- Macquarie Bank has lifted its digital term deposit rates for the second time this month
- But Judo Bank has claimed the market's best 12-month rate of 5.45% p.a. amid a rejig of its term deposit rates
- Rabobank has also increased its term deposit rates by up to 30 basis points this week
Macquarie Bank has lifted select digital term deposit rates for the second time this month, continuing to eclipse the top rates of the big four.
Here are Macquarie's new rates:
| Term | Rate (% change) | Deposit amount | Interest paid |
| 6 months | 5.20% p.a. (+0.05) | $25,000 - $1m | End of term |
| 9 months | 5.25% p.a. (+0.05) | $25,000 - $1m | End of term |
| 12 months | 5.35% p.a. (+0.05) | $25,000 - $1m | End of term |
Since the launch of Macquarie's digital term deposit products in July, the challenger bank has kept rates comfortably above corresponding rates of the big four.
CommBank, Westpac, and NAB have lifted their top term deposit rates during the last week while ANZ's last rate movement was lower.
Here's a look at the competitive 12-month space where all five big banks are currently offering their highest term deposit interest rates:
| Bank | Rate (term) | Balance amount | Interest paid | Conditions |
| CommBank | 5.20% p.a. | $5,000 - $5m | Annually | Opened or renewed by personal or SMSF customers* |
| Westpac | 5.20% p.a. | $5,000 - $2m | Monthly, half-yearly, or annually | Existing Westpac customers opening or renewing online only* |
| NAB | 5.20% p.a. | $5,000 - $1,999,999 | Annually | - |
| ANZ | 5.15% p.a. | $5,000 - $1,999,999 | Annually | - |
| Macquarie | 5.35% p.a. | $25,000 - $1m | End of term |
(* CommBank and Westpac conditions)
It's worth noting Macquarie's digital term deposits require a higher minimum deposit of $25,000 but generally come with less punitive consequences for early withdrawal.
Macquarie's relatively new digital products offer three-, six-, nine-, and 12-month terms only.
Judo kicks higher
But as is typically the case, it is smaller banks claiming the market's best term deposit rates with perennial competitor Judo Bank increasing its 12-month rate to 5.45% p.a. on Wednesday.
Judo has rejigged its rates schedule, cutting its nine-month rates by up to 35 basis points but edging its one-, two-, and three-year rates higher, as follows:
| Term | Rate | Deposit amount | Interest paid |
| 9 months | 5.05% p.a. | $1,000 - $2m | End of term |
| 1 year | 5.45% p.a. | $1,000 - $2m | End of term |
| 2 years | 5.45% p.a. | $1,000 - $2m | Annually |
| 3 years | 5.45% p.a. | $1,000 - $2m | Annually |
Judo's new rates apply to personal, SMSF, and business customers while lower rates apply to customers opting for monthly interest payments.
Judo also currently holds the market's best rates for four- and five-year term deposits (5.50% p.a.), marking itself as a player in the longer-term space.
However, the market's top rate of 5.55% p.a. (according to the Savings.com.au database) remains with Unity Bank for a two-year deposit with annual interest.
Rabobank increases rates
Earlier this week, Rabobank also upped its personal and business term deposit rates by up to 30 basis points.
It's matched the big four's best 12-month rate of 5.20% p.a. when interest is paid annually - an increase of 20 basis points on the old rate.
The catch is Rabo requires a deposit of more than $100,000 to $500,000 to earn the rate and pays 5.15% p.a. for lower deposit amounts between $1,000 to $100,000.
The online bank's best rate is 5.35% p.a. for a five-year deposit of more than $500,000 to $2 million with annual interest payments.
Rates are lower across the board for interest paid more frequently.
Advertising
Want to earn a fixed interest rate on your cash? The table below features term deposits with some of the highest interest rates on the market for a six-month term.
| Bank | Term Deposit | Interest Rate | Interest Frequency | Term | Automatic Rollover | Maturity Alert | Early Withdrawal Available | Minimum Deposit | Maximum Deposit | Notice Period to Withdraw | Account Keeping Fee | Online Application | Joint Application | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
5.25% p.a. | At Maturity | 6 months | $5,000 | $19,999 | – | – | |||||||||||||
5.20% p.a. | At Maturity | 6 months | $10,000 | $5,000,000 | – | – | |||||||||||||
5.15% p.a. | At Maturity | 6 months | $1,000 | $1,000,000 | – | – |
