Which banks increased term deposit rates this week?

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on July 22, 2022 Fact Checked
Which banks increased term deposit rates this week?

Judo, Macquarie, Suncorp and other challenger banks have increased term deposit rates by up to 125 basis points in the past week.

According to Reserve Bank data for June, the average 12 month term deposit interest rate was 0.70% p.a.

A lot of these banks are now beating this average by some margin.

AMP

On Friday AMP increased its 12 month rate by 20 basis points to 3.05% p.a. 

Minimum deposit is $5,000 and interest is payable at the end of term.

There is a 5 basis point premium if savers deposit $25,000 or more, while there is a 10 basis point reduction if savers opt for interest payable semi-annually, and 15 or 25 if they opt for a quarterly or monthly payment.

ING

On Friday ING increased its 12 month rate by 25 basis points to 3.25% p.a.

Minimum deposit is $10,000 and interest is payable at the end of term.

Judo Bank

Judo Bank - one of the last genuine neobanks standing - increased 12 month term deposit rates by 10 basis points on Thursday.

Its 12 month rate for a minimum deposit of $1,000 and interest payable at end of term is now 3.45% p.a. 

There is a 10 basis point reduction in the interest rate if savers opt for interest payable monthly.

Suncorp

On Thursday Suncorp increased rates on much of its term deposit products by between 30 and 55 basis points.

The 12 month rate was increased by 35 basis points to 2.65% p.a. with a minimum deposit of $5,000 and interest payable at end of term.

There is a 5 basis point premium if you deposit $10,000 or more.

This follows ANZ's planned acquisition of Suncorp Bank, subject to regulatory approval.

Macquarie

On Monday Macquarie made modest 10 basis point increases across much of its term deposit product range.

For example, the two year rate is now 3.40% p.a. for a minimum deposit of $5,000 with interest paid annually.

Curiously its 12 month rate was left out of this round of hikes.


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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 12-month term. 

Lender

At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]5000$product[$field["value"]]$product[$field["value"]]More details
AUTOMATIC MATURITY ROLLOVER
AUTOMATIC MATURITY ROLLOVER

Term Deposit - 12 months

    Annually$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]100031$product[$field["value"]]$product[$field["value"]]More details

    Personal Term Deposit - 12 months (Annually)

      Annually, At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]1000$product[$field["value"]]$product[$field["value"]]More details

      Term Deposit ($1000-$500001) - 12 months

        Annually, At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]100031$product[$field["value"]]$product[$field["value"]]More details
        EARLY WITHDRAWAL AVAILABLE
        EARLY WITHDRAWAL AVAILABLE

        Term Deposit (> $1000) - 12 months

          At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]500031$product[$field["value"]]$product[$field["value"]]More details

          Term Deposit - 12 months

            Rates based on a $50,000 deposit for 12 months. Rates correct as of August 10, 2022. View disclaimer.


            Customer-owned banks on the move again

            Once again customer-owned banks had their fingerprints all over term deposit rates, with Heritage, Teachers Mutual, and Beyond Bank some of the biggest movers. 

            Respectively, they are the second-, sixth- and eighth-largest customer owned banks in Australia.

            Other customer-owned institutions to increase term deposit rates in the past week include: Summerland, Hume Bank, Horizon Bank, MOVE Bank, Community First, The Mutual, G&C Mutual, and Australian Mutual.

            Heritage Bank

            Heritage increased its 12 month term deposit rates by 45 basis points.

            With a minimum deposit of $1,000 and interest payable at the end of term, the rate is now 2.50% p.a.

            There is a 5 basis point reduction in the interest rate if opting for interest payable semi-annually, quarterly, or monthly.

            Teachers Mutual

            Teachers Mutual increased its 12 month rate by 125 basis points to 2.30% p.a. 

            Minimum deposit is $5,000 with interest payable monthly.

            Subsidiary UniBank also made similar changes.

            Beyond Bank

            Beyond Bank increased its 12 month rate by 25 basis points to 2.45% p.a.

            The minimum deposit is $2,000 and interest is payable at the end of term.

            There is a 10 basis point reduction in the interest rate if savers opt for monthly interest payments.

            Conversely, customers can receive a 5 basis point (2.50% p.a.) premium if they deposit at least $50,000.

            Great Southern Bank manages to cut

            The largest customer-owned bank in terms of assets held managed to reduce interest rates on a number of products.

            For example its two year rate was reduced by 10 basis points to 3.30% p.a. 

            Minimum deposit is $5,000, with interest payable at the end of term.

            There is a 10 basis point reduction if savers opt for interest payable monthly.

            With that said, a number of shorter terms between 3 and 11 months were increased by up to 50 basis points.

            Its 12 month terms were left out of this round's moves.


            Advertisement

            This table displays a range of term deposits from customer-owned banks across a 12 month term.

            Lender

            Annually, At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]100031$product[$field["value"]]$product[$field["value"]]More details
            EARLY WITHDRAWAL AVAILABLE
            EARLY WITHDRAWAL AVAILABLE

            Term Deposit (> $1000) - 12 months

              At Maturity, Annually$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]5000$product[$field["value"]]$product[$field["value"]]More details

              Term Deposit - 12 months

                Monthly, At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]5000$product[$field["value"]]$product[$field["value"]]More details

                Term Deposit ($5000-$49999) - 12 months

                  At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]1000$product[$field["value"]]$product[$field["value"]]More details

                  Term Deposit ($1000+) - 12 months

                    Annually, At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]5000$product[$field["value"]]$product[$field["value"]]More details

                    Term Deposit ($5000-$999999) - 12 months

                      Annually, At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]5000$product[$field["value"]]$product[$field["value"]]More details

                      Term Deposit Special - 12 months

                        At Maturity, Annually$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]200031$product[$field["value"]]$product[$field["value"]]More details

                        Term Deposits ($2k-$50k) - 12 months

                          Annually, At Maturity$product[$field["value"]]$product[$field["value"]]$product[$field["value"]]100031$product[$field["value"]]$product[$field["value"]]More details

                          Member Term Deposit ($1000-$499999) - 12 months

                            Rates based on a $50,000 deposit for 12 months. Rates correct as of August 11, 2022. View disclaimer.


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                            author-avatar
                            Harrison is Savings.com.au's Assistant Editor. Prior to joining Savings in January 2020, he worked for some of Australia's largest comparison sites and media organisations. With a keen interest in the economy, housing policy, and personal finance, Harrison strives to deliver and edit news and guides that are engaging, thought-provoking, and simple to read.

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