Term Deposit Comparison: Compare Term Deposit Accounts & Apply Online

Featured Low Interest Card

The St.George Vertigo MasterCard will help you save on interest repayments as it features up to 55 days interest free plus an amazing introductory offer on purchases and balance transfers for the first 6 months. It also has a low annual fee

• $55 annual fee
• 12.49% p.a. on purchases
• 2.99% p.a. for 6 months on balance transfers
• Cash Advance Rate of 21.24%
• Perfect credit card for shopping

Click here to read the St George Vertigo terms and conditions

If you are wondering where you should invest your money so that you get the best return on it, then you should take a look at this term deposit comparison article. You will find out what kind of term deposits are best for you.

Many people have some extra money that they would like to invest, but need to do a term deposit comparison before making a final decision. It is wise to gain all the knowledge you can about term deposits before making a firm decision on which one is best for your financial situation.

Term deposit comparison

Term deposits are accounts offered by banks that offer a fixed interest rate and continue for a fixed term. The term can vary and be as long as five years, or as little as a month. The money is unavailable and locked away during this time period.

The rate of interest is higher than basic bank accounts and depends on how much you have to invest. The rate can be as high as 6.9%, and the higher the amount of money invested the higher the interest rate will be. The rate of 5.2% to 6.5% will be generally offered for a term deposit of $5000 to $25,000 with a 12, 7 or 3 month term. If you do a term deposit comparison with a $250,000 amount put into a 12-month account the rate would be closer to 7% in a year. While most banks require a $5000 minimum deposit, some financial institutions will allow a deposit with a lower minimum, but this reduces the rate of interest to 1% to 2% in most cases.

Since the rates remain the same for the entire life of the deposit, term deposits are low risk and secure, especially if you do a term deposit comparison first. You will also be able to calculate what the return will be when the investment period has ended. If you are looking for something riskier with a higher return, then mutual funds or shares would be a good option. Most banks and financial institutions offer term deposits, and they are quite simple to set up.

Term deposit account tips

• Don’t put all of your money into a term deposit. You should always have some savings available in case of an emergency.
• Look around for the best deal and find out if your bank will give you a better deal if you are one of their customers.
• Remember that there are other savings options. You can consider cash management accounts and online savings accounts as well. They will allow you access to the money in your account, and also give you a higher interest rate than the basic banking account.
• Find out when interest payments are made and calculated. Some are calculated monthly or daily, while interest payments may be paid out at the end of the term or monthly. Try to find a term deposit that regularly pays interest so that it can be rolled back into the term deposit. You can also choose to get the interest deposited right into your everyday transaction account if you need some extra money.
• Make sure that you won’t need the cash before the end of the term because if you end the term deposit early you’ll have to pay considerable fees. Choose the term based on how sure you are you won’t need the money.

If you have a larger amount of money to invest then this term deposit comparison should help. These term deposits give you a low risk secure investment and are a good savings option.

With the current interest rates variability there is quite a bit of debate whether you should or shouldnt lock in a term deposit now as rates seem to be continuing to rise. Variable interest rates could be better leveraged with a high interest savings account which would also give you the flexibility to move your money around.

• Comparison of Top 10 Credit Card Offers

Editor's Choice: Our Top Credit Cards

Credit Card	Card Details	Interest Rate (p.a.)	Cash Advance Rate (p.a.)	Balance Transfer Rate (p.a.)	Annual fee	Interest free days (up to)
HSBC Credit Card	Editor's Choice: 0% for 6 months Balance Transfer & No Annual Fee Featuring a $0 annual fee for life, and 0% p.a. balance transfer for 6 months, the HSBC Credit Card was voted the Best Transactor Credit Card for 2010.	16.99%	20.75%	0% for 6 months	$0	55
Suncorp Clear Options Standard Visa Card	A great 12 month balance transfer offer, combined with a low annual fee and a good interest rate on purchases.	12.24%	17.99%	1.9% for 12 months	$39	0