Term deposit rates are on the move. But all the moves are coming at the long end.
And we are seeing the spread of 4%-and-above rates extend again.
They may be rising, but they are not rising as fast as home loan rates.
For banks, the shortest term to get a 4% rate is now two years. Interestingly, these are available now at the main banks whereas challenger banks don't get started at 4% or above until three years. This could change soon.
Among the community deposit takers, there is a 4% rate available for a one year term, from the Wairarapa Building Society.
For other non-bank deposit takers, 4% rates are spread there too, but perhaps not as widely or high as you may have assumed. The fee costs of the Depositor Compensation Scheme limits what they can offer.
When you invest, always check how interest is compounded. Depending on how much you are committing, compounding more often is materially better. But some banks advertise their "interest at maturity" rates different to their compounding rates, which for some can be set a little lower. Both Kiwibank and Rabobank do this, although most other main banks don't.
Use the calculator at the foot of this article to see the differences.
We should also point out that after-tax returns can be enhanced for some savers with higher tax rates by the choice of PIE structures. Not all institutions offer these, but most of the main banks do.
Always ask a bank for a better rate. Many bank staff have discretion to offer more than the advertised rate. (And check your bank's app offers as they too are often enhanced to retain you). We have been surprised to hear recently of even big banks agreeing to a small boost, when asked.
Use the term deposit calculator here, or the one below the table, to calculate your expected net after-tax returns.
The latest headline term deposit rate offers are in this table after the recent changes over the past three weeks. The yellow colour code is for those under 4% and has spread comprehensively. Bolded rates are the "best-bank", the highest carded rate from any bank at this time. The blue-coded rates are those under 3%. Bank offers of 4% or above are starting to reappear again.
This table only lists institutions covered by the Depositor Compensation Scheme.
| for a $25,000 deposit February 9, 2026 |
Rating | 3/4 mths |
5/6/7 mths |
8 - 11 mths |
1 yr | 18mth | 2 yrs | 3 yrs |
| Main banks | ||||||||
| ANZ | AA- | 3.10 | 3.45 | 3.40 | 3.55 | 3.60 | 3.85 | 4.00 |
 |
AA- | 3.00 | 3.45 | 3.55 | 3.50 | 3.65 | 4.00 | 4.15 |
 |
AA- | 3.00 | 3.45 | 3.50 | 3.55 | 3.65 | 4.00 | 4.05 |
 |
A | 3.10 | 3.55 | 3.40 | 3.55 | 4.00 | 4.10 | |
 |
AA- | 3.00 | 3.45 | 3.50 | 3.55 | 3.70 | 4.00 | 4.10 |
| Kiwi Bonds. 'risk-free' | AA+ | 2.50 | 2.50 | 2.75 | ||||
| Rating | 3/4 mths |
5 / 6 / 7 mths |
8 - 11 mths |
1 yr | 18mth | 2 yrs | 3 yrs | |
| Other banks | ||||||||
| Bank of Baroda | BBB- | 3.35 | 3.65 | 3.60 | 3.60 | 3.60 | 3.65 | 3.85 |
| Bank of China | A | 3.30 | 3.60 | 3.50 | 3.70 | 3.80 | 3.90 | 4.00 |
| Bank of India | BBB- | 3.25 | 3.70 | 3.70 | 3.70 | 3.80 | 3.85 | 3.85 |
| China Constr. Bank | A | 2.70 | 3.20 | 3.20 | 3.20 | 3.25 | 3.25 | 3.45 |
| Co-operative Bank | BBB+ | 2.90 | 3.45 | 3.45 | 3.55 | 3.65 | 3.90 | 4.10 |
| Heartland Bank | BBB | 3.00 | 3.40 | 3.40 | 3.40 | 3.40 | 3.65 | 3.90 |
| ICBC | A | 3.25 | 3.60 | 3.50 | 3.75 | 3.85 | 3.75 | 4.00 |
 |
A | 3.05 | 3.55 | 3.45 | 3.60 | 3.70 | 3.70 | 4.00 |
 |
BBB | 3.10 | 3.45 | 3.45 | 3.55 | 3.75 | 3.75 | 4.00 |
 |
BBB+ | 3.10 | 3.45 | 3.40 | 3.50 | 3.50 | 3.75 | 3.95 |
| Non-Bank Deposit Takers | Rating | 3/4 mths |
5 / 6 / 7 mths |
8 - 11 mths |
1 yr | 18mth | 2 yrs | 3 yrs |
| Community institutions with DCS protection | ||||||||
| First Credit Union | BB | 3.40 | 3.80 | 3.80 | 3.80 | 3.70 | 3.70 | |
| Heretaunga Bldg Society | 3.05 | 3.55 | 3.50 | 3.55 | ||||
| Nelson Building Society | BB+ | 2.75 | 3.20 | 3.45 | 3.40 | 3.60 | 3.50 | 4.00 |
| Police Credit Union | BB+ | 3.00 | 3.45 | 3.45 | 3.50 | 3.55 | 3.65 | |
| UnityMoney | BB | 3.15 | 3.40 | 3.35 | 3.30 | 3.35 | 3.45 | 3.45 |
| Wairarapa Bldg Society | BB+ | 3.20 | 3.45 | 3.45 | 4.00 | 3.75 | 3.85 | |
| Finance companies with DCS protection | ||||||||
| Christian Savings | BB+ | 3.00 | 3.50 | 3.55 | 3.60 | 3.65 | 3.75 | 4.00 |
| Finance Direct | 2.95 | 3.55 | 3.55 | 3.55 | 3.70 | |||
| General Finance | BB | 3.35 | 3.55 | 3.65 | 3.80 | 3.80 | 3.80 | 3.90 |
| Gold Band Finance | BB- | 2.75 | 2.75 | 3.75 | 4.00 | 4.05 | 4.20 | |
| Liberty Financial | BBB | 2.95 | 3.60 | 3.65 | 3.80 | 3.80 | 3.80 | 3.80 |
| Mutual Credit Finance | B+ | 3.90 | 4.00 | 4.10 | 4.25 | |||
| Welcome | 4.00 | 4.00 | 4.05 | 4.15 | 4.25 | 4.30 | ||
| Xceda Finance | B+ | 3.50 | 3.50 | 3.60 | 3.60 | 3.65 | 3.75 | |
Term deposit rates
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Daily swap rates
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