Summerland offers term deposit products with durations ranging from as short as three months to as long as five years.

The bank's term deposits feature relatively competitive rates, especially on popular terms like six and 12 months. Interest rate also varies depending on the deposit size; larger deposits carry higher rates.

Key features of Summerland Bank term deposits

These are correct at the time of writing and are subject to change.

When the term deposit matures, the default option is for the principal and any interest earned to be rolled over into a new term deposit of the same duration at the prevailing interest rate, unless instructed otherwise.

Customers can provide instructions at any time before the maturity date if they prefer to withdraw the funds, transfer the interest into their transaction or savings account, or choose a different term or amount for reinvestment.

Summerland Bank's online platforms enable customers to manage their term deposits anytime, anywhere.

Fees charged to term depositors

Summerland Bank is highly regarded for its minimal fees charged to customers. Similar to its other banking products, it does not charge monthly maintenance fees on term deposits.

However, a penalty applies to premature redemption of term deposits, calculated across time served.

• For term deposits less than $20,000 - 0.10% deducted from the current interest rate

• For term deposits $20,000 and above - 0.25% deducted from the current interest rate

Depositors are required to provide 31 days' notice to withdraw funds before maturity.

How to open a term deposit with Summerland Bank

Interested customers may open a term deposit account via the bank's website or any local branch. The product is exclusively available to Australian citizens.

They must then fill out an application with all the necessary details, and present two valid IDs such as:

• Australian passport

• Driver's licence

• Medicare card

A minimum deposit of $1,000 is required to open a term deposit account with Summerland Bank.

While not a requirement, term depositors are highly advised to provide a tax file number (TFN) to prevent overpayment of tax on interest earnings.