Smaller lenders are paying some of the highest interest rates for six-month term deposits, a new market analysis has found.
For anyone who wants to invest $10,000 over six months, the highest interest rate right now is 2.85 per cent.
Three lenders are offering this rate – Arab Bank, Bank of Sydney and RaboDirect (see table below).
That $10,000 term deposit would pay $142.50 of interest at the end of the six months.
MyState Bank is paying 2.80 per cent, while five other lenders are paying 2.75 per cent – Firstmac, Macquarie Bank, ME Bank, Rural Bank One and UBank.
By comparison, ANZ and NAB have interest rates of 2.10 per cent for six-month term deposits, while Commonwealth Bank and Westpac have rates of 2.05 per cent.
$10,000, six-month term deposits – challenger lenders
| Lender | Interest rate | Final total |
|---|---|---|
| Arab Bank | 2.85% | $10,142.50 |
| Bank of Sydney | 2.85% | $10,142.50 |
| RaboDirect | 2.85% | $10,142.50 |
| MyState Bank | 2.80% | $10,140 |
| Firstmac | 2.75% | $10,137.50 |
| Macquarie Bank | 2.75% | $10,137.50 |
| ME Bank | 2.75% | $10,137.50 |
| Rural Bank One | 2.75% | $10,137.50 |
| UBank | 2.75% | $10,137.50 |
$10,000, six-month term deposits – big four banks
| Lender | Interest rate | Final total |
|---|---|---|
| ANZ | 2.10% | $10,105 |
| NAB | 2.10% | $10,105 |
| Commonwealth Bank | 2.05% | $10,102.50 |
| Westpac | 2.05% | $10,102.50 |
