Bank of Queensland

Term Deposit

Max rate

0.60%

p.a for 24 months

Min. deposit

$5,000

Next rate increased

0.60%

p.a for 24 months

Interest rate

0.55%

p.a for 6 months

Balance Amount

$501.4k

Real Time Rating™

2.15

/ 5
Max rate

0.60%

p.a for 24 months

Min. deposit

$5,000

Next rate increased

0.60%

p.a for 24 months

Interest rate

0.55%

p.a for 6 months

Balance Amount

$501.4k

Real Time Rating™

2.15

/ 5

Pros and Cons

Pros and Cons

  • Interest can be paid to other institution
  • Interest rate variations available based on payment options
  • Automatic maturity rollover
  • Early withdrawal available with $30 fees
  • 31 days notice to withdraw funds before maturity

Features and Fees

BOQ Features and Fees

Features

Min. deposit

$5,000

Automatic maturity rollover

Maturity alert by phone

Maturity alert by email

Joint application available

Minimum Age Requirement

Notice period to withdraw

31

Is covered by government guarantee

Interest

Interest Calculation Frequency

Interest Payment Frequency Options

At MaturityAnnually

Interest payment via other institution

Interest payment method

Direct Credit, Rollover on maturity

Fees

Early withdrawal fee

$30

Rates

Bank of Queensland term deposits rates

Savings Term$1 - $4,999$5,000 - $249,999
1 month0.10%0.10%
2 months0.20%0.20%
3 months0.20%0.45%
4 months0.20%0.30%
5 months0.20%0.30%
6 months0.20%0.55%
7 months0.20%0.40%
8 months0.20%0.40%
9 months0.30%0.40%
10 months0.30%0.40%
11 months0.30%0.40%
1 year0.30%0.55%
2 years0.30%0.60%
3 years0.30%0.60%
4 years0.30%0.60%

Pros and Cons

  • Interest can be paid to other institution
  • Interest rate variations available based on payment options
  • Automatic maturity rollover
  • Early withdrawal available with $30 fees
  • 31 days notice to withdraw funds before maturity

BOQ Features and Fees

Features

Min. deposit

$5,000

Automatic maturity rollover

Maturity alert by phone

Maturity alert by email

Joint application available

Minimum Age Requirement

Notice period to withdraw

31

Is covered by government guarantee

Interest

Interest Calculation Frequency

Interest Payment Frequency Options

At MaturityAnnually

Interest payment via other institution

Interest payment method

Direct Credit, Rollover on maturity

Fees

Early withdrawal fee

$30

Rates

Bank of Queensland term deposits rates

Savings Term$1 - $4,999$5,000 - $249,999
1 month0.10%0.10%
2 months0.20%0.20%
3 months0.20%0.45%
4 months0.20%0.30%
5 months0.20%0.30%
6 months0.20%0.55%
7 months0.20%0.40%
8 months0.20%0.40%
9 months0.30%0.40%
10 months0.30%0.40%
11 months0.30%0.40%
1 year0.30%0.55%
2 years0.30%0.60%
3 years0.30%0.60%
4 years0.30%0.60%

FAQs

Is a term deposit an asset?

The short answer is yes – a term deposit is, indeed, an asset.

Regardless that the funds are locked away for a fixed period, when it comes to the balance sheet, it’s considered an asset.

Aside from being an asset, term deposits are also cash investments which are held at financial institutions like banks or credit unions.

Term deposits work by investing a set amount of cash in a bank account for a fixed period at a fixed interest rate.

When you deposit your money in a term deposit, you’re agreeing to lock it away for a predetermined period, ranging from short-term periods of one month all the way to long-term periods of up to 10 years.

Term deposits are a popular way to boost your bottom line by investing your money and increasing the value of your asset.

How long is a term deposit?

A term deposit refers to when you lock your money in an account for a certain period of time and at a specified interest rate. You will not be able to access your money for the length of the agreed term without incurring a penalty fee.

A long term deposit generally refers to a term deposit that lasts for more than 12 months – which in some cases may be as long as 10 years.

Usually, the longer you store your money, the better the interest rate you’ll get, so a long term deposit will tend to pay higher interest than a short term deposit.

At the end of the term, you can roll over the money (plus the interest you’ve made during the term), or you can withdraw it all.

What is a secured term deposit loan?

A secured term deposit loan is a personal loan that’s secured by a term deposit. To take out a personal loan that’s secured by a term deposit you would need to go through the same bank.

Generally, secured term deposit loans offer a lower rate of interest than standard personal loans. This is because the interest generated by your term deposit offsets the interest applied to the loan.

A secured term deposit or term deposit secured loan enables you to leave your money invested in a term deposit while still being able to make significant cash purchases.

This type of personal loan usually offers many of the same features of a standard loan, including: redraw facility, variable and fixed interest rate options, and the ability to make extra repayments.

Which bank has the best term deposit rates?

If you’ve been shopping around for a term deposit, you might be wondering which bank has the best term deposit rates.

Term deposit rates will generally be affected by the amount you choose to deposit and whether you opt for a short or long term deposit.

Longer term deposits tend to have higher interest rates than shorter terms. The trade-off for earning a higher interest rate on your term deposit is that you can’t access your funds for the duration of the term deposit.

When comparing which bank has the best term deposit rates, it pays to do your research and compare how your funds will fare over the short and long term.

Unlike home loans or savings accounts which give you the option of fixed or variable rates, term deposits are always fixed, which means you get a guaranteed amount of interest over the term of the deposit.

Are term deposit accounts subject to capital gains tax?

The tax you pay on a profit generated by a term deposit is not classified as capital gains tax (CGT). CGT applies to an asset (or investment), such as real estate or shares, where you either make a capital gain or a capital loss.

Interest earned on a term deposit is considered income though, and would need to be included in your annual income tax return.

The interest can be declared in the year the investment matures, or for the financial year it was credited to your account.

This also applies if you roll over your investment into a new term; you are still required to declare the interest earned at the rollover date (whatever financial year that falls in).

Is term deposit interest taxable?

The interest that you earn from your term deposit is considered taxable income. Because your term deposit interest is taxable, it should be disclosed on your annual tax return.

It’s important to note that circumstances may differ depending on whether you provided the account holder with your tax file number (TFN). If you did not supply your bank or other financial institution with your TFN, they are typically required to withhold tax from your interest earnings.

If you’ve invested in a deposit that lasts longer than 12 months, you’ll need to claim your earned interest in the year that you received it. For example, if you receive interest monthly, you’ll need to claim your earnings at the end of the financial year. However, if you only receive interest at maturity, you should claim your earnings in the year that you received the lump sum of interest.

Can an international student have a term deposit?

If you’re looking for a steady way to grow your funds as an international student, you might be considering the possibility of a term deposit. Banking for overseas students can be complicated, so you might be wondering, “Can an international student have a term deposit?”

So, can an international student open a term deposit? The answer is yes.

Several banks around Australia offer term deposits to international students. Some banks even have specific accounts and offers designed for those who study overseas.

In general, large banks will offer several options for international students. If you have already opened an account with a bank, it might be best to start by discussing your options with your chosen bank.

What is a term deposit?

A term deposit is an investment savings account. A term deposit usually pays a higher rate of interest than a regular savings account, with the interest rate fixed for the term (or duration) of the deposit.

You can open a term deposit account for one month or up to five years depending on your investment goal, and invest as little as $500 to start earning a profit.

With a term deposit, you get to decide how much you want to invest (the principal or deposit), for how long (the term or duration) and the frequency of interest payments.

A term deposit represents a secure form of investment, unlike trading in shares or purchasing real estate. And a term deposit up to $250,000 is protected by the government guarantee.

Can I negotiate a fixed term deposit rate with the bank?

“Can I negotiate a fixed term deposit rate with the bank?” you may be wondering.

Many banks welcome negotiation when it comes to term deposit rates, especially with deposits of over $100,000. Even if your deposit is lower than $100,000, it may be worth a discussion with your bank.

Negotiating with your bank could secure you a higher fixed rate, which will earn you extra interest over your term. You may also discover bonuses or special offers you can acquire through your bank.

Securing the highest interest rate possible is the key to making the most of your term deposit. You may have compared deposits online or discussed your options with a financial adviser, but you also might be wondering about negotiation in order to get a better rate.

What are Suncorp Bank's term deposit rates for businesses?

A term deposit with Suncorp Bank allows you to lock away a specific amount of money at a fixed interest rate for a nominated period. You will need to make a minimum investment of $5,000 and up to $2,000,000, and can select a period from one month to 36 for your investment. Term deposit investments ranging from one to 12 months are based on interest paid at maturity, while investments from 12 to 36 months are based on interest paid annually. 

While the interest rate will differ based on your investment amount and term duration, here are some of the most popular Suncorp Bank business term deposit rates as of January 2021: 

Term $5,000-$99,999 $100,000-$999,999 $1,000,000-$2,000,000
4 Months  0.50% p.a. 0.55% p.a. 0.60% p.a. 
7 Months  0.55% p.a.  0.60% p.a.  0.65% p.a.
12 Months  0.50% p.a.  0.55% p.a.  0.60% p.a. 
24 Months  0.65% p.a.  0.70% p.a.  0.75% p.a.

Please note that these interest rates are effective from 13th November 2020 and are subject to change without notice. Moreover, if you choose from an early withdrawal, the interest rate will be adjusted, and other charges are likely to be applied. 

 

Can students make term deposits?

If you are a student who has managed to save some money and are looking for a safe investment option, you may be considering a term deposit. Most term deposits (and other bank accounts) are open to anyone who is at least 18 years old.

There are also some term deposits open to younger students, some even without an age limit. These term deposits are usually opened on the student’s behalf, by their parent or guardian.

A term deposit is generally a safe investment option, especially if you want to make sure you can’t touch your savings for a set period of time. If you are 18 or older, shop around for a competitive interest rate before committing. If you are under 18, speak to your parent or guardian to get started.

What are Bankwest business term deposit rates?

Looking to invest some of your business funds with a fixed interest rate? You could consider a business term deposit with Bankwest. Bankwest calls these accounts Business TD Direct, and accepts deposits of amounts between $10,000 and $2,000,000. 

When it comes to Bankwest term deposit rates for business, you can find information here. If you choose a term of over a year, you can ask for interest to be paid monthly, quarterly, biannually or annually. The Bankwest business term deposit rates do, however, vary based on the term length you choose. 

If you need the funds before your term deposit’s maturity date, you need to give 31 days notice. Also withdrawing the funds will impact the interest you earn.  

You can contact a Bankwest business banking specialist by calling on 13 7000 and get more details about business term deposits. 

Can children have term deposit accounts?

It’s many parents’ wish to invest money for their child early, so you might be asking the question, “Can children have term deposit accounts?”

The short answer is yes. You can open a term deposit with funds that will be used to support your child. There are two options when it comes to opening a term deposit for your child. The first is that you open the term deposit in your name rather than theirs. Opening the deposit in your name means that you have full control over the deposit and can withdraw money by signing a request.

You can also open a deposit in your child’s name, but you should consider waiting until your child can sign his or her name, as well as understand their term deposit account. If your child isn’t old enough to sign a request for withdrawal, you won’t have access to withdraw the funds if you need to.

Can I open a NAB foreign currency term deposit?

If you are looking to bank some funds in a foreign currency and earn interest, you could consider a NAB foreign currency term deposit. The NAB foreign currency term deposit gives you a fixed interest rate for your chosen term but is only available for amounts equivalent to $100,000 (in your chosen currency) or more. 

NAB accepts deposits in a range of foreign currencies and interest is calculated daily. The maximum term of the deposit is 365 days and NAB does not charge a monthly fee for foreign currency term deposits. 

If you live in Australia, you can get more details by calling 1800 865 155. If you are outside the country, you can email investorFX@nab.com.au for more information. 

What is a short term deposit?

Sometimes you only want to tie up your money for a short period, maybe because you want to make a quick return on a large sum, or just to have more flexibility and access to your money. That’s where a short term deposit can come in.

Short term deposits are usually less than 12 months (e.g. 30 days, 90 days, six months or 12 months), though you will still not be able to access your money for the length of the term without incurring a penalty fee.

At the end of the term, you can roll your deposit over, or you can withdraw it. An advantage of short term deposits is that you can take advantage of higher interest rates with a different financial institution, if they are available.

What can a Westpac business term deposit offer me?

If you have a business registered in Australia, you can earn fixed returns on your funds with a Westpac business term deposit. These accounts are offered for a minimum investment amount of $50,000.

Westpac business term deposit interest rates vary based on the term and interest payment frequency that you select.

If you are a Westpac customer and use online banking, you can apply for a Westpac business term deposit online. If you don't have a Westpac account currently, you need to speak with a business banker to discuss your term and repayment options. You can find details on this webpage and can ‘request a callback’ from someone in the business team.

If you are an existing customer you may be eligible for a bonus rate on top of the standard Westpac bank business term deposit rates. You can log in to your bank account to check whether your banking records qualify you for extra interest.

If you open a deposit and need to access your locked funds before the maturity of your term deposit, you must provide 31 days of notice, except in cases of hardship.

What is a term deposit rate?

The term deposit rate is the agreed interest rate for your term deposit. It remains fixed for the term of the deposit.

For example, if you deposit $5,000 for 12 months at a 2.5 per cent term deposit rate, that 2.5 per cent term deposit rate will be fixed for the entire 12 months and won’t change until the term matures.

The term deposit rate is one of the most important factors to consider when comparing your term deposit options. The general rule of thumb is that the longer the term, the higher the term deposit rate.

Term deposits are a popular type of investment because they’re safe and provide reliable returns.

The return you get on your term deposit will be determined by the amount you initially invest, the amount of time you choose to invest it for, and the term deposit rate.

What is the best term deposit rate in Australia?

If you’re ready to add a term deposit to your financial strategy, there’s likely one question on your mind: what is the best term deposit rate in Australia?

Unfortunately, there’s no one right answer to this question.

That’s because if you want to find the best term deposit rate in Australia, you first need to understand the nature of interest rates themselves. The financial market is always moving, with interest rates moving up and down and special offers being introduced and withdrawn.

As a result, whatever the best term deposit rate in Australia is today might not be tomorrow.

So to find the best term deposit rate in Australia, it’s best to ignore the past and to instead focus on today’s market. Compare term deposits to find out the current rates and find the right term deposit for you.

Are term deposits compounded?

Term deposits can be compounded, depending on what you choose to do with the interest.

There are two ways to receive interest from a term deposit: either a lump sum at maturity; or paid on a regular basis, usually monthly. If you get your interest paid regularly, you can get it paid into a transaction account, or back into the term deposit account. By using this second option, you’re getting interest paid on your interest. In other words, it’s compounding.

Having the money paid into a transaction account means you can access it for your day-to-day spending, while compounding the interest means you get a better overall return on your investment. Both have advantages, depending on your needs, but be aware that some term deposit accounts that pay interest regularly may offer a lower interest rate to offset the effect of compounding.

What are the current AMP Bank business term deposit rates?

Term deposit interest rates are subject to frequent market change. To view the most current AMP Bank business term deposit rates, it’s best to view the provider’s website directly

If you want to earn competitive rates on your fixed deposits for an amount between $100,000 and $500,000, AMP Bank deposit may worth considering. Term deposits with AMP Bank allow you to earn reliable returns for different tenures between one month and five years.

You can also choose when you want to receive the interest; monthly, quarterly, or half-yearly. If you wait until maturity, you’ll earn the full interest.

AMP Bank term deposits do not charge monthly maintenance fees. If you’re at least 13 years and an Australian citizen with a local address, you’re eligible for AMP Bank term deposit.