) | End of term |
Other rate movers
Here are a few other notable rate increases this week:
- MyState Bank made some hefty increases to its term deposit rates - up to 1.00% - with a new best rate of 4.90% p.a. for 12 months for online deposit amounts over $5,000 with interest paid end of term.
- Bank of Queensland again lifted its Premier Investment rates with a new highest rate of 4.80% for a 12-month deposit of amounts between $5,000 and $250,000.
- BoQ-owned ME Bank also increased a range of short-term rates, offering 4.90% p.a. for 12 months for deposit amounts between $5,000 and $2 million.
- The Hunter-based partners Greater Bank and Newcastle Permanent lifted their short-term rates with a new top rate of 4.70% p.a. for 12 months. Greater Bank's applies to deposit amounts above $5,000 while Newcastle Permanent pays the rate on deposits between $1,000 and $1 million, both paying interest end of term.
- Gateway Bank increased its 12-month rate to 4.95% p.a. and six-month rate to 4.80% p.a. for deposit amounts between $1,000 and $500,001.
- Arab Bank Australia nudged its six-month rate 0.05% higher to 4.70% p.a. on deposit amounts from $10,000 to $500,000.
- RACQ Bank boosted select term deposit rates by up to 1.30%, offering 4.80% p.a. on seven-month and one-year terms for balances over $1,000.
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