How are term deposits rates doing in April?

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Recently, term deposit providers have turned away from higher interest rates for longer terms and are instead focusing on shorter term rates. So, if you’re looking to lock your cash up for a short while, then some of the current term deposit ratess on the market could be worth considering.

But who’s the current rate leader in term deposits? For a lot of last year, Judo Bank was the leader across most terms. However, as of April 2024, no one provider is offering leading rates across all terms.   

Judo Bank currently has the highest 4 year term deposit rate at 4.85% p.a. while its 5 year rate is tied with Alex Bank (invite only). Judo and G&C bank (as well as Alex bank) at 4.85% p.a. are the highest 2 and 3 year rates. Meanwhile, Family First Bank currently offers the highest 1 year term at 5.30% p.a. at 15 basis points ahead of Challenger bank and 20 basis points higher than Judo.

Below we’ve kept track of the top three financial institutions offering some of the highest interest rates found in the Mozo database. 

*Top Term Deposit leaders

Judo Bank - Highest 4 year rate

Term Length
Interest Rate  (p.a.)
1-year term
5.10%
2-year term
4.85%
3-year term
4.85%
4-year term
4.85%
5-year term
4.85%

G&C Mutual Bank - Highest 3 year rate

Term Length
Interest Rate (p.a.)
1-year term
5.05%
2-year term
4.85%
3-year term4.85%
4-year term
4.25%
5-year term
4.25%

Family First - Highest 1 year term rates 

Term Length
Interest Rate (p.a.)
3 month4.95%
6 month
5.05%
1 year5.30%

To learn more about term deposits check out Mozo’s tips and guide page.

*Top 3 refers to the leading rate on the Mozo database

Term Deposit FAQs

What is a term deposit?

A term deposit is a low-risk investment option offered by many banks, mutual banks and credit unions. The deposit lets you earn interest on a large sum of money at a fixed rate for a specified period of time. That can be anywhere from one month to five years. After you put money in a term deposit you can choose how to have your interest paid: monthly or at maturity.

What are some of the best term deposits?

You’re in luck! Every year we announce the Mozo Expert Choice Awards^ where we crown the best of the best as winners. Some of the banks with the highest rates above have actually won awards for best term deposits.

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

Yes, any interest earned is considered income and you’ll need to include this on your tax return for the financial year in which it was paid.

What’s the difference between a savings account and a term deposit?

Term deposits have fixed interest rates so you’ll always know how much you’ll earn over the determined term period, but the trade off is that to earn that interest you won't be able to access that money (without penalty). On the other hand, savings accounts have variable interest rates which can be changed by your bank (up or down) at any time and you’ll also have easier access to your money.

Compare term deposits - last updated 18 April 2024

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

    4.75% p.a.
    1 year

    $1,000

    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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    Details
  • Term Deposit

    4.80% p.a.
    9 months

    $1,000

    Yes up to $250,000

    Enjoy the certainty of a fixed interest rate combined with the convenience of online banking to set up and manage your term deposit at maturity. You can start investing from as little as $1,000 or up to $5,000,000.

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    Details
  • Mozo Expert Choice Badge
    Term Deposit

    4.85% p.a.
    6 months

    $1,000

    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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    Details
  • Online Term Deposit

    4.85% p.a.
    9 months

    $5,000

    Yes up to $250,000

    No set-up or account keeping fees. Deposits up to $250,000 per customer are guaranteed by the Australian Government. Mozo Experts Choice winner for Term Deposit 2022.

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    Details