Compare Today's Best Term Deposit Rates up to 4.85%

INTEREST RATES P.A.	$1,000 to $2,000,000
3 months	4.70%
6 months	4.60%
9 months	4.45%
1 year	4.30%
2 years	4.20%
3 years	4.20%
4 years	4.20%
5 years	4.25%

INTEREST RATES P.A.	$1,000 to $2,000,000
3 months	4.70%
6 months	4.60%
9 months	4.45%
1 year	4.30%
2 years	4.20%
3 years	4.20%
4 years	4.20%
5 years	4.25%

INTEREST RATES P.A.	$1,000 and over
3 months	3.50%
4 months	3.50%
5 months	4.50%
6 months	4.85%
7 months	3.50%
8 months	3.50%
9 months	4.75%
10 months	3.50%
11 months	3.50%
1 year	4.15%
2 years	3.25%
3 years	3.00%
4 years	3.00%
5 years	3.00%

INTEREST RATES P.A.	$50,000 to $1,000,000
6 months	4.80%

INTEREST RATES P.A.	$1,000 and over
3 months	4.75%
4 months	0.70%
5 months	0.70%
6 months	4.80%
7 months	1.20%
9 months	4.60%
11 months	1.10%
1 year	4.45%
18 months	0.65%
2 years	1.60%
3 years	1.60%
4 years	0.65%
5 years	0.65%

Your selected term deposits

What are term deposits?

Looking for a safe way to grow your savings in Australia? Term deposits offer a fixed interest rate for a set period, giving you certainty on your returns. Unlike savings accounts where rates can change, a term deposit locks in your rate, protecting you from market fluctuations during your chosen term (from 1 month to 5 years).

Why use Mozo for term deposits?

We compare term deposit rates from a wide range of Australian banks, credit unions, and neobanks – big and small. We update these rates daily to help you find the most competitive offers. All providers compared are Authorised Deposit-taking Institutions (ADIs), meaning deposits up to $250,000 per person are protected by the Australian Government's Financial Claims Scheme (FCS).

Comprehensive comparison: See rates from major banks alongside challenger brands.
Updated daily: Access the latest interest rate information.
Expert insights: Leverage our analysis and guides (see below) to make informed decisions.

Is a term deposit right for you?

Term deposits are ideal if you have a lump sum you won't need immediate access to and want a guaranteed return. If you need flexibility, explore our High-Interest Savings Account comparison.

How to compare term deposits

When you compare term deposits, you’ll want to keep a couple of factors in mind such as:

Interest rates: the higher the rate the more interest you’ll earn
Deposit terms: the length of time your money will be invested for
Minimum deposit amounts: how much money you’ll need to invest up front.

While most term deposits are fairly similar, some have minimum and maximum deposit amounts. For example, some term deposits require you to have a minimum $1,000 deposit, whereas for others you need to have at least $25,000.

Use Mozo’s term deposit calculator to find out how much interest you could earn on any given rate and term.

Peter Terlato

RG146

Senior Money Writer

"With the RBA tipped to cut the cash rate again in 2025, now could be a good time for savers to lock in a competitive term deposit rate. It’s a simple way to get ahead of any future rate drops and lock in a bit of certainty while returns are worthwhile."

Term deposits vs savings accounts

If you are considering a term deposit or a savings account, it is useful to compare the two side by side. This is because each account type is better suited to certain situations.

	Term deposits	Savings Accounts
Access your money at any time?	✗	✔
Fixed rate of interest?	✔	✗
Guaranteed rate of return?	✔	✗
Make additional deposits?	✗	✔
Safe (covered by FCS)?	✔	✔
Typically requires a linked transaction account?	✗	Sometimes
Typically requires minimum starting deposit requirements?	✔	Sometimes

For a full breakdown of the differences, check out our savings account vs term deposit guide.

What are the best term deposits?

The 2025 Mozo Experts Choice Awards uncovered the best term deposits in Australia, based on the banks that consistently offered the highest interest rates to their customers. Among the winners were:

FAQs

Are term deposits safe in Australia?

All term deposits listed on Mozo’s website are covered under the Australian government’s Financial Claims Scheme, as they’re provided by Authorised Deposit-taking Institutions (ADIs).

This means the government will guarantee your deposit worth up to $250,000 per person, per deposit product, if the bank goes bankrupt or can’t pay you back.

Can I withdraw money from a term deposit early?

Generally, yes, but you'll usually face an interest rate reduction penalty. Most providers require you to give notice (e.g., 31 days). The penalty often depends on how much of the term has elapsed. For example, withdrawing early might mean you forfeit 20% to 80% of the interest earned. It's designed for funds you're confident you won't need during the term. Check the PDS for specific details.

What happens if I break a term deposit?

If you need access to your funds before the maturity date of your term deposit, it is possible to break the account. Firstly, you will need to give the bank 31 days notice and secondly you will likely be required to pay an early withdrawal fee. For more detailed information, see our term deposit early termination guide.

Are there any restrictions to opening a term deposit?

You will generally need to be a resident for tax purposes to be able to open a term deposit with an Australian bank. Banks will generally also require you to be at least 18 years old to open a term deposit. If you are under 18, it might be possible to open a joint account with a parent or guardian.

How is term deposit interest calculated and paid?

Interest is usually calculated daily on your principal amount and paid at the frequency stated in the terms: typically at maturity (end of term), annually, semi-annually, quarterly, or monthly. Monthly interest payments often come with a slightly lower interest rate compared to interest paid at maturity. Check the 'interest frequency' section in our tables and the provider's Product Disclosure Statement (PDS).

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

Yes, the interest earned on a term deposit is considered income and you’ll need to include this on your tax return for the financial year in which it was paid. It is a good idea to speak with your accountant or financial advisor about your specific tax situation, especially if you are investing a large amount of money.

What happens when my term deposit matures?

Your provider will typically contact you before maturity. You usually have a grace period (e.g., 7-14 days) to decide whether to:

Withdraw the principal and interest.
Reinvest ('rollover') for another term (often at the prevailing rate, which might be different).
Add more funds and reinvest. If you don't provide instructions, it may automatically rollover into a similar term at the current standard rate, so it's important to review your options.

Where can I get 5% interest on my money in Australia?

At the moment, no Aussie term deposits are offering rates of 5% or higher. To find some of the highest rates of the month, check out our tables above.

Is it worth putting money in a term deposit?

Term deposits can be worth considering if you're looking for a low-risk, guaranteed return on your savings. They can be good if you have a lump of cash you don't need to access for a while and want to lock in a good rate before rates fall. However, this is a double edged sword as you may miss out on rising interest rates too.