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Greater Bank Term Deposits

Name: Greater Bank Term Deposits
Creator: Savvy
Published: 2022-09-02T09:49:27+09:30

Explore Greater Bank's term deposit offers and interest rates to help you compare your options with Savvy.

Written by , updated on September 11th, 2023

Greater Bank was originally formed in 1945 in Newcastle, NSW, as the Greater Newcastle Cooperative Permanent Building and Investment Society. It expanded and opened new branches throughout the 1950s through to the 1990s, when it was known as the Greater Building Society.

It changed its name to Greater Bank in 2016 and now has 59 branches, more than 270,000 customers and $8 billion in assets. It offers a range of retail banking products to customers up and down the east coast of Australia.

Compare the term deposits offered by Greater Bank with those from other financial providers, and check out how their interest rates stack up right here with Savvy. Find out if Greater Bank is the right place to stash your savings by comparing term deposit rates with us today.

*Please note that Savvy does not represent Greater Bank for their term deposit products.

Greater Bank term deposits explained

What term deposits does Greater Bank offer?

Greater Bank offers the following term deposit interest rates for amounts of $5,000 or more:

Greater Bank: common term deposit interest rates

Term deposit length	Interest rate paid at maturity
1 to 2 months	0.10% p.a.
3 to 4 months	0.20% p.a.
6 months	1.75% p.a.
8 to 9 months	2.25% p.a.
12 months*	3.00% p.a.
13 to 23 months	2.25% p.a.
24 to 35 months	3.25% p.a.
36 to 47 months	3.30% p.a.
48 to 59 months	3.40% p.a.
60 months	3.50% p.a.

(Effective 2 September 2022)

The interest rate for all deposits under $5,000 is a standard 0.01% p.a. The interest offered if you wish to have your interest paid monthly is 0.10% p.a. lower than if interest is paid annually or at maturity.

*Special offer

The bank is currently offering a 3.00% p.a. interest rate for a 12-month term on deposits from $5,000 to $50,000 only as a special offer.

Rollover grace period

You have ten calendar days from the date your term is due to expire to decide what to do with your savings. Options include:

Roll over your funds for another identical term at the same interest rate
Add to your funds or withdraw funds, then start a new term deposit with a different interest rate
Withdraw all your funds and interest and close your account, with funds paid to another financial institution

How do I open a Greater Bank term deposit?

If you are an existing Greater Bank customer, you can open a term deposit account online using your normal customer login or in person by visiting a branch of the bank. If you aren’t already a Greater Bank customer, you’ll be required to fill in a customer registration form online and have your identity verified before being able to open a term deposit account.

What are the requirements for opening a Greater Bank term deposit?

You’ll need the following identity verification documents and details available to open an account with Greater Bank:

Passport
Driver’s licence
Medicare Card
Tax File Number

In addition, you’ll need to fulfil the following criteria:

Be an Australian citizen or permanent resident
Aged over 18 years
Have an Australian residential address
Minimum $5,000 term deposit investment

The pros and cons of Greater Bank term deposits

PROS

Competitive interest rates

The interest rates offered by Greater Bank are higher than those offered by many big banks and are highly competitive with other smaller banks.

Direct credit from another bank

You do not have to open an additional bank account in order to open a term deposit with Greater Bank, as funds are accepted from other financial institutions.

No maximum deposit amount

There’s no specified upper limit for term deposits with Greater Bank, so this offers a good opportunity for those with larger sums to invest or for long-term deposits for those larger sums.

CONS

Low interest on deposits under $5,000

The interest rate offered for deposit amounts under $5,000 does not excite, so a high-interest savings account may be a better option for your smaller deposit.

Early withdrawal penalty

If you wish to withdraw your funds earlier than the agreed initial term, the interest earned for the entire period will be reduced to 0.01% p.a.

Not all terms are equal

Although some of the interest rates on offer are highly competitive, the interest rates for some less-popular terms are lower than competitors, which is why it’s important to compare interest rates with Savvy before investing.

More of your frequently asked questions about term deposits

What is a term deposit?

Although many people are familiar with the phrase ‘term deposit,’ not everyone knows what a term deposit is. A term deposit is an agreement between you and your bank or financial institution to lock away a set amount of money for a set period (known as the ‘term’ of the deposit) in return for a fixed rate of interest. As the interest rate and length of the deposit are fixed, you’ll be able to calculate in advance how much money your savings will earn during the life of the term deposit. When your chosen term is over, you can choose to either withdraw your funds and the interest earned or roll them over into another term deposit.

How does a term deposit work?

A term deposit works by providing a fixed rate of interest for a lump sum that is deposited with a bank or financial institution for a set amount of time. Term deposits are offered for a period of a few weeks up to five years, in which time your savings are locked away so they can’t be touched (except in an emergency or in case of severe financial hardship). The interest earned on your savings can either be paid regularly (so the interest compounds) or at the end of the term as a lump sum. If you opt to receive your interest as a lump sum, you’ll generally be offered a higher rate.

What are the advantages of a term deposit?

The advantages of a term deposit are that you’ll have certainty. You’ll be certain exactly how much interest your savings will earn over a pre-defined period, as the interest rate paid on a term deposit is fixed for the duration of the term. As your savings are locked away for that term, the temptation to dip into your savings is taken away. You can be certain that your savings will be intact at the end of your term, and know exactly how much interest they have earned.

How can I work out how much interest I’ll earn on my term deposit?

You can use Savvy’s term deposit calculator to help you work out exactly how much interest your savings will earn over a set period. Just enter in the amount you wish to deposit, the term of the deposit and the interest rate offered, and the calculator will show you how much interest your savings will earn.