Which banks increased term deposit rates this week, 17 November?

Indeed, the last seven days have birthed a new market-leader in the term deposit space. 

ING increased the rate on its one year term deposits by 30 basis points to 5.30% p.a. – the highest rate on offer from any Aussie bank. 

Interested parties would be wise to bear in mind that the current rate of annual inflation sits at 5.4%, meaning such a return isn’t inflation-beating at this point.

Though, the RBA predicts inflation will slow from here on out. 

If the central bank’s forecasts prove correct and annual inflation drops to 3.5% by this time next year, those signing up to 5.30% term deposits now may be laughing when their term expires. 

ING crowned market-leader with 5.30% p.a. term deposit interest rate

Banking mainstay ING raised eyebrows after the RBA hiked the cash rate by 25 basis points last week, vowing to increase the rate on its one year term deposit to 5.30% p.a.

That hike came into play on Tuesday, along with a 25 basis point increase to the bank’s six month term deposit interest rate. 

CommBank joins in, hiking some term deposit rates by 30 basis points

CommBank broke out in front of its big four peers this week, increasing some rates by as much as 30 basis points up to a high of 5.10% p.a. on two year deposits.

Though, the biggest of the banks did drop the special rate offered on new 36 month term deposits opened by personal or self managed super fund (SMSF) customers by 10 basis points to 4.90% p.a. 

Other changes include:

NAB increases term deposit rates by 0.25%.

Joining its big four rival in hiking term deposit interest rates this week was NAB, which upped many of its offerings by 25 basis points. 

The changes put NAB’s one year offering within 5 basis points of that of CommBank – a potential variance of $10 on a $20,000 deposit.

Changes to its term deposits include:

The Mutual Bank hikes term deposits rates by up to 120 basis points 

Finally, the biggest hike of the week came from locally-owned Maitland bank, The Mutual. 

Interestingly, the bank only demands depositors lock up more than $1,000 to make the most of its competitive rates. 

Take a look at some of the changes made by the customer-owned bank this week:

Other movers 

• Bankwest hiked term deposit offerings by up to 85 basis points
• Bank Australia increased term deposit rates by up to 15 basis points
• Rabobank lifts term deposit rates by up to 25 basis points
• Australian Mutual Bank increases term deposit rates by up to 20 basis points

Read more: Term Deposit News

Brooke Cooper

Finance Journalist

Brooke Cooper joined the InfoChoice Group in 2023. She previously wrote for the Motley Fool, covering topics such as share prices, companies, and IPOs. With interests in everyday finance and wealth, Brooke is passionate about educating Aussies - especially young adults - on all things money.

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