UBank lifts key term deposit rate, joins Judo Bank and Rabobank in making wider cuts
A number of term deposits with rates towards the higher end of the market have been tweaked in recent days, including offers from Judo Bank, Rabobank and UBank.
Online player UBank has amended its 12-month term deposit rate (where interest is paid at maturity), providing a 20 basis points lift which increased the interest rate from 1.50% to 1.70%.
The new rate of 1.70% places the UBank offer in the ten highest rates currently available for a 12-month term in the Mozo database, and 0.31% above the current average of 1.39%.
However, UBank also cut rates on a number of shorter terms between 20 and 30 basis points including a 20 basis point cut to its 9-month rate (now 1.50%) and a 30 basis point cut to the 3-month rate (now 1.20%).
RELATED: Term deposits April snapshot: Judo Bank leads the way
Rabobank, the former rate leader in the Mozo database across a number of terms, also reduced select term deposit rates between 25 and 55 basis points on Wednesday.
Despite the cuts, Rabobank’s rates are currently some of the most competitive in the Mozo database, with the highest being 1.75% for 1-year and 5-year terms.
Similarly, Judo Bank made a number of changes to its shorter term deposit rates this morning, trimming between 15 and 20 basis points off its six, nine and 12 month terms.
Judo Bank still remains the Mozo rate leader when it comes to longer term deposit though, with the highest rates currently in our database for two, three, four and five year terms.
To put all of these changes into perspective, here’s a snapshot of the highest term deposit rates in our database for a range of terms as of May 7:
| Term length | Institution | Interest rate |
|---|---|---|
| 3 months | Qudos Bank | 1.90% |
| 6 months | Transport Mutual Credit Union | 1.95% |
| 12 months | Firstmac | 1.95% |
| 3 years | Judo Bank | 2.05% |
| 5 years | Judo Bank | 2.15% |
Judo, Rabobank and UBank join the likes of Macquaire, MyStateBank and NAB who have also made a series of term deposit cuts during May.
These moves have added to a trend which has seen rate reductions heavily outweigh rate increases in recent months. In fact, throughout April, there were 123 recorded term deposits cuts in the Mozo database.
RELATED: Term deposit benefits and pitfalls to know before you stash your cash
Interested in stashing your savings in a term deposit? Get started by comparing some of the hot offers in the table below, or check out the latest rates from a wider range of banks by using Mozo’s handy term deposit comparison table.
Compare term deposits
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Mozo experts choice awards won:
- Term Deposit - 2024
Term Deposit
5.25% p.a.
6 months$1,000
Yes up to $250,000
Great rates and incentives incl. 0.10% added loyalty bonus at renewal. Option to have interest paid to another bank. Winner of the Mozo Experts Choice Awards 2024^ for Term Deposits.
CompareCompareTerm Deposit
Great rates and incentives incl. 0.10% added loyalty bonus at renewal. Option to have interest paid to another bank. Winner of the Mozo Experts Choice Awards 2024^ for Term Deposits.
- interest rate
- 5.25% p.a.
- Minimum deposit
- $1,000.00
- Govt Deposit Guarantee
- Yes up to $250,000
- Minimum deposit
- $1,000.00
- Maximum deposit
- $2,000,000.00
- Can interest be paid to another bank?
- yes
- Automatic rollover
- yes
Read our Mozo Review to learn more about the Judo Bank Term Deposit
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Term Deposit - Online only
5.15% p.a.
6 months$1,000
Yes up to $250,000
Looking for returns that return? Invest as little as $1,000 or as much as $1,000,000. Apply online today in as little as 5 minutes. Protected by the Australian Government’s Financial Claims Scheme up to $250,000.
CompareCompareTerm Deposit - Online only
Looking for returns that return? Invest as little as $1,000 or as much as $1,000,000. Apply online today in as little as 5 minutes. Protected by the Australian Government’s Financial Claims Scheme up to $250,000.
- interest rate
- -
- Minimum deposit
- $1,000.00
- Govt Deposit Guarantee
- Yes up to $250,000
- Minimum deposit
- $1,000.00
- Maximum deposit
- $1,000,000.00
- Can interest be paid to another bank?
- no
- Automatic rollover
- yes
Read our Mozo Review to learn more about the Bank of Sydney Term Deposit - Online only
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SMSF Term Deposit
5.25% p.a.
6 months$1,000
Yes up to $250,000
Apply digitally in minutes and manage your SMSF Term Deposit. Flexible cash flow management with three interest payment frequencies that suit you: monthly, yearly, or at maturity. Choose from terms of 3 months up to 5 years. No application or monthly account fees but eligibility criteria and terms and conditions apply. Only accessible to SMSFs with two or up to four individual trustees or one corporate trustee.
CompareCompareSMSF Term Deposit
Apply digitally in minutes and manage your SMSF Term Deposit. Flexible cash flow management with three interest payment frequencies that suit you: monthly, yearly, or at maturity. Choose from terms of 3 months up to 5 years. No application or monthly account fees but eligibility criteria and terms and conditions apply. Only accessible to SMSFs with two or up to four individual trustees or one corporate trustee.
- interest rate
- 5.25% p.a.
- Minimum deposit
- $1,000.00
- Govt Deposit Guarantee
- Yes up to $250,000
- Minimum deposit
- $1,000.00
- Maximum deposit
- $2,000,000.00
- Can interest be paid to another bank?
- yes
- Automatic rollover
- yes
-
Mozo experts choice awards won:
- Term Deposit - 2024
Term Deposit
5.25% p.a.
1 year$1,000
Yes up to $250,000
Great rates and incentives incl. 0.10% added loyalty bonus at renewal. Option to have interest paid to another bank. Winner of the Mozo Experts Choice Awards 2024^ for Term Deposits.
CompareCompareTerm Deposit
Great rates and incentives incl. 0.10% added loyalty bonus at renewal. Option to have interest paid to another bank. Winner of the Mozo Experts Choice Awards 2024^ for Term Deposits.
- interest rate
- 5.25% p.a.
- Minimum deposit
- $1,000.00
- Govt Deposit Guarantee
- Yes up to $250,000
- Minimum deposit
- $1,000.00
- Maximum deposit
- $2,000,000.00
- Can interest be paid to another bank?
- yes
- Automatic rollover
- yes
Read our Mozo Review to learn more about the Judo Bank Term Deposit
-
Term Deposit
3.70% p.a.
6 months$5,000
Yes up to $250,000
CompareCompareTerm Deposit
- interest rate
- 4.60% p.a.
- Minimum deposit
- $5,000.00
- Govt Deposit Guarantee
- Yes up to $250,000
- Minimum deposit
- $5,000.00
- Maximum deposit
- $1,999,999.00
- Can interest be paid to another bank?
- yes
- Automatic rollover
- yes
Read our Mozo Review to learn more about the Commonwealth Bank Term Deposit
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* Different interest rates apply to different amounts or different interest payment frequencies.
^See information about the Mozo Experts Choice Term Deposit Awards
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