$0 Account keeping fees
Loyalty bonus rate of 0.10% p.a. available when reinvesting
Small minimum investment of $1,000
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If you’re looking for a stable and secure investment opportunity, term deposits could be the perfect choice. They offer a fixed interest rate that won't change for the duration of the term (so you don't need to worry about any market volatility), and your deposit up to $250,000 is protected by the government.
Term deposits are one of the safest investments around. Unlike other investments, for example shares or property, there is almost no risk of losing the money you deposit. There are no establishment or ongoing service fees attached to term deposits (unless you withdraw your funds early), so you don’t have to worry about hidden fees and charges eating away at your savings balance.
These accounts allow you to earn a fixed interest rate on your account balance, so you don’t have to worry about falling interest rates harming your savings like you do with a savings account. This also means that you can calculate exactly how much interest you will earn on your term deposit, allowing you to budget for future expenses and investments ahead of time.
In short, term deposits are a safe place to park your money and let it grow. There’s no ongoing account management required and virtually no risk attached to your investment.
Similar to bank accounts and savings accounts, term deposits are protected by the Australian Government Guarantee. Under this arrangement, deposits of up to $250,000 in an Authorised Deposit-taking Institution (ADI) are guaranteed by the Australian government. In other words, if the bank with which you open a term deposit gets into financial trouble and collapses, you won’t lose any money as it'll be covered by the government. The majority of banks, building societies and credit unions are including in this scheme.
This $250,000 cap applies per person and per ADI. This means if you have $500,000 to invest, you can put half of it in a term deposit with one bank and the other half with another bank to make sure the whole lot is covered.
We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
There are several reasons why term deposits are so safe:
Although term deposits are a safe and secure investment, they’re not without some drawbacks.
Earn a special fixed interest rate for terms of 1 or 2 years in length when you invest at least $25,000.
Earn a fixed interest rate on a wide choice of terms with a Gateway Bank personal term deposit.
Earn a competitive fixed interest rate on Citibank term deposit when you invest $10,000 or more.
Earn a competitive interest rate plus bonus interest when you roll over your deposit into a new term deposit. Terms from 3 months to 5 years. No fees.
Earn a competitive interest rate on terms between 1 month and 2 years with a Challenger term deposit.
This account offers fixed interest rates for terms ranging from one month to five years, so you can enjoy secure, guaranteed returns on your business funds.
Choose a term from one month to five years and earn a competitive, fixed interest rate on your deposit. This account is for Queenslanders only.
If you struggle to save, you could benefit from a savings account that won’t allow you to withdraw funds.
Find out all about the tax treatment of term deposit interest payments.
Earn a competitive interest rate on deposits over $100,000 and enjoy flexible term lengths with the AMP Bank term deposit.
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