Term Deposits Best Rates

Whether you are looking to invest your savings into short or long-term term deposits you can use RateCity to search, compare and apply for a selection of term deposit accounts.

Term deposits best rates pay a higher interest rate when compared to average savings accounts. The catch is, by investing in a fixed term deposit you are entering into an agreement with the financial institution that you will not withdraw the balance (without penalty) until the term has reached maturity.

Term deposits are offered by a wide range of institutions with agreed terms ranging from a few months up to five years (sometimes longer!).

Early access

If you need to access your savings prior to the term deposit reaching maturity, be aware that you may have to pay a penalty fee for breaking the arrangement and/or lose the higher interest rate advantage, as the financial institution – be it a bank, non-bank or credit union - may recalculate the interest payable to you at a lower rate.

However, some institutions do offer you the option to take out a ‘partial withdrawal’ from your term deposit account. Partial withdrawal allows you to access some of your savings before the term reaches maturity without losing the full high interest advantage. However there may still be an administration fee or interest adjustment, or both.

Rolling over

Term deposits can be a good investment option if you are looking for a fixed return on your savings, but be aware there are some conditions that can cost you. For example, at the end of the term, if you have not informed your financial institution of your intentions for the balance, it may just roll over the funds into a new fixed term deposit often at a lower interest rate than the term deposit you originally had. Make sure you know what the new (roll over) interest rate is, and inform your financial institution about what you want to do with your money. To ensure you have a term deposit with best rates ongoing, shop around and compare term deposit accounts before the end of the term to ensure your interest rate remains competitive.

This is an information service. By browsing on the website and/or using our search tools, you are asking RateCity to provide you with information about products from multiple financial institutions. We will try to show you a range of products in response to your request for information. The search results do not include all providers and may not compare all features relevant to you, for further details refer to our FSCG. The rating shown is only one factor to take into account when considering these products. We are not a credit provider, and in giving you product information we are not making any suggestion or recommendation to you about a particular credit product. If you decide to apply for a product, you will deal directly with a financial institution, and not with RateCity. Rates and product information should be confirmed with the relevant financial institution, and you should review the PDS before you decide to purchase. See our terms of use for further details. This advice is general and has not taken into account your objectives, financial situation or needs. Consider whether this advice is right for you.