BankSA Term Deposit Review & Open Account |2.20% p.a. for 6 mths

Product details

A BankSA term deposit offers a range of terms from 1 month to 5 years. You can get started with a small investment amount of $1,000 or more, up to $5,000,000. Take advantage of flexible interest payment options and it's suitable for DIY / SMSFs.

Product Name: BankSA Term Deposit

1 month interest rate: 1.50%

3 month interest rate: 2.10%

4 month interest rate: 1.85%

6 month interest rate: 2.20%

9 month interest rate: 1.90%

12 month interest rate: 2.55%

24 month interest rate: 2.60%

36 month interest rate: 2.60%

48 month interest rate: 2.70%

60 month interest rate: 2.95%

Min Deposit: $1,000

Max Deposit: $5,000,000

Joint Application: Yes

Minimum Age Requirement: 18

Covered by Government Guarantee: Yes (Up to $250,000 per person, per institution)

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What are the features of the BankSA Term Deposit?

Before applying for a BankSA term deposit, take some time to find out just what it has to offer and here’s what you need to know.

Minimum investment amount of $1,000

Open a new term deposit with as little as $1,000. On the other end of the spectrum, you can invest as much as $5,000,000.

Terms from 1 month to 5 years

You can invest your money for a short term, for any number of months from 1 to 12 months If you’re thinking long term, you can choose terms of up to 5 years.

Options at maturity

BankSA contacts you when your term deposit matures and you get 7 grace days to establish what you want to do with the money. If you wish to close the account, BankSA transfers the funds into a nominated bank account. If you wish to renew your term deposit, you can renew it for the same term again without making any changes.

You can also reinvest the amount changing the terms, amount and how you earn interest. You can compare BankSA everyday and savings accounts here.

Earning interest

While longer terms tend to offer better interest rates in comparison to shorter terms, BankSA offers special rates for shorter terms from time to time, so make sure you check before applying.

Interest payment options

Depending on the term of your deposit, you can choose to earn interest monthly, half yearly, annually, or at maturity. BankSA can transfer this interest into your bank account. You can visit a BankSA branch and collect it in the form of cash or cheque, or you can reinvest it as a new term deposit.

Statements and access

BankSA keeps you posted about your term deposit’s progress through an opening confirmation as well as maturity, reinvestment and repayment advices. Access and manage your funds though Online and Mobile banking.

$0 Setup and monthly fees

Opening a BankSA term deposit does not attract any fees, and you don’t have to pay any account keeping fees.

Account opening is easy

Opening a new BankSA term deposit account requires that you follow a quick and simple process, and you can take care of all required formalities online, over the phone, or by visiting any BankSA branch.

Access to your funds before the maturity date

You can access funds in your term deposit before maturity for a penalty, but this requires that you provide BankSA with at least 31 days notice. This notice period does not apply in case of financial hardship.

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Pros

Low minimum investment of $1,000
$0 Account keeping fees
Wide ranges of terms from from 1 month to 5 years

Cons

31 days advance notice required in case of withdrawing funds before maturity

How do you apply for the BankSA Term Deposit?

The online application does not take long to complete, and to get started, click on the ‘Go to Site’ button.

Eligibility to apply online

Before you do, make sure you meet the required eligibility criteria as mentioned below.

You’re at least 18 years old
You’re a permanent resident of Australia
You wish to invest at least $1,000

Documentation to apply online

To complete the application, you have to provide different kinds of information, which comprises the following.

Details of an Australian bank account where BankSA will pay the interest (name of financial institution, account name, account number, BSB)
Personal details like your complete name, date of birth, residential address, email address, and phone number
Tax file number (you have to provide this only if you don’t want to pay withholding tax)

What happens after I submit the application?

After you submit your application, and if you’re a new BankSA customer, you’ll have to complete a legally mandated ID check. BankSA sends you a confirmation email once it verifies all the information you provide. It opens the new term deposit soon as it receives the funds, and you can look forward to receiving all related documents via mail soon after.

I am required to pay a deposit for a nursing home of $350,000 and money is tied up in a term deposit for a 12 month period. What are the cancellation fees/charges etc. including interest reduction if I redeem the term deposit early? Will it be beneficial if I can give some notice earlier before I redeem?

According to the terms and conditions, you’ll need to give at least 31 days before accessing funds in a BankSA term deposit account. If 20% or more of the term has elapsed, up to 40%, you’ll receive an 80% interest rate reduction.

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