6 month term deposits

For anyone who doesn’t need to access their savings anytime soon, a six-month term deposit could be one place to stash funds out of sight and out of mind. With these deposits diligent savers can lock their rainy day fund away for half a year. Although, if you think you’ll need to access your money sooner than that, a one or three month term deposit might be more suitable. 

Feel like you need to do more research? Scroll down to compare six-month term deposits available right now and to read more about how terms work.

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6 month term deposits

6 month term deposit comparisons on Mozo - last updated 7 July 2022

Search promoted term deposits below or do a full Mozo database search . Advertiser disclosure
  • Term Deposit
    interest rate
    Minimum deposit
    Govt Deposit Guarantee
    2.00% p.a.
    6 months
    $5,000
    Yes up to $250,000

    Earn higher interest if you deposit $5,000 or more. Choose the length of your term, from just one month. Choose how and when you receive interest payments – reinvest or transfer to another bank account. Use internet or mobile banking to check your balance. $1,000 minimum investment amount.

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    Details
  • Mozo Expert Choice Badge
    Term Deposit
    interest rate
    Minimum deposit
    Govt Deposit Guarantee
    2.10% p.a.
    6 months
    $1,000
    Yes up to $250,000

    Start with as little as $1,000. Interest paid monthly, quarterly, half yearly or yearly (Terms and Conditions apply)

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    Details
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^See information about the Mozo Experts Choice Term deposits Awards

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Compare other savings options - last updated 7 July 2022

Search promoted savings accounts below or do a full Mozo database search . Advertiser disclosure
  • Save Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    1.85% 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.

    Earn up to 1.85% p.a in interest. No monthly fee to pay. Split your money in up to 10 Save accounts. Track your progress on each of your save accounts. Instant access to cash via PayID and Osko. Deposits guaranteed up to $250k per customer.

    Details
  • Mozo Expert Choice Badge
    Boost Saver with Go Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    2.00% p.a. (for $0 to $250,000)
    0.05% p.a.(for $0 and over)
    Yes up to $250,000

    Bonus rate of 2.00%. Deposit $2,000 each month, make 5 eligible payments from your Go Account and enable the Lock Saver feature. If you are between 18 and 25 deposit $1,000. 32 days notice for withdrawal and T&C's apply.

    Enjoy a high interest savings account bundled with an everyday spending account. No monthly fees. And new customers can get a welcome bonus of 5,000 bonus Virgin Money Points (ends 31/8/22. Offer criteria & T&Cs apply).

    Details
  • Mozo Expert Choice Badge
    High Interest Savings Account
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    2.10% p.a. (for $0 to $250,001)
    1.00% p.a.(for $0 to $250,001)
    Yes up to $250,000

    Bonus rate for the first 4 months from account opening

    Kick start your savings with the 4 month introductory variable rate. No fees, no minimum balance, no minimum monthly deposit and no minimum term.

    Details
  • Savings Maximiser
    Maximum rate
    standard interest rate
    Govt Deposit Guarantee
    2.10% p.a. (for $0 to $100,000)
    0.05% p.a.(for $0 and over)
    Yes up to $250,000

    For customers who have an Orange Everyday and in each month deposit at least $1,000 into a personal ING account, make at least 5 settled card purchases using the linked ING debit card and grow the account balance.

    No ING fees. Great variable rate every month when you grow your balance each month in addition to other eligibility criteria.

    Details

^See information about the Mozo Experts Choice Savings accounts Awards

Term deposit resources

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

Why invest in a six month term deposit?

A six month term deposit is ideal for those with a large amount of cash who aren't too sure what to do with it.

With a term deposit the interest rate is fixed on your investment therefore you can sit back, relax and watch your funds grow for half a year. Most big banks and credit unions offer six month term deposits, but be sure to shop around for the best rate on the amount you are investing.

What kind of interest rate can I get with a six month term deposit?

Generally the longer the term you opt for, the higher the interest rate you'll benefit from. That said, it is still possible to get a higher interest rate with a six month term. Check out our Term Deposits Interest Rates information page, to keep on top of the latest term deposit rates.

Term Deposits v Savings Account

Features

Short-Term Deposits

Long-Term Deposits

Savings Account

Interest Rates

Fixed – lower rates than long term

Fixed – higher rates than short-term

Variable

Term

Three, six or twelve months

One to five years

Indefinite

Fees

No fees

No fees

Set up, monthly and or annual fees

Access

Can't access funds until term has matured

Can't access funds until term has matured

Withdrawal money when you want

What are the advantages of six month term deposits?

The Australian Government guarantees term deposits of up to $250,000 with Authorised Deposit-taking Institutions (ADIs) such as your bank, credit union or building society. So your pennies up to this amount are safe if anything unexpected happens to your ADI

  • You can make realistic financial goals, as a fixed interest rate allows you to calculate exactly how much you will earn by the end of the six months. Plug some figures into the Mozo savings goal calculator to see for yourself
  • No work required, sit back and watch your funds grow
  • Ability to re-invest at the end of the term, so you don't miss out on a rise in interest rates unlike a long- term deposit
  • No risks of seeing your funds decrease such as with investments in shares or property.

Disadvantages to six month term deposits, what are they?

  • Be aware hefty penalties apply for withdrawing the funds before the six months is up
  • Lower interest rates than for a long-term deposit

You can't top up the funds until the term has matured

When is interest paid on a TD?

It is important to discuss with your financial institution or credit union how often or when interest will be paid on your six month term deposit. Interest can be paid monthly, quarterly, semi-annually, annually or on maturity. With a six month term deposit it is likely to be calculated monthly or at the end of the term.

  • Remember: When you are investing for only half of the year with a 4% p.a interest rate, you will earn 2% on your deposit. E.g. If Mrs Jones invests $10,000 in a six month term deposit with a 4% interest rate paid at maturity, she will earn $200.
  • You don't need to be a mathematician to work out how much interest you will earn! Let the Mozo term deposit calculator do all the hard work.
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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, News.com.au, Domain.com.au, 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 FAQs on 6 month term deposits

What happens to a six month term deposit at maturity?

  • Withdrawal: By all means you can withdrawal your money when the term has ended and go out and spend up big!
  • Rollover: Some banks offer the option to automatically rollover your investment with them for another term
  • Reinvest: Grow your funds even further. The market may have changed since you first opened up the term deposit so shop around online and find a high interest rate and reinvest those savings. Check out the best term deposits here!

What you need to apply for a six month term deposit?

  • Name, address, phone number
  • Proof of identification e.g. driver's licence plus Medicare card
  • Your tax file number
  • BSB and account number of the bank account from where the funds will be transferred from
  • Details (if any, such as your partner) of any other people who will be noted on the Term Deposit.

Term Deposit Case Study

Sadly for Mr Jones his great grandmother from Italy, who he's never met, has passed away. To the 30 year olds surprise, he has been fortunate enough to inherit a whopping $100,000! With mixed emotions he heads to the pub and shouts his mates a few rounds of drinks and over beers they discuss what he should do with his inheritance.

Being a sensible and conservative man when it comes to money, Mr Jones learns that the best place for this big wad of cash is a term deposit. He plans on popping the question to his girlfriend in the next few months so he knows a wedding is on the cards and they aren't cheap. If all goes to plan he'll need to access the money in six months.

Looking online Mr Jones learns that he can secure a high interest rate of 3.75% with a six month term deposit, therefore maximising his wealth before the 'big day'. When the deposit matures Mr Jones would have earned $1,875 in interest that can go towards a beautiful diamond ring.

Helpful Tools:

Term Deposit Reviews

Judo Bank Term Deposit
Overall 10/10
Judo Bank has the best Term Deposit offers

Judo Bank has the best Term Deposit rates plus an additional 0.10% loyalty bonus automatically added when the principle is rolled over to a new Term Deposit at maturity.

Read full review

Judo Bank has the best Term Deposit rates plus an additional 0.10% loyalty bonus automatically added when the principle is rolled over to a new Term Deposit at maturity.

Price
10/10
Features
10/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Glenda, Tasmania, reviewed 5 days ago
ME Term Deposit
Overall 10/10
Staff were extremely patient with all my Q&A

Creating a term deposit with ME Bank required a couple of phone calls but the service was AAAA rated! Very helpful and patient, the staff walked me through the process and was a delightful to work with!

Read full review

Creating a term deposit with ME Bank required a couple of phone calls but the service was AAAA rated! Very helpful and patient, the staff walked me through the process and was a delightful to work with!

Price
10/10
Features
10/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Nigel, Western Australia, reviewed 10 days ago
AMP Bank Term Deposit
Overall 10/10
Great customer service easy process

Just set up a term deposit online. The process was very easy. The only hitch was they didn’t explain welcome letter would be posted even though I requested electronic communication which means you have to wait for it to get your account number to set up online access. I rang them and they were most helpful in providing the account number and stepping me through the setup for online access. A 20-minute wait on the phone but that is the same as all banks now. A very pleasant customer service person who was very patient and helpful.

Read full review

Just set up a term deposit online. The process was very easy. The only hitch was they didn’t explain welcome letter would be posted even though I requested electronic communication which means you have to wait for it to get your account number to set up online access. I rang them and they were most helpful in providing the account number and stepping me through the setup for online access. A 20-minute wait on the phone but that is the same as all banks now. A very pleasant customer service person who was very patient and helpful.

Price
10/10
Features
8/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Robyn, New South Wales, reviewed 23 days ago

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