Product details
With the term deposit choices provided by BankVic, you have the opportunity to rapidly grow your savings and meet your goals sooner. These do require you to make a commitment to a set amount of time, rewarding you for not making withdrawals before the agreed term with a competitive interest rate. BankVic is a registered mutual bank in Australia, so you have the peace of mind in knowing that your savings are safe as per the government Financial Scheme.
- Product Name
- BankVIC Term Deposit
- 3 month interest rate
- 2.35%
- 4 month interest rate
- 2.30%
- 6 month interest rate
- 2.30%
- 9 month interest rate
- 2.30%
- 12 month interest rate
- 2.55%
- 24 month interest rate
- 2.80%
- 36 month interest rate
- 3.00%
- 48 month interest rate
- 2.90%
- 60 month interest rate
- 2.90%
- Min Deposit
- $5,000
- Minimum Age Requirement
- 18
- Covered by Government Guarantee
- Yes (Up to $250,000 per person, per institution)
What are the features of the BankVic Term Deposit?
When considering a term deposit to help you meet your savings goals, there are a lot of different points to consider. Compare these features that BankVic offers against other Australian financial institutions to ensure that you choose the account that will best help you meet your objective:
$0 Monthly management fees
With BankVic there is no monthly management fee for the term deposit.
Terms available from 3 months to 5 years
You have the option of choosing terms ranging from 3 months up to 5 years.
$0 Minimum balance
The minimum balance amount is $5,000 in order to be eligible to earn interest.
Your interest rate is fixed for the period
The interest rates are fixed at a rate dependent on the length of your terms and amount on deposit. The longer you choose to invest and the larger your balance, the higher the rates will be.
How is my interest calculated?
The interest will be calculated on your daily balance and paid to the account annually and at maturity.
Terms and conditions for early withdrawal
Withdrawal of your money before the agreed upon term ends can only be done at the discretion of BankVic after a written request has been received by you. In the event the request is approved, a reduction of interest will be applied to reflect the change in terms.
What happens when my term deposit it about to mature?
You will be notified a week prior to the ending term date and provided with current interest rates. If at this time you do not provide any further instruction a new account will be started with the same terms as your previous one but at the prevailing interest rate. You can also choose to continue the terms and deposit additional funds. You will be provided with a Term Deposit Certificate once the account has been activated and a new one each time the account is renewed.
You must be a BankVic member to apply
BankVic is a mutual bank owned by Australian shareholders. You must be a member in order to open a term deposit with them, and this is limited to police officers, emergency response workers and other individuals working in public service. You can also apply for membership if a family member is in this industry or if you are recommended by an existing member of good standing. Residents within five kilometres of a branch are also permitted to apply for membership.
Pros
- Competitive interest rates
- Interest is calculated daily and paid annually and on maturity
- No management or account keeping fees
- Funds are capital guaranteed up to $250,000
Cons
- A minimum deposit of $5,000 is required
What you’ll need to know before applying
BankVic offers multiple means of applying for their term deposit, including online which can be accessed by visiting their website. Keep in mind that this option is only available to existing members. If you have not yet signed up you will need to first complete that application. Other eligibility requirements you should know include:
Eligibility to apply online
- Minimum age. You must be at least 18 years of age to apply online.
- Residency requirements. BankVic membership and their products is only available to Australian residents and citizens.
- Depository requirements. At least $5,000 must be deposited into the account before interest is accrued although you are able to make $2,000 deposits as well. If you are applying for membership you will also need to purchase ten shares at $1 each.
Documentation for your online application
- Tax file number. It is not obligatory to provide your tax file number (TFN) yet it is helpful in ensuring that deductions made from your interest earnings are done at the correct rate.
- Identification. BankVic requires information from your passport or driver’s licence on their membership application.
What happens after I submit an application?
Once your information has been received and confirmed, you will be able to make your opening deposit to activate the account. After that it is just sit and wait for the terms to end and your balance to grow.
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