Compare Term Deposits in Australia

Mozo compares term deposit interest rates from 70 banks, mutual banks and credit unions in Australia, helping you find the right account for your investment needs.

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term deposits

Term deposit comparisons on Mozo - last updated 22 February 2024

Search promoted term deposits below or do a full Mozo database search. Advertiser disclosure
  • Term Deposit

    4.75% p.a.
    1 year


    Yes up to $250,000

    Enjoy a competitive fixed interest with the choice of 1 month to 5 year terms. Start with as little as $1,000. Interest paid monthly, quarterly, half yearly or yearly. Receive a 0.10% loyalty bonus when you automatically reinvest your Term Deposit before maturity. (Terms and Conditions apply)

  • Term Deposit

    4.75% p.a.
    6 months


    Yes up to $250,000

    Enjoy a competitive fixed interest with the choice of 1 month to 5 year terms. Start with as little as $1,000. Interest paid monthly, quarterly, half yearly or yearly. Receive a 0.10% loyalty bonus when you automatically reinvest your Term Deposit before maturity. (Terms and Conditions apply)

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^See information about the Mozo Experts Choice Term deposits Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.

Compare other savings options - last updated 22 February 2024

Search promoted savings accounts below or do a full Mozo database search. Advertiser disclosure
  • Reward Saver Account

    5.25% p.a. (for $0 to $1,000,000)

    0% p.a.(for $0 and over)

    Yes up to $250,000

    Intro bonus rate of 5.25% for balances up to $1,000,000 for the first 4 months, reverting to 3.25%. Minimum deposit of $50 and no withdrawals.

    Introductory bonus rate for balances up to $1,000,000 for the first 4 months. Minimum deposit of $50 and no withdrawals. Start your account online in under 10 minutes and earn interest on balances up to $1,000,000 (T&Cs apply). No monthly account fees, helping you save smarter and faster.

  • Mozo Expert Choice Badge
    High Interest Savings Account

    5.75% p.a. (for $0 to $250,001)

    4.40% p.a.(for $0 to $250,001)

    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    Reward yourself with a higher rate for your good savings habits with the Rabobank High Interest Savings Account . Receive the maximum rate when you grow your balance by at least $200 each month. No Account keeping fees. No minimum balance.

  • Hero Saver

    4.60% p.a. (for $0 to $250,001)

    1.00% p.a.(for $0 to $5,000,001)

    Yes up to $250,000

    Minimum deposit of $200 and no withdrawals in the month.

    Earn a generous variable rate on balances up to $250,001 each month you deposit at least $200 (excluding interest) on or before the last business day each month and make no withdrawals during the month. $0 account maintenance fees. Create a goal, set up regular deposits and track your progress on the Bankwest app.

  • Reward Saver

    5.25% p.a. (for $0 to $100,000)

    0.30% p.a.(for $0 and over)

    Yes up to $250,000

    Earn a high interest bonus rate if you hold an eligible transaction account and meet the bonus rate conditions (T&Cs apply). Only requires $1 to open. Free e-banking transactions. No monthly service fees to pay. Access your account via e-banking or the Bendigo Bank app. Not applicable to business customers.

  • High Interest Save Account

    5.10% p.a. (for $0 to $250,000)

    0.10% p.a.(for $0 and over)

    Yes up to $250,000

    Deposit at least $200 to either Spend or Save account from an external source each month.

    No monthly fees on any of your save accounts. Split your money with up to 10 Save accounts. Set savings targets and track the progress of all your Save accounts. Deposits guaranteed up to $250K per customer.


Term deposit resources

Reviews, news, tips and guides to help find the best term deposit for you.

Term deposits snapshot: February 2024

In February so far, our database has tracked a lot of term deposit interest rate cuts, particularly on 1-year-plus terms, implying we’re well and truly past the term deposit rate peak.

The Big Four are shuffling their rates up and down across different terms, with NAB and ANZ making changes to rates despite the Reserve Bank of Australia (RBA) holding the cash rate on 6 February 2024.

Smaller banks seem to be following suit, so now’s the time to lock in a term deposit rate before they fall any further. 

Average Big Four bank term deposit rate

According to our data, the highest average Big Four TD rate for a 1-year term (at $25,000) is about 4.61% p.a. – a fall of -0.27% since 1 February 2024. 

1.5 one-year term deposit rate cuts per day since the beginning of February

In the first 13 days of February alone, the Mozo database recorded a total of 20 term deposit interest rate cuts to 1-year terms, signalling banks are expecting RBA interest rate cuts to come within the next 12 months. 

“I think we’re past the peak for term deposit rates – they will only get worse from here,” Marshall said. 

That’s quite the nail in the coffin for anyone still holding out for higher rates. So, it might be time to lock into a TD for a couple of years (or more) to help insulate your savings from falling rates. 

Average term deposit rates in February 2024

As at 13 February 2024, for personal TDs at $25,000 balances

  • 3 months: 3.73% p.a.

  • 6 months: 4.21% p.a.

  • 9 months: 4.29% p.a.

  • 1 year: 4.66% p.a.

  • 2 years: 4.24% p.a.

  • 3 years: 3.95% p.a. 

  • 4 years: 3.83% p.a.

  • 5 years: 3.86% p.a.

Highest term deposit interest rates February 2024

The highest term deposit rates in our database, on 13 February 2024, are: 

  • 1 month: 4.25% p.a. from Firstmac & Goldfields Money

  • 3 months: 4.95% p.a. from Family First Bank (Special Term Deposit) 

  • 6 months: 5.20% p.a. from Challenger Bank & Gateway Bank

  • 9 months: 5.20% p.a. from G&C Mutual Bank 

  • 1 year: 5.30% p.a. from Family First Bank (Special Term Deposit) 

  • 2 years: 5.00% p.a. from Community First Bank, Defence Bank, G&C Mutual Bank

  • 3 years: 5.00% p.a. from Community First Bank

  • 5 years: 4.85% p.a. from Judo Bank

Rabobank drops off as 5-year rate leader

If you were following rates near the start of the month, you might have noticed Rabobank has fallen off as the top 5-year term deposit rate. At the start of the month, Rabobank was offering a whopping 5.10% p.a. rate. Unfortunately, their 5-year TD rate dropped down by -0.40% to 4.70% p.a. On February 7 2024. 

This is why it’s crucial for those looking for some of the highest term deposit rates to compare term deposits. It’s deals like that that seem to come out of nowhere and disappear just as quick.

Earn +0.10% p.a. bonus interest when you rollover your TD with Judo Bank

If you’re looking to future-proof yourself from falling TD rates, then consider a Judo Bank term deposit.

Judo has a feature where if you roll over your TD after it matures, they’ll add an extra +0.10% p.a. to your rate. Just keep in mind, that there’s a 31-day notice period if you need to withdraw your funds before maturity, and you’ll need to deposit at least $1,000 to open a Judo TD. 

What is a term deposit?

Term deposits are considered a low-risk investment option that earn you a fixed-rate of interest over a specific period of time.

Generally, you'll be able to find terms that range from 1 month, all the way up to 5 years. 

Essentially, you're agreeing to lock away a lump sum of cash, in return for an interest payment when your term deposit matures, or at the end of each month, if you opt for that. 

With a term deposit, your money is locked away. If you do need to withdraw it early, you often can. However, you'll usually need to give advance notice (e.g. 31 days), unless there's a financial emergency, and/or pay an early withdrawal fee. In some cases, the interest rate may also be reduced.

Term deposits are covered under the government's Financial Claims Scheme (FCS). 

How to find the best term deposit for you

While term deposits are generally pretty similar to one another, some do have specific eligibility criteria, such as minimum and maximum deposit amounts. 

When you compare term deposits, you'll want to ensure that you're not only getting one of the highest rates you can find for the length of term you want, but that you meet the eligibility criteria to earn that rate. 

 How do I compare term deposits? 

How to compare term deposits

You can use Mozo’s table above to compare term deposits available in Australia right now. The table provides a snapshot of key features you’ll want to know about, before deciding on the right term deposit for you.

Here’s a quick rundown of what is included in Mozo’s term deposits comparison table:

  • The interest rate column: This lists out the interest rate you’ll earn for the rate term outlined. You will receive this rate for the entire term deposit fixed period, unless for any reason you need to withdraw your money early. In this case, your interest rate may be reduced or there may be some other penalty that applies.

  • The minimum deposit column: This outlines the amount of money you’ll need to have to open a term deposit with the provider listed. With term deposits this minimum amount can range from $500 up to $250,000. 

  • The term deposit provider: All term deposit providers that are listed on our site are covered under the Australian government deposit guarantee scheme up to $250,000.

Is now a good time to invest in a term deposit? 

In 2024, term deposit rates are relatively strong, compared to those seen in 2020-22, which is partly thanks to the Reserve Bank of Australia's (RBA) cash rate hikes. 

In fact, there are plenty of term deposit rates starting with a '4' or '5', depending on the length of the term.

Which banks have the best term deposit rates in Australia?

There is no one Australian bank that offers the best term deposit rates across every investment term. This is why it’s important to compare term deposits based on your own individual circumstances. 

For example, a bank might offer a competitive interest rate for a one year term, but the minimum deposit amount might be more than the cash you have to invest, or you might not be looking for a term that long.

Also depending on your location, you may be able to find better rates if you go in and talk to your local bank. Having the right solution tailed for your needs in important. Check out the below locations for term deposits. 

Term deposits Sydney

Term deposits Melbourne 

Term deposits Brisbane

The term deposit interest rate you’ll be able to get will depend on:

  • Your deposit amount

  • The investment term you choose

  • What providers operate in your area

  • Whether or not you are fussed about investing with a bank, mutual bank, credit union or online bank

These days most banks will give you the option to set up and manage a term deposit via internet banking or a banking app. This means you’ll be able to invest your money, from the comfort of your couch!

Term deposit key features to look for

The key features to compare term deposits on include:

  • Interest rate. The higher the interest rate, the higher your rate of return should be. Term deposit interest rates are fixed, so no matter what happens in the market, the rate you lock in at the start of your investment will remain the same for the entire term.

  • Interest payments. Interest for shorter terms is usually paid at maturity, while for longer terms it is often paid annually. Some providers may also give you the option to have your interest paid monthly.

  • Investment term. The length that you can invest your money can range anywhere from one month to five years, depending on what each financial institution offers. Most providers have a range of shorter and longer terms to choose from.

  • Minimum deposit. All term deposits will require a minimum lump sum investment. Around $1,000 is generally the minimum investment needed to open a term deposit.

  • Automatic rollover at maturity. Your provider should notify you when your term is nearing its end and will usually give you a number of options for what you can do at maturity. These may include collecting your money, plus interest, or depositing it into another term. If you do nothing, your money may automatically be rolled over to a new term. With this you may not receive the most competitive interest rate.

Is money safe in a term deposit? 

All term deposits listed on Mozo’s website are covered under the Australian government’s Financial Claims Scheme

This scheme provides protection for deposits up to $250,000 with authorised deposit-taking institutions (ADIs), such as your bank, mutual bank or credit union, in the event that the ADI fails.

What are the pros of term deposits?

Some pros to putting your money in a term deposit are:

  • Removes temptations to dip into your savings and spend, as you cannot access your money for the length of the term (unless you request an early withdrawal).

  • Interest rates are fixed, meaning they won’t fluctuate with market changes, for the length of your chosen term.

  • It is a fairly low risk investment, compared to other investments such as stocks and shares and property.

  • There are usually no set up or account management fees to worry about.

Pros and cons of term deposits

What are the cons of term deposits?

Some cons to term deposits are:

  • You cannot easily access your money, until the term matures.

  • Penalties may apply if you do have to withdraw your funds early. This could be in the form of a reduced interest rate or a flat fee.

  • You won’t benefit from interest rate increases, during the length of the term.

Term deposits vs savings accounts

Is a term deposit or savings account better

It’s the age old question...Should I put my money in a savings account or a term deposit? Comparing the two might give you some idea as to which one is right for you.

  • With a term deposit you won’t be able to access your money for a certain length of time. If you don’t think you can do that, then you may be interested in a high interest savings account instead.

  • While savings accounts are usually easily accessible, penalties often apply if you need to withdraw money early from a term deposit. Although this can also be a pro for term deposits, as it means there is less temptation to spend your stash.

  • You can’t make additional payments to a term deposit, whereas savings accounts can be topped up whenever you like. Weekly, daily, monthly etc.

  • Term deposits come with fixed interest rates, while rates for savings accounts are variable. This means your bank could lower the interest rate on savings accounts a month, a week or even a day after you deposit your money into it.

  • Guaranteed rate of return. With a term deposit, you are guaranteed to receive the rate you locked in, when you first signed up to the term. The only way you might not receive this interest rate is if you have to withdraw your money early. As savings accounts come with variable interest rates, the rate of return is not guaranteed.
Show transcript

Term deposits vs savings accounts

Pros of a term deposit:

Put your savings under lock & key, reducing the urge to dip into them!

Fixed interest rates!

You can save up for an event happening in 3, 6 or even 12 months time.

Cons of a term deposit:

You won’t be able to access your money at a moment’s notice.

You won’t benefit from interest rate rises.

Pros of a savings account:

You can access your funds at any time.

You might benefit from interest rate rises.

Cons of a savings account:

Your interest rate may go down, if market interest rates go down.

You might be tempted to dip into your stash.

So happy to lock your funds away and watch the interest grow?

Well a term deposit could be for you!

Or, keen to grow your savings stash but need access to your funds at a moment’s notice?

Maybe consider a savings account!

Happy saving!

When is interest paid on a term deposit?

Interest payments are often determined by the length of the term deposit. With shorter term deposits (one month to one year), interest is usually paid when the term matures. For longer terms, providers will often give you the option to have interest paid monthly, annually or at maturity.

Interest is typically paid via direct credit into a linked everyday transaction account. In some cases, the financial institution may give you the option to have the interest paid to another bank of your choice. 

Use Mozo’s term deposit calculator for an estimate of how much interest you could make with a particular term.

What happens when a term deposit matures?

Prior to the maturity date of your term deposit your bank will get in touch with you and explain your options. At this point, it is a good idea to shop around to compare term deposit interest rates that other financial institutions and banks have available.

If your bank doesn’t hear from you before your term matures, they may do an automatic rollover. An automatic rollover is when a bank moves your money into a new term deposit with the same fixed term. The interest rate will be the rate that is currently on offer with that term at the time of the rollover. There’s a chance that this will be lower than your original interest rate, which is why it’s important to keep a note of the term deposit end date.

Generally at maturity, your options will include:

  • Withdrawing all of the money (including the interest)

  • Withdrawing some of the money and reinvesting the rest

  • Topping up the balance with additional funds and reinvesting all of it

  • Reinvesting the same amount for the same length of time

  • Reinvesting the same amount for a different length of time

Checklist for opening a term deposit

If you are aged 18 or over, in most cases you will be able to open a term deposit online. Once the term is set up, you should be able transfer your funds directly into it. Here’s some information you may want to have on hand:

  • Your name, address and phone number

  • Proof of ID, e.g. driver’s licence, plus Medicare card

  • Your tax file number

  • Details of your nominated bank account from where funds will be transferred

  • Details of anyone else who may be noted on the term deposit

Picture of JP Pelosi
JP Pelosi
Managing editor

Jean-Paul (JP) Pelosi is an experienced journalist and editor who has contributed to many of Australia's leading media outlets including The Guardian,,, Investment Magazine and ANZ's Bluenotes. He has also edited news and communications for large financial services companies such as CommBank, Suncorp, Allianz and Amex. He loves a well told story and applying his editorial experience to content that readers both care about and enjoy. JP heads up our writing team.

More term deposit FAQs

How much can I put into a term deposit? 

When it comes to term deposits, banks like to work in round figures. You can invest in anything from a minimum of $1000 - $1+million. Just be aware that with the Australian Government Guarantee Scheme, term deposits are only covered for up to $250,000 per customer per financial institution.  

Will I pay fees on a term deposit?

The good news is there are no set up, ongoing or annual fees with term deposits.  But there are penalties for withdrawing your savings before the term has matured. You will need to give banks a 31 day notice period if you want to withdraw early.  Some accounts allow a partial withdrawal of your term deposit; others require a full withdrawal. In either case, the banks may hit you with:

  •  Reduced interest on your deposit 
  • Early withdrawal penalty fees

How long do I need to keep my money in a term deposit for?  

When you sign up for a term deposit you’ll get to choose how long you’d like to lock away your money for. This could be for as short as 1 month or as long as 5 years depending on the bank. The interest rate will change depending on the term selected. When you get to the end of the term, your bank will return your deposit (along with interest) or you’ll have the option to reinvest. 

What happens if I break a term deposit account?

If you need access to your funds before the maturity date of your term deposit, it is possible to break the account. Firstly, you will need to give the bank 31 days notice and secondly you will likely be required to pay an early withdrawal fee.  For more detailed information, see our term deposit early termination guide

What does the 31 day term deposit notice period mean?

The 31 day notice period applies if you want to withdraw money from your term deposit prior to the maturity date. This is a regulation that was introduced by the Australian Prudential Regulation Authority (APRA) requiring customers to give banks 31 days advance notice.  Even if you provide 31 days notice, you may still need to pay an early withdrawal fee or penalty.  

Will I need a linked account from the same bank as my term deposit?

Some banks may require you to have a linked account for interest to be paid, while others will allow for interest payments to be made to any bank account of your choosing.     

Are there any restrictions to opening a term deposit?

You will generally need to be a resident for tax purposes to be able to open a term deposit with an Australian bank.  Banks will generally also require you to be at least 18 years old to open a term deposit. If you are under 18, it might be possible to open a joint account with a parent or guardian.   

Are interest rates on term deposits negotiable? 

It may be possible to negotiate a higher interest rate than the advertised rate with a bank prior to opening an account but this will depend on the bank and how much you are investing. Once you have transferred your funds, the interest rate is locked in for the duration of the agreed term.   

What does a term deposit automatic rollover or renewal mean?

At the end of the term deposit period, your bank will contact you regarding your options at maturity. Some term deposits will have an automatic rollover feature and this means that if you don’t notify the bank of your plans, they will automatically renew your deposit for the same period of time and at the current market interest rate for that rate term. This could be more or less than your initial interest rate, which is why it is important to keep track of the end date.

Do I pay tax on the interest earned from my term deposit?

Yes, the interest earned on a term deposit is considered income and you’ll need to include this on your tax return for the financial year in which it was paid.  It is a good idea to speak with your accountant or financial advisor about your specific tax situation, especially if you are investing a large amount of money. 

Will I need to go to a bank branch or can I apply online?  

You will be able to open a term deposit account with most banks online. If you have not been a customer of the bank previously, you will need to provide some information to verify your identity but in most cases this can be done 100% online.  

Where can I find other useful tools to help me? 

Mozo has a range of resources and term deposit guides available to help you better understand the ins and outs of term deposits.

Term Deposit Reviews

BCU Bank Term Deposit
Overall 10/10
Aussie product good service

Good rate, simple product. Will use again.

Read full review

Good rate, simple product. Will use again.

Customer service
Marcus, Queensland, reviewed 2 days ago
ING Term Deposit
Overall 10/10
Rating ING bank

I really banking with ING. I started out many years ago as they were giving customers $25 to join. I thought this was great. They always have the best interest rates. They are easy to get in contact with and very reliable for an online bank

Read full review

I really banking with ING. I started out many years ago as they were giving customers $25 to join. I thought this was great. They always have the best interest rates. They are easy to get in contact with and very reliable for an online bank

Customer service
Kim, Victoria, reviewed 14 days ago
Commonwealth Bank Term Deposit
Overall 3/10

All banks are the same. Its a buisness I dont expect them to be overly generous or even professional

Read full review

All banks are the same. Its a buisness I dont expect them to be overly generous or even professional

Customer service
John, New South Wales, reviewed 30 days ago

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