What term deposits does Macquarie bank offer?
Macquarie Bank offers a range of term deposit products with competitive fixed interest rates, particularly compared to the bank's big four counterparts.
Macquarie’s Head of Payments and Deposits Olivia McArdle said Macquarie customers can choose from a wide range of term deposit products based on their individual circumstances and how they choose to manage their money.
“We offer shorter term options, which provide people with the opportunity to put their money into an account for periods from one month up to one year, all the way through to term deposits with a maturity date of up to five years for people who would like to set aside their money and guarantee their interest rate for a longer period of time,” Ms McArdle told Savings.com.au.
“When our customers invest in a Macquarie term deposit they can have peace of mind that their money is safe, secure and working for them to earn a competitive rate on their money.”
Macquarie term deposit rates
| 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 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
5.15% p.a. | Annually | 12 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.10% p.a. | At Maturity | 9 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.09% p.a. | Semi-Annually | 12 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.05% p.a. | Quarterly | 12 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.05% p.a. | At Maturity | 6 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.03% p.a. | Monthly | 12 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.00% p.a. | At Maturity | 3 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.00% p.a. | At Maturity | 4 months | $5,000 | $1,000,000 | – | – | |||||||||||||
5.00% p.a. | Annually | 12 months | $100,000 | $10,000,000 | – | – | |||||||||||||
5.00% p.a. | At Maturity | 9 months | $100,000 | $10,000,000 | – | – |
Macquarie term deposit features
Flexible interest payments and investment terms
Customers can choose how long they wish to deposit their funds, including 1, 2, 3, 4, 6, 9, 12, 24, 36, 48, or 60 months.
They can also choose how frequently their interest payments occur: either monthly, quarterly, half-yearly, annually, or at the end of the deposit term. The interest rate lowers slightly for more frequent payments.
There is also the option to automatically roll the deposit into a new term deposit after the original reaches maturity.
Fee free
Macquarie does not charge fees to set up a term deposit.
“With Macquarie’s award-winning term deposits there are no start-up fees, and our customers can choose how often they receive interest payments to suit their needs and overall investment strategy,” Ms McArdle said.
However, if you withdraw your funds prior to maturity, you will be penalised via an interest adjustment. This is 25% of earned interest and will be deducted from the interest paid out to you.
If you wish to withdraw funds prior to maturity, you must provide 31 days notice unless you’re experiencing financial hardship.
Award-winning SMSF solution
By linking Macquarie’s term deposit and cash solutions, you can also simplify various aspects of a self-managed super fund (SMSF).
“For those customers who are using Macquarie term deposits as part of their SMSF strategy, they’re able to link their term deposit account directly to their Macquarie Cash Management Account (CMA), which gives them greater visibility of their investments, as well as increased flexibility and control over their overall cashflow,” Ms McArdle said.
“Additionally, by linking their term deposit to Macquarie’s other cash solutions, they are able to simplify a variety of SMSF processes such as their accounting and end of financial year reporting by utilising the Macquarie Cash Management Account’s market leading data feeds and connectivity features.”
Easy account management
If you’re an existing Macquarie client, you’ll have the ability to connect your term deposit account with your Macquarie Cash Management Account to help you better manage your investments and cash flow.
“Once an account is opened, Macquarie customers can securely access and manage their term deposit within Macquarie’s award-winning mobile banking app,” Ms McArdle said.
“This means they can quickly and easily view their balance, rate and maturity details, as well as being able to manage their term deposit instructions such as whether they would like to withdraw or reinvest their funds at maturity.”
Government guarantee
Deposits are protected under the Australian Government Guarantee up to a limit of $250,000 for each account holder at Macquarie Bank.
See also: What is the financial claims scheme?
Interest paid
Customers also have the option to have their interest paid into any Australian bank.
"By the numbers, Macquarie is the biggest competitor to the chokehold the big four have on banking in Australia. It was the first of these challengers to crack $100 billion in household deposits and continues to make up ground - one or two executives at ANZ might be starting to look over their shoulders. While the Macquarie app receives plenty of praise, the biggest draw is probably rates, typically higher at Macquarie than at the big four. For term deposit returns, Macquarie (along with ING and Suncorp) has been among the frontrunners out of the major banks over the past few years - although generally still behind smaller competitors such as Judo Bank. Macquarie also distinguishes itself with its rates for more regular interest payments which, at the time of writing, come with a much lower than standard discount to products with interest paid annually or at maturity."
What the expert says
Macquarie term deposit eligibility
To open a Macquarie term deposit account, customers need to:
- be 18 years old or more
be a permanent resident of Australia
have a minimum deposit of $5,000
- have a Macquarie Transaction or Savings Account in the same name as the term deposit you're applying for
Required documents
Additionally, you’ll need to provide an Australian mobile number and the following types of Australian-issued forms of identification:
Driver’s license or passport
Tax File Number, ACN, or ABN (if applicable).
You will also need to provide personal details including your name, date of birth, Australian residential address, and email address.
Before opening an account, Macquarie will verify your identity and may ask for some additional information as part of the process.
When the application is approved, the funds will be direct debited from the account nominated on your application.
How to manage a Macquarie term deposit?
Before the maturity date of your term deposit, you can provide maturity instructions via Macquarie Online Banking or Macquarie Mobile Banking app.
This will allow you to choose:
- reinvesting principal and interest
- reinvesting principal only
- closing your account and withdrawing funds
If you don't provide maturity instructions by the end of the term, your term deposit funds will be automatically reinvested for the same term.
However, there is a grace period of five business days or seven calendar days (whichever is longer) to made certain changes to your term deposit details or close your account and withdraw the funds.
Withdrawing funds
If you wish to withdraw funds prior to maturity, you must provide at least 31 days' notice and a break fee may apply.
If you have less than 31 days remaining of the term, the earliest you can access your funds is at maturity. However, Macquarie may waive the required notice period and/or break fee if you are experiencing hardship such as:
- financial hardship
- medical emergencies
Other circumstances such as property settlements or tax bills will be assessed on the basis of whether they are contributing to further hardship.