MOVE has seemingly adjusted strategy, with the top TD rate remaining 4.35% p.a., but now on six rather than five month terms after the latter was cut by 0.10%.
Several more products with term lengths of nine months or above also had returns boosted - MOVE Bank now offers the highest rate in the Savings.com.au database for both one and two year TDs with monthly interest payments.
These hikes come after several banks including Commonwealth Bank and Suncorp boosted TD rates last week.
For now, there are still no rates in the database returning 4.40% or higher but with many economists now expecting no more cash rate cuts this year it may not be long before this changes.
MOVE Bank new term deposit rates
| Term length | Deposit size | Payment frequency | Interest rate (Change) |
|---|---|---|---|
| Five months | $5,000+ | End of term | 4.25% p.a. (-0.10) |
| Six months | $5,000+ | End of term | 4.35% p.a. (+0.10) |
| Nine months | $5,000+ | End of term | 4.15% p.a. (+0.05) |
| One year | $5,000+ | End of term | 4.15% p.a. (+0.05) |
| 13/14 months | $5,000+ | Annually | 3.95% p.a. (+0.15) |
| 15-23 months | $5,000+ | Annually | 3.95% p.a. (+0.15) |
| Two years | $5,000+ | Annually | 3.95% p.a. (+0.15) |
| One year | $5,000+ | Monthly | 4.05% p.a. (+0.05) |
| 13/14 months | $5,000+ | Monthly | 3.85% p.a. (+0.15) |
| 15-23 months | $5,000+ | Monthly | 3.85% p.a. (+0.15) |
| Two years | $5,000+ | Monthly | 3.85% p.a. (+0.15) |
Will TD rates keep rising?
Over the past year, term deposit returns in Australia have declined dramatically - this time last year many of the top products had rates well over 5%.
As interest rates go down across the board, banks' cost of funding decreases which means there's often less incentive to offer higher TD rates to attract funds.
Since term deposit rates are fixed, banks often need to pre-empt interest rate moves, as opposed to just moving with the cash rate as tends to happen with savings accounts.
However, the past couple of months have seen some economists upwardly revise their predictions for the terminal cash rate, the rate at which the RBA will leave unchanged for a prolong period.
Commonwealth Bank, ANZ and NAB now all expect a terminal cash rate of 3.35%, which is higher than many were forecasting at the start of the year.
Accordingly, longer term deposit rates in particular have been boosted in recent weeks, with banks seemingly less concerned about the risk of locking in term deposit customers for two years or more only for interest rates to significantly drop.
For those holding out hope about a return to term deposit rates near 5% though, RBA data suggests the last time the cash rate was at 3.35% (February 2023), the average rate on new household term deposit rates was 3.3%.
In August 2025, that average was 3.6%, so given in February 2023 the cash rate was widely expected to keep increasing, it still appears possible TD rates will be trimmed again in the coming months.