A range of smaller lenders are offering significantly higher interest rates than the big four banks for six-month term deposits.
For borrowers who want to put $5,000 into a six-month term deposit with a big four bank, ANZ is paying the highest interest rate, at 2.10 per cent (see table below).
Commonwealth Bank, NAB and Westpac are all paying 2.05 per cent interest for $5,000 six-month term deposits.
However, it is smaller institutions, rather than the big banks, that are currently offering some of the highest interest rates in Australia for six-month term deposits.
Bank of Sydney is paying investors 2.85 per cent interest for putting $5,000 into a six-month term deposits, while Bank Australia is paying 2.80 per cent.
UBank, ME Bank and Firstmac are paying 2.75 per cent for $5,000 six-month term deposits, while UniBank and Teachers Mutual Bank are paying 2.70 per cent.
| Lender | Interest rate* | Final total |
|---|---|---|
| Bank of Sydney | 2.85% | $5,071.25 |
| Bank Australia | 2.80% | $5,070.00 |
| UBank | 2.75% | $5,068.75 |
| ME Bank | 2.75% | $5,068.75 |
| Firstmac | 2.75% | $5,068.75 |
| UniBank | 2.70% | $5,067.50 |
| Teachers Mutual Bank | 2.70% | $5,067.50 |
| ANZ | 2.10% | $5,052.50 |
| Commonwealth Bank | 2.05% | $5,051.25 |
| NAB | 2.05% | $5,051.25 |
| Westpac | 2.05% | $5,051.25 |
* This does not include any bonus interest rate offers.
