Which banks increased term deposit rates this week?

Weighing up whether to place savings into a term deposit or savings account has become a factor for many Aussies off the back of increases to the cash rate. 

For reference, term deposits will lock the interest rate in, guaranteeing you receive that rate for the duration of the deposit term while savings accounts offer a variable interest rate that is subject to fluctuate over time.

This week alone, Bank of Queensland (BOQ) has increased its Future Saver savings account for millennials to offer a variable rate of 4.00% p.a. 

Savvy Founder and CEO Bill Tsouvalas said that even in times of rising cost of living, paying oneself first and putting money aside is as important as ever.

“Though everything seems to be getting more expensive, now isn’t the time to stop putting money away for the future," Mr Tsouvalas said.

"When inflation is high, you should be looking for easy investment options that will protect your savings, like term deposits, savings accounts, shares and managed or indexed funds; all of which can provide a better return on investment and help you save for big ticket items such as a house deposit.”

Judo Bank increases deposit rates by up to 0.20%

Judo Bank has responded to Macquarie Bank's increase to its 1-year term deposit rate of 3.75% p.a., matching the rate with a 15 basis point increase. 

Judo Bank's 1-year deposit rate of 3.75% p.a. requires a minimum deposit of $1,000 with interest paid at the end of term. 

ME Bank increases deposit rates by up to 0.40%

ME Bank increased term deposit rates by up to 40 basis points this week, with a key highlight being its 12-month rate. 

ME's 12-month deposit rate increased by 15 basis points to 3.65% p.a. with customers requiring a minimum deposit of $5,000 with interest paid either at the end of term or annually.

Bank of us increases deposit rates by up to 1.80% 

The customer-owned Tasmanian bank increased term deposit rates this week by up to 180 basis points. 

For customers with larger savings, the bank's 12-month deposit rate requiring a minimum balance of $100,000 increased by 55 basis points to 3.60% p.a. with interest paid at the end of term.

The largest increases were seen across the bank's 8-month deposit offerings, lifting 180 basis points to 2.45% p.a. 

To receive this rate, customers are required to deposit a minimum $25,000 with interest paid at the end of term.

Teacher's Mutual Bank increases deposit rates by up to 1.20% 

On Friday, Australia's sixth-largest mutual bank increased term deposit rates by up to 120 basis points.

Key highlights include mutual bank's 12-month term deposit increasing by 120 basis points to 3.50% p.a.

Teacher's Mutual Bank term deposits require a minimum deposit of $5,000 with interest annually. 

Unibank, owned by Teacher's Mutual Bank, replicated these changes increasing rates by up to 120 basis points.

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Looking to earn a fixed interest rate on your cash? The table below features term deposits with some of the highest interest rates on the market for a 12-month term. 

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