Don’t need to draw on your savings for a few months? A 3-month term deposit might be worth considering. With this shorter term you can lock your money away for not too long and earn interest on it. Check out the interest rates below, to start comparing 3-month term deposits!
Invest in highly rated Australian bonds. *Total Return for the 10 years to 31 August 2021 and 5.58% p.a. since inception on 29 March 2011. Past performance is not indicative of future performance. The fund is not a bank or term deposit.
Start with as little as $1,000. Interest paid monthly, quarterly, half yearly or yearly (Terms and Conditions apply)
Start with as little as $1,000. Interest paid monthly, quarterly, half yearly or yearly (Terms and Conditions apply)
Read our Mozo Review to learn more about the Rabobank Term Deposit
$0 Set up and no ongoing account-keeping fees. Interest rate depends on balance amount. Optional 3,6,9 or 12 month terms. Balances from $10,000.
$0 Set up and no ongoing account-keeping fees. Interest rate depends on balance amount. Optional 3,6,9 or 12 month terms. Balances from $10,000.
Read our Mozo Review to learn more about the Citi Term Deposit
Competitive rates and fast online application. Start investing with as little as $5,000 with no account keeping or set up fees.
Competitive rates and fast online application. Start investing with as little as $5,000 with no account keeping or set up fees.
Read our Mozo Review to learn more about the MyLife MyFinance Personal Term Deposit
Terms from 3 to 36 months. A guaranteed rate. No account keeping fees. Enjoy a fixed rate or return. Get a written notice before your deposit matures.
Terms from 3 to 36 months. A guaranteed rate. No account keeping fees. Enjoy a fixed rate or return. Get a written notice before your deposit matures.
Read our Mozo Review to learn more about the Teachers Mutual Bank Term Deposit
Flexible 3 to 60 month terms available. $0 account keeping fees. Flexible interest payments at maturity or annually. Minimum $5,000 deposit.
Flexible 3 to 60 month terms available. $0 account keeping fees. Flexible interest payments at maturity or annually. Minimum $5,000 deposit.
Read our Mozo Review to learn more about the BankVic Term Deposit
^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.
Intro bonus rate of 1.50% for first 3 months, reverting to 1.20% after. Deposit $2,000 each month and make 5 eligible payments from your Go Account. If you are between 18 and 25 deposit $1,000.
Enjoy a savings account bundled with a spending account. No monthly fees. New customers can earn up to 5000 bonus Virgin Money points on purchases (conditions apply). Benefit together with a joint account
Enjoy a savings account bundled with a spending account. No monthly fees. New customers can earn up to 5000 bonus Virgin Money points on purchases (conditions apply). Benefit together with a joint account
Read our Mozo Review to learn more about the Boost Saver with Go Account
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.
Kick start your savings with the 4 month introductory variable rate. No fees, no minimum balance, no minimum monthly deposit and no minimum term.
Read our Mozo Review to learn more about the High Interest Savings Account
Make at least 1 deposit and no more than 1 withdrawal, including internal transfers or external payments.
Earn a maximum interest rate of 0.65% per year. Pay no monthly fees. Set up in-app savings goals. Benefit with joint account options.
Earn a maximum interest rate of 0.65% per year. Pay no monthly fees. Set up in-app savings goals. Benefit with joint account options.
Read our Mozo Review to learn more about the Grow Saver
Bonus rate for the first 4 months from account opening
No account keeping fees. No minimum balance required. Unlimited phone and internet transactions.
No account keeping fees. No minimum balance required. Unlimited phone and internet transactions.
Read our Mozo Review to learn more about the Online Saver
Ongoing bonus rate applied if in the previous month $1,000 or more is credited to the linked Day2Day Plus account and 5 eligible transactions are made by the linked account.
Earn 1.05% p.a. Bonus Interest in the following month on your Fast Track Saver Account balance. Earn Bonus Interest on your savings, with no minimum balance required.
Earn 1.05% p.a. Bonus Interest in the following month on your Fast Track Saver Account balance. Earn Bonus Interest on your savings, with no minimum balance required.
Read our Mozo Review to learn more about the Fast Track Saver Account
^See information about the Mozo Experts Choice Savings accounts Awards
Keen to make money on your savings quickly and relatively risk free? A three month term deposit allows you to lock funds away for 90 days and earns you a nice bonus in the form of interest. Before you know it your investment will have grown!
Plus, while shorter terms tend to come with slightly lower interest rates, you can still find a fairly competitive rate with the likes of Judo Bank, Citi and BankVic. On top of this, a number of providers often offer special offers on three month terms. Finally, all providers listed on Mozo’s website are backed by the Australian government’s financial claims guarantee scheme. This scheme provides support in the event that your bank fails. Deposits are covered up to $250,000 with authorised deposit-taking institutions.
There are two main types of term deposits: short and long. This refers to the duration of time that you will invest your savings. Neither are necessarily better than the other. It really comes down to your financial goals and aspirations, as to which type of term deposit works well for you.With that in mind, let’s have a look at the pros and cons of both.
Short term deposits: A three month term deposit sits under the shorter term umbrella. You can also lock your money away for as little as six, or even twelve months.
Pros: You’ll be able to access your money fairly quickly, after which you can hunt around for another special or short term deposit to reinvest your money into.
Cons: Shorter term deposits often come with lower interest rates than longer term deposits.
Long term deposits: With a longer term you can keep your money locked away for one to five years.
Pros: Longer terms often come with the highest and most competitive term deposit interest rates. Compare longer term deposits here.
Cons: You won’t be able to access your money for a year or longer. If you do need to withdraw your funds early, you may be hit with a penalty fee and a reduced interest rate.
As a shorter term, it’s unlikely that you’ll be able to find a very high interest rate with a three month term deposit. That is compared with a two or three year term deposit, for example. However, there are of course other perks to a shorter term, e.g. being able to access your money sooner. Plus, if you shop around, there are still a number of competitive rates to choose from. Head to Mozo’s term deposits interest rates information page to review rates available right now.
Here’s a quick comparison between term deposits and savings accounts, including fees, access, interest rates and payments.
Three Month Term Deposit | Savings Account | |
Fees | Usually no fees (Penalties may apply for early withdrawals) | Can include setup and ongoing or annual fees (will vary from bank to bank) |
Access | It is not ideal to access funds until the term has matured (early withdrawal fees may apply, if you have to access your month before the term ends) | Can withdraw money when you like (although some banks may charge to transfer money out of your savings) |
Interest Rates | Fixed | Variable |
Payments | Can't make additional payments to term deposits | Deposits can be made when you like |
There are a number of people who a three month term deposit might work for, these include:
A rate surfer. Someone who likes to hunt down the most competitive interest rates on the market and surf between providers.
A newbie investor. If you’re new to investing in general, a term deposit could be a fairly low risk way to dip your toe in the water. A three month term deposit especially isn’t too long a commitment to start with.
A goal setter. A three month term deposit could be an option for someone saving for something specific. For example, you might have an event coming up in a few months time, or there might be something specific that you want to buy. Either way a short term could be one way to make sure you don’t dip into your savings beforetime.
When to invest in a three month term deposit will really come down to your personal, financial situation. For instance, you might suddenly receive a windfall of cash from a payout, an inheritance from a long lost relative or a lottery win. In this instance you may want to stash your money in a shorter term deposit, while you figure out what to do with it.
Another instance where you may want to lock your money away is when you’ve just reached a savings goal. You may have been saving for a wedding or a holiday and want to make sure that you don’t dip into your hard earned stash. In this case a three month term deposit may be an option to hide your money away until you actually want to use it.
Features to look for when choosing a three month term deposit are:
The interest rate. A competitive interest is definitely a bonus for any term deposit. Plus, nowadays all that’s needed to compare term deposit interest rates is a quick online search! Scroll up to compare term deposit interest rates on Mozo.
The minimum deposit. Most banks will require a minimum amount to put in a term deposit. This could be $1,000, $5,000 or even $10,000.
The maximum deposit. Banks will also often put a cap on how much you can deposit. This could be $250,000 or as much as $1 million. Just remember that the Australian government financial claims scheme only guarantees deposits up to $250,000.
Interest rate payment options. Can interest payments be made to another bank? Or will you have to set up a transaction account with the bank in question?
Early withdrawal fees. In the event that you need to withdraw your funds early, most banks will charge an early withdrawal fee and/or reduce your interest rate. Make sure you read up on the penalties that apply, before depositing your money in a three month term deposit.
Case study:
The champagne has popped and is free flowing amongst family and friends. There are lots of high fives, a sense of relief and elation as Mr and Mrs Smith have sold their two bedroom unit, making a profit of $250,000 on when they bought it five years ago.
The Smiths haven't bought a new home yet so aren't too sure what to do with the money they've made. Being impulse buyers, the couple are concerned they might spend it all at once before purchasing a new place! So the Smiths start doing some research and realise they can snap up a high interest rate with a short term deposit and won't risk spending their profits before finding their dream home. A short term deposit also suits the Smiths as they know they will need to access the funds in the next couple of months.
With the benefits of the online world they search Mozo for the best interest rates on a three month term deposit with $250,000. Bang, they've hit a jackpot! With a 0.70% p.a interest rate paid at maturity the Smiths could earn around $438.
Got a particular three month term deposit in mind? Use Mozo’s term deposits calculator to work out how much interest you might earn overall. Just plug in the interest rate and the amount you want to deposit, plus whether you’ll be collecting the interest monthly or at maturity. Bearing in mind that most three month term deposits will probably only give you the option to collect the interest on maturity.
After failing to secure a account online, I emailed customer services, they were unhelpful and blunt.... you MUST have a mobile phone.... I do not need or own a mobile phone I am computer savvy and use a PC for all my services and transactions since 1985. Before your precious cell phones existed. A secure fire wall protects me on my PC, nothing protects your data on a cell phone and the airwaves. As the advertised interest rate was the best available I eventually decided to obtain a "smart phone" (even though it was mainly useless to me (deaf)) and try to invest a $250,000 parcel with this so called bank for a couple of years..... Again this was a BIG fail as online services failed on 2 occasions to recognise my CORRECT data of licence and medicare values . I at this point paused the input and this was yesterday. Today I am writing this review in hope that enough people will read it to GET THE WARNING... stay away from this institution, do NOT believe in the false ratings of CANSTAR they have to be on their payroll..... It is too obvious that they want your details to try to hack your original bank accounts or worse.... your identity... - Be warned. They will not be getting my investment.
Read full reviewAfter failing to secure a account online, I emailed customer services, they were unhelpful and blunt.... you MUST have a mobile phone.... I do not need or own a mobile phone I am computer savvy and use a PC for all my services and transactions since 1985. Before your precious cell phones existed. A secure fire wall protects me on my PC, nothing protects your data on a cell phone and the airwaves. As the advertised interest rate was the best available I eventually decided to obtain a "smart phone" (even though it was mainly useless to me (deaf)) and try to invest a $250,000 parcel with this so called bank for a couple of years..... Again this was a BIG fail as online services failed on 2 occasions to recognise my CORRECT data of licence and medicare values . I at this point paused the input and this was yesterday. Today I am writing this review in hope that enough people will read it to GET THE WARNING... stay away from this institution, do NOT believe in the false ratings of CANSTAR they have to be on their payroll..... It is too obvious that they want your details to try to hack your original bank accounts or worse.... your identity... - Be warned. They will not be getting my investment.
Not just this bank but all banks as far as interest on principal is concerned. All my life I have paid interest on mortgages ect at rates far in excees of interest rates now. Now when I need to live on my interest on my term deposits I can't. The Reserve Bank is bowing to pressure from Government and the new generations coming through to support their high-end like styles and bugger the rest. All this 'must have now' attitude is killing this country. We had to scrimp and save to buy things that the generation now are not prepared to wait and save for. Way things are going it is making it so easy for countries like Chine to come in and take over our country without the majority of people realising it. As hard as it was liveing through the higher interest rate periods I still think I and oy=thers of my age lived through the best of times and i feel sorry for the people who will wake up with huge debts when interest rates eventuall go up again albeit though not in my life time. So I dislike all the major banks as they are the main cause of our prblems now.
Read full reviewNot just this bank but all banks as far as interest on principal is concerned. All my life I have paid interest on mortgages ect at rates far in excees of interest rates now. Now when I need to live on my interest on my term deposits I can't. The Reserve Bank is bowing to pressure from Government and the new generations coming through to support their high-end like styles and bugger the rest. All this 'must have now' attitude is killing this country. We had to scrimp and save to buy things that the generation now are not prepared to wait and save for. Way things are going it is making it so easy for countries like Chine to come in and take over our country without the majority of people realising it. As hard as it was liveing through the higher interest rate periods I still think I and oy=thers of my age lived through the best of times and i feel sorry for the people who will wake up with huge debts when interest rates eventuall go up again albeit though not in my life time. So I dislike all the major banks as they are the main cause of our prblems now.
The bank is doing great in its customer service with great efficiency and communication. I highly recommend the employees called Joe (maybe I spell wrongly) and Alexander.
Read full reviewThe bank is doing great in its customer service with great efficiency and communication. I highly recommend the employees called Joe (maybe I spell wrongly) and Alexander.
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