01 Aug – 05 Aug 2016

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Unusually, the major banks announced increases to term deposit rates in the wake of the rate cut although the announcements by the major banks are yet to be implemented (and are not reflected in our term deposit tables). Banks are increasingly worried about losing deposits as it affects their funding ratios with APRA and so have upped rates to try and stem the outflow of deposits to other products.

The 25bps official rate cut to 1.50% early in the week saw only a small number of changes to TD rates. We anticipate a lot more will flow through in the following week. Suncorp Bank has made across-the-board changes, mostly in the form of 25bps reductions but it also slashed its four month rate by 65bps. On the other hand it actually increased 1 year and 2 year terms by 25bps and 30bps respectively.

Perhaps the most surprising change made by any of the institutions YieldReport tracks is the one by ING Direct. It cut 3 month and 4 month rates by 10bps, less than the 25bps RBA cut and raised its 1 year rate by 55bps, which makes this rate almost the highest on offer for this term.

Bank of Sydney, formerly the Beirut Hellenic Bank, reduced rates on terms from 1 month to 1 year by 25bps whereas BankVic restricted 25bps cuts to its 4 month and 5 month terms. BankVic also reduced rates on terms of 1 year and over by 20bps but kept reductions of 3 month and 9 month rates to 10bps and 15bps respectively.

Greater Building Society moved its 2 year rate down by 10 bps and reduced rates on terms of 3, 4 and 5 years by 20bps. P&N Bank reduced rates on terms of 2 months to 9 months by 15bps while Macquarie Bank’s 10bps reductions applied to 3 and 4 month terms and all terms 9 months and over with the exception of its 4 year rate which it left unchanged.

See our tables below for any other changes, as well as all the latest rates and terms which are available.

deposit-29jul

TERM DEPOSITS 250K TO $1M+

Institution1 m
nom
2 m
nom
3 m
nom
4 m
nom
5 m
nom
6 m
nom
9 m
nom
1
Year
2
Year
3
Year
4
Year
5
Year
ANZ1.651.651.901.651.651.951.652.052.352.402.452.65
CBA1.902.002.352.002.002.002.002.452.602.702.802.90
NAB1.752.002.252.002.002.352.052.402.652.702.753.00
Westpac2.002.002.352.002.002.402.002.452.652.652.703.10
ADCU2.602.602.602.702.702.752.90
AMP Bank2.052.152.752.452.452.852.752.802.552.552.752.80
Arab Bank Australia2.002.253.102.902.902.902.852.852.902.953.003.10
Bank of Melbourne2.002.002.402.002.002.452.002.452.702.752.803.10
Bank Australia2.552.552.552.552.552.752.852.95
BankSA2.002.002.402.002.002.452.002.452.702.752.803.10
Bank of Baroda Australia2.802.802.852.852.853.003.003.103.153.203.203.25
Bankwest1.751.752.901.751.752.901.752.852.752.752.802.80
Bank of Sydney1.901.902.102.151.802.202.552.40
BankVic2.201.901.902.152.002.252.502.602.652.90
Beyond Bank2.402.602.502.602.602.752.902.90
Bendigo Bank1.502.302.402.001.752.552.552.602.752.903.003.10
BOQ2.002.002.752.002.002.852.652.752.602.652.65
Citibank0.740.840.951.191.181.181.441.451.161.091.000.93
CUA1.751.952.152.602.352.803.002.802.902.95
Defence Bank2.402.352.452.452.75
Delphi Bank2.052.452.502.452.602.452.752.852.903.003.20
Greater Building Society1.751.752.702.452.652.752.502.502.902.902.902.90
Heritage Bank2.402.502.703.002.602.802.652.852.852.902.952.95
Horizon Credit Union1.901.902.102.102.202.302.602.702.80
HSBC1.651.752.001.751.752.051.752.052.152.252.252.25
IMB2.352.402.402.602.752.83.00
ING DIRECT2.102.302.602.403.052.70
Investec Bank Australia2.102.752.852.652.752.522.532.572.62
Macquarie Bank1.852.552.502.602.502.502.402.402.40
ME (formerly ME Bank)2.302.302.402.502.502.902.902.902.903.003.003.00
Newcastle Permanent2.002.002.702.002.002.502.502.502.702.802.903.10
People's Choice Cr Union2.202.602.703.002.802.802.903.002.903.053.10
Police Bank2.652.702.85
P&N Bank2.352.852.652.52.752.552.903.003.103.103.10
QT Mutual Bank2.252.252.752.252.252.852.852.852.952.953.053.15
Rabobank Australia1.001.502.301.901.602.352.302.352.753.003.003.20
RaboDirect2.202.552.652.652.702.903.003.053.30
Rural Bank Limited2.002.002.652.002.002.652.752.752.802.802.803.10
St.George Bank - Ex VIC2.002.002.402.002.002.452.002.452.702.752.803.10
Suncorp Bank1.751.852.252.052.152.702.453.003.102.602.652.70
Teachers Mutual Bank2.552.552.652.652.652.802.852.85
The Capricornian2.202.302.50
UBank2.203.012.813.012.812.86
Victoria Tchrs Mtual Bank1.801.802.802.802.852.852.952.952.953.003.10
*For comparison purposes rates to 1y are paid at maturity. Rates longer than 1 year are paid annually. Rates are checked each day on company websites and rate sheets. Arrows show rates that have changed in the week.