While fewer providers made some changes in their TD rates over the week prior to the Reserve Bank of Australia’s July rate announcement, those that did rolled out significant increases.
Major bank economists forecast one or maybe two more RBA rate increases, and there is mystery on if the central bank will increase the rate next week or not.
Economic data paints a messy scenario, with retail sales and household wealth and savings increasing, while inflation appears to have come down at a more dramatic pace than expected.
Here are the latest and most noteworthy movements in term deposit rates for the week ending 30 June:
Firstmac
Firstmac unveiled substantial increases to its TD rates, particularly for 12-month and 24-month TDs. It now has one of the highest rates for the those terms.
Below are some of the notable increases:
Firstmac’s major TD rate changes – 30 June |
||
|
Term |
Change |
New Rate |
|
30 days |
+50bps |
4.00% p.a. |
|
180 days |
+15bps |
5.30% p.a. |
|
12 months |
+10bps |
5.30% p.a. |
|
24 months |
+65bps |
5.00% p.a. |
Judo Bank
Judo Bank announced several increases to its Personal and Business TD rates ranging 5bps to 25bps. This follows the previous week’s increases in its SMSF TD rates.
A notable increase was for its one-year Personal TD rate, which was recently increased 15bps to 5.30% p.a. This builds on the earlier increase in the week.
With this increases, Judo Bank joins Firstmac in offering one of the highest rates for one-year TDs.
Judo Bank’s major TD rate changes – 30 June |
||
|
Term |
Change |
New Rate |
|
1 year – Business TD |
+25bps |
5.15% p.a. |
|
1 year – Personal TD |
+15bps |
5.30% p.a. |
CommBank
CommBank increased its special 12-month TD rates by 20bps. The rate varies depending on the payment frequency.
CommBank’s Special Offer 12-Month TD Rates – 30 June |
|
|
Payment Frequency |
New Rate |
|
Annual |
4.75% p.a. |
|
Semi-annual |
4.70% p.a. |
|
Monthly |
4.65% p.a. |
CommBank also increased several TD rates for 13- and 18-month terms.
Bank First
Bank First joined the 5% club for 12-month term deposits in its latest round of rate increases. Below are some of the major changes to Bank First’s TD line-up.
Bank First’s major TD rate changes – 30 June |
||
|
Term |
Change |
New Rate |
|
90 days |
+15bps |
4.55% p.a. |
|
180 days |
+20bps |
4.80% p.a. |
|
1 year |
+30bps |
5.00% p.a. |
ING
ING made some changes in its TD rates, with the most significant increase being in its two-year terms.
ING’s major TD rate changes – 30 June |
||
|
Term |
Change |
New Rate |
|
90 days |
+15bps |
4.75% p.a. |
|
180 days |
+15bps |
4.95% p.a. |
|
2 years |
+25bps |
4.90% p.a. |
Latest changes to one-year/12-month TD Rates – 30 June
|
Provider – TD product |
Change |
One-year/12-month TD Rate |
|
RACQ Bank - TD |
+25bps |
4.75% p.a. |
|
The Mutual Bank - TD |
+45bps |
4.90% p.a. |
|
Summerland Credit Union – Fixed Term Deposit |
+20bps |
4.60% p.a. |
|
MyState Bank – Online TD and Regular TD |
+25bps |
5.00% p.a. |
|
Bankwest – Online TD |
+30bps |
4.55% p.a. |
