NAB and ANZ change term deposit rates after RBA holds

After the Reserve Bank of Australia's (RBA) recent decision to hold rates amidst slowing inflation, NAB and ANZ have adjusted a few of their term deposit rates. This also comes when most economists (including those at the big banks) think that rate cuts are likely later this year. 

How did the two banks adjust term deposits?

NAB has cut rates for 6 months, 7 months, and 1 year term deposits downwards 20 basis points (6 and 7 month) and 10 basis points (1 year term). Meanwhile, ANZ increased its 8 month term deposit rate by 63 basis points while 20 basis points were cut from its 1 year rate.  

NAB
Term
Old Rate
New Rate
6 months
4.00% p.a. 
3.80% p.a. 
7 months
4.00% p.a.
3.80% p.a.
1 year
4.90% p.a. 
4.80% p.a
ANZ
Term
Old Rate
New Rate
8 months
4.25% p.a.
4.88% p.a.
1 year
4.90% p.a. 
4.70% p.a.

Big banks weren’t the only ones cutting term deposit rates either. AMP cut several monthly and yearly terms. 1 year terms were cut 35 basis points from 5.10% p.a. to 4.75% p.a. while 2, 3, 4, and 5 year terms were cut from 45 basis points from 4.65% p.a. down to 4.20% p.a.

* 8 February Update - Westpac

Westpac has removed its 12-24 month term deposit and is now offering a 4.25% p.a. rate for the 1 year maximum. Westpac has now introduced an 11 month rate of 4.80% (4.70% + 0.10% online bonus) as the new special rate.

Westpac
Term
Old Rate
New Rate
(Term Deposit) 11 month
4.00% p.a.
4.70% p.a.
(Term Deposit Special) 8 month
-
4.78% p.a.

Impacts on savers 

Savers looking for low-risk investment options must now reassess the returns they can expect from term deposits. While term deposit rates are still relatively high, it seems more likely that current rates are temporary. 

If you’re looking to lock in a good term deposit interest rate now, then head over to our hub page and compare from up to 81 accounts on our database. Alternatively, you can check out our best term deposit page or some of the providers in the tables below. 

Term deposit comparisons on Mozo - last updated 24 February 2024

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* Different interest rates apply to different amounts or different interest payment frequencies.

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