RateCity.com.au
  1. Home
  2. Term Deposits
  3. News
  4. Highest rates for 5-year term deposits sitting at 3%

Highest rates for 5-year term deposits sitting at 3%

Nick Bendel avatar
Nick Bendel
- 2 min read
Highest rates for 5-year term deposits sitting at 3%

If you want to earn high interest rates for a term deposit, you might have to lock away a lot of money for a long time.

A RateCity analysis of the May 2019 term deposit market has found that even the most generous five-year term deposits in Australia are paying low interest rates.

And to earn those rates, you might have to invest a sizeable sum.

G&C Mutual Bank is paying 3.00 per cent for five-year term deposits, with the minimum investment set at $1,000.

Australian Unity and IMB Bank are also paying 3.00 per cent, but have a $5,000 minimum.

Bank First, BankVic and RaboBank are paying 3.00 per cent with a $50,000 minimum.

LenderInterest rateMinimum deposit
G&C Mutual Bank3.00%$1,000
Australian Unity3.00%$5,000
IMB Bank3.00%$5,000
Bank First3.00%$50,000
BankVic3.00%$50,000
RaboBank3.00%$50,000

Mutual banks paying some of the highest interest rates

A range of other challenger lenders are paying between 2.80 per cent and 2.95 per cent for five-year term deposits, with minimum investments ranging from $1,000 to $250,000.

Police Bank is paying 2.95 per cent, while Greater Bank and QBank are paying 2.90 per cent.

RACQ Bank, People’s Choice Credit Union, Newcastle Permanent and Beyond Bank are all offering investors 2.80 per cent for five-year term deposits.

LenderInterest rateMinimum deposit
Police Bank2.95%$10,000
Greater Bank2.90%$5,000
QBank2.90%$250,000
RACQ Bank2.80%$1,000
People’s Choice Credit Union2.80%$5,000
Newcastle Permanent2.80%$10,000
Beyond Bank2.80%$200,000

NAB the market leader among the major banks

If you’re with one of Australia’s big four banks, and you don’t want to take your business elsewhere, you’ll have to accept lower five-year term deposit interest rates.

NAB is paying 2.50 per cent, ANZ 2.45 per cent, Westpac 2.40 per cent and Commonwealth Bank 2.20 per cent.

LenderInterest rateMinimum deposit
NAB2.50%$5,000
ANZ2.45%$5,000
Westpac2.40%$5,000
Commonwealth Bank2.20%$50,000

Disclaimer

This article is over two years old, last updated on May 10, 2019. While RateCity makes best efforts to update every important article regularly, the information in this piece may not be as relevant as it once was. Alternatively, please consider checking recent term deposits articles.

Compare term deposits

Product database updated 29 Mar, 2024

This article was reviewed by Personal Finance Editor Mark Bristow before it was published as part of RateCity's Fact Check process.