Login or request a free trial

TD rate increases outpace at-call moves

Term deposit rates are rising at a faster pace than at-call accounts, which may signal a shift in savers’ account preferences.

Comparison site Mozo reported that since the first Reserve Bank cash rate increase in May, ongoing bonus savings rates have increased by an average of 62 basis points, while the average 12-month TD rate has gone up by 155 bps.

The top 12-month rate in the Mozo database is Judo Bank’s offer of 3.45 per cent, which is 85 bps higher than the top bonus saver rate of 2.6 per cent on offer from ING.

Judo’s six-month TD rate is 2.6 per cent.

The average 12-month rate is 2.27 per cent and the average bonus saver rate is 1.16 per cent.

The average base rate on bonus savings accounts has gone up by only 17 bps to 29 bps since May.

Macquarie Bank offers the top base rate of 1.75 per cent on its savings account.

I'm a returning subscriber

Password reset
Login

Request a free trial

  • Emailing you the news at 7am.
  • Covering core lending and funding issues, strategy, payments, regulation, risk management, IT, marketing and more.
  • Original news and summaries of major stories from other media – ditch your newspaper subscriptions.
  • Focused on banking and finance, saving you the time spent wading through newspapers and other services.
  • With reporting from former editors and senior writers from the AFR and The Australian.
  • Configured for your phone, laptop and PC.
Free trial Banking Day