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Term Deposit Calculator

Work out how much interest you could earn on your term deposit with Savvy’s handy calculator.

Term Deposit Calculator

Work out how much interest you could earn on your term deposit with Savvy’s handy calculator.
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Last updated
March 20th, 2025


Watching your savings grow is exciting and can be a great motivator to encourage you to save harder towards a goal that really means something to you. You can use Savvy’s term deposit calculator to find out how much your savings could earn you if you tuck them away in a term deposit for a set number of months or even years.

Term deposit and savings calculator explained

How do I use the term deposit and savings calculator?

The term deposit calculator is simple to use, with clear areas for you to enter the amount you wish to deposit, the interest rate you have been offered and the amount of time you intend to leave your savings locked up. Choose whether you want interest to be added to your deposit sum, so it compounds, or whether the interest will be paid into a separate account, to produce an income stream. 

Once completely entered, you’ll be able to see the results of how much you’re set to earn. From there, you can compare interest rates with Savvy and use the calculator to see for yourself how a small increase in the interest rate can have a large effect on the size of your nest-egg at the end of your savings period.  

How do term deposits work?

A term deposit is an agreement to lock away your savings for a set period in return for a fixed rate of interest. Banks and financial institutions offer different interest rates based on these periods, which are known as the term of the deposit. During the agreed term, you won’t be able to add to your savings or withdraw any money. If you have to withdraw your funds early, you’ll have to give notice and will be penalised for early withdrawal.  

There are short term deposits, which are less than 12 months, and long term deposits, which are between one and five years in length. When you deposit your savings, you choose how long you wish to deposit them for and receive a fixed interest rate in return. The most popular term deposits are six, nine and 12 months. At the end of the deposit period, you can choose to roll your funds over for another term or withdraw them and the interest earned to another transaction or savings account

WHY COMPARE WITH SAVVY?

What factors will affect how much interest I earn?

Top tips about how to maximise your term deposit interest

More of your questions about term deposits answered

What are the minimum and maximum amounts I can invest in a term deposit?

All banks and financial institutions have their own maximum and minimum term deposit limits. Some allow you to open a deposit with as little as $500, whilst others require $1,000 up to a $10,000 minimum. The same applies to maximum deposit sums. These can range from $250,000 all the way up to $5 million or more by special arrangement.

If you have to dig into your savings early, you’ll usually have to give notice of your intent to break your agreed term. This notice ranges from seven days up to 31. You’ll also suffer a reduction in the interest you’ll earn, and in some cases will have to pay an early redemption fee, which is often around $30. How much interest you’ll lose will depend on how early in the term you have to break the deposit agreement, but can be as much as 90% if you do so early on in your term.

Yes – many, but not all, banks allow joint term deposits. There tend to be many involved terms and conditions around joint term deposit accounts, mainly centred on what happens if one of the partners dies during the term of the deposit, but also who has permission to open and close the account.

What is the longest period I can invest in a term deposit?

The maximum length of term deposits in Australia is five years. Prior to the global financial crisis, ten-year term deposits were on offer, but they were withdrawn after the GFC.

All banks and financial institutions have a minimum age limit they allow to open a term deposit. In most cases, the minimum age is 18, but some banks do allow children as young as 12 or 13 to open a term deposit account.

Yes – it’s possible to hold multiple term deposits, either with the same bank or financial institution or spread across several different ones. Some investors hold multiple term deposits with different maturity dates, so if they do suffer financial hardship, they’ll have a deposit which is close to the expected maturity date to minimise interest loss for early withdrawal. In addition, if you are investing in a period of rising interest rates, it might make more sense to choose shorter deposit terms and roll your funds over for a potentially higher interest rate.

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