Westpac has increased its term deposit rates, belatedly bringing them into line with the best offers by its main rivals.
The changes also apply to their term PIE rates.
Friday's revisions also include a new short term Special rate.
This is for their four month (120 day) term and is pitched at 4.00%. Their regular 4 month rate is 3.25%.
For a term of six months or less only the Co-op Bank, the Bank of India and Kookmin Bank have a 4.00% rate. Westpac is the only major bank to have this level (although ASB has a special 9 month rate of 4.08% aimed the Chinese clients - but available to everyone.
The other rate changes by Westpac are:
- 12 month rate is increased to 4.00% from 3.85% a rise of +15 bps
- for 18 months the rate rises to 4.30% from 4.20%, +10 bps
- the 2 year rate is increased to 4.75% from 4.40%, +35 bps
- the 3 year rate rises to 5.00% from 4.70%, +30 bps
- the 4 year rate rises to 5.25% from 5.00%, +25 bps, and
- the 5 year rate is increased to 5.50% from 5.30%, +20 bps.
This realignment of rates brings them competitive with other main bank rates, and a number of second tier banks as well, especially for the 5 year term.
Use our deposit calculator to figure exactly how much benefit each option is worth; you can assess the value of more or less frequent interest payment terms, and the PIE products, comparing two situations side by side.
All term deposit rates for all institutions for terms less than one year are here, and for terms one-to-five years are here.
| for a $20,000 deposit | 6 mths | 1 yr | 18 mths | 2 yrs | 3 yrs | 5 yrs |
 |
3.75% | 3.95% | 4.30% | 4.75% | 5.00% | 5.50% |
 |
3.75% | 4.00% | 4.20% | 4.60% | 5.00% | 5.50% |
| BNZ | 3.75% | 4.00% | 4.30% | 4.75% | 5.00% | 5.50% |
| Kiwibank | 3.75% | 4.20% | 4.75% | 5.00% | 5.50% | |
 |
3.75% | 4.00% | 4.30% | 4.75% | 5.00% | 5.50% |
| Co-op Bank | 4.00% | 4.25% | 4.50% | 4.80% | 5.05% | |
 |
4.00% | 4.25% | 4.35% | 4.50% | 5.00% | 5.50% |
| HSBC Premier | 3.65% | 3.80% | 4.00% | 4.10% | 4.30% | 4.60% |
 |
3.95% | 4.10% | 4.30% | 4.75% | 5.00% | 5.50% |
| SBS / HBS | 3.80% | 4.10% | 4.40% | 4.75% | 5.10% | |
| TSB Bank | 3.80% | 4.00% | 4.25% | 4.50% | 5.00% | 5.50% |
Term deposit rates
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(Correction: An earlier version of this story had the BNZ one year rate in error. It is 4.00% as in the revised table above.)
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