The BankVic Superfuture RSA Term Deposit account is aimed at providing you with a secure income in your retirement years. It is a term deposit security with the added bonus of qualifying you for the retirement superannuation tax benefit.
What are the features of the BankVic Superfuture RSA Term Deposit?
Low risk investment
This is a low risk investment, the only risks are a negative change in the interest rate or a significant change in the superannuation law. You can expect a secured return with this investment.
Contributions around your term deposit
This account has certain rules that pertain to who is allowed to contribute. If you are under the age of 65, any RSA holder may make contributions, to their own or their spouse's account, regardless of their employment. However, from 65 and up, there are strict guidelines that should be followed.
It offers the tax advantages of a retirement superannuation. This means that you will not be taxed on monthly income from this fund if you satisfy the requirements as set out by the tax authority. Any other superannuation accounts can be transferred to this account without needing to pay any entry fees. The interest will accumulate, at the full rate, from the date of transfer. If the source from which the income originates is an untaxed source, the superannuation can be subject to tax.
This is given, as required by law. It must be noted that this is only a protection against negative interest being charged, the account may still be reduced by fees and charges.
Financial claims scheme
The possibility of being covered for up to $250,000 by the government’s financial claims scheme. See the Financial Claims Scheme, on the Australian Prudential Regulation Authority (APRA) website for more information.
$0 ongoing fees
No entry or administration fees will be charged on this account. There is however an exit fee of $49, which will be charged to the account for each withdrawal or transfer from the account, as well as a pension payment fee of $85. The pension payment fee will be charged annually on 30 June or upon termination.
Limited access to funds
No access to your funds for 6, 12 or 24 months.This limitation is in accordance with superannuation requirements and rules. Once you reach retirement or the preservation age, you can access your funds in a lump sum, as an account based income stream or as a combination of the two.
Early withdrawal rules
The withdrawal of deposits before maturity will, as a rule, not be allowed. However, under special circumstances this will be possible and will most likely also lead to a reduction in interest.
Competitive interest rates
The rates before taxes and government charges are calculated daily and will be credited to the account annually on 30 June and on maturity. Rates vary from 2.40% per annum for a 6 and 12 month lock-in period and 2.70% p.a. for a 24 month period.
- No entry or administration fees
- Low risk investment
- No exposure to possibility of loss of capital invested
- Minimum deposit of $50,000
What you’ll need to know about the BankVic Superfuture RSA Term Deposit before applying
Eligibility to apply online
- Depository requirements. A minimum deposit of $50,000 is required.
- Membership. As BankVic is a mutual bank, an account can only be opened for members of the bank. There are, however, certain exceptions when you will also qualify. For example, if you are living within 5km of one of their offices or if you were introduced by one of their existing members (this member should at least be 12 months standing). Applying for membership can be done online, at a branch or by telephone.
Documentation to apply online
- Identification. Anti-money laundering legislation has certain requirements that need to be met for banks when opening an account. These include the collection of the full name, residential address and date of birth of each account holder as well as those of any signatories to the account.
- Tax file number. Your tax file number (TFN) will be asked when opening an account. However, there is no requirement to provide it to the bank. In the event that the TFN is withheld, withholding tax will be deducted on any interest earned on the account, as is required by tax legislation.