Defence Bank Term Deposit
Our term deposits come in many colours.
Set up your term deposit
Choose a term that suits you and have your chosen amount ready (minimum $1,000).
Once your term deposit matures
You have five business day grace period to decide whether you want to withdraw your funds or reinvest them.
Unless advised otherwise, the interest earned on your term deposit will be re-invested with your principal deposit. If the same term isn’t available then your term deposit will be reinvested at the closest standard term (i.e. not a special offer, premium certificate term) to the original term. The interest rate on the reinvested term deposit may be lower than your initial term deposit.
Whether you’re in the Defence community or an ADF supporter in the broader community, combine a competitive rate with some patience for a maximum return.
For those who want...
- Fixed interest rate
- A choice of terms and rates up to 24 months
- $1,000 initial deposit
Please read all of our rates and fees carefully before opening an account.
For other product rates, see our rates schedules.
For all product fees, see our fees and charges schedules.
If you want to discuss one or two month term deposit options, require any assistance or have questions regarding our rates and fees please contact us.
For amounts over $1 million, please contact us to discuss your options.
| Premium term deposits ($1,000.00 to $1,000,000.00) | Interest rate |
| 11 months | 5.15% p.a. |
| Standard term deposits ($1,000.00 to $1,000,000.00) | Interest rate |
| 3 months | 4.25% p.a. |
| 4 months | 3.60% p.a. |
| 5 months | 3.70% p.a. |
| 6 months | 4.45% p.a. |
| 7 months | 4.00% p.a |
| 8 months | 4.00% p.a. |
| 9 months | 4.50% p.a. |
| 10 months | 4.05% p.a. |
| 12 months | 4.70% p.a. |
| 24 months | 4.40% p.a. |
If you're already a Defence Bank member, opening a term deposit is fast and easy through Online Banking.
New to the bank? We'll just need a few details and you'll be on your way.
| Apply Now |
Click here to see the Latest Rates.
Deposits are exclusive to individuals. Defence Bank offers standard (available at all times) and premium (an occasionally offered special rate on non-standard period) terms. Interest rates and terms on offer may change at any time without notice.
Gross rate of interest before deduction of government earnings tax.
Interest is calculated on the daily balance. Interest is paid on the date of maturity. Where terms exceed 12 months, interest is capitalised annually. Interest payable in respect of the last 12 months or part thereof is added to the balance at maturity.
Unless advised otherwise, the interest earned on your term deposit will be re-invested with your principal deposit. If the same term isn’t available then your term deposit will be reinvested at the closest standard term (i.e. not a special offer, premium certificate term) to the original term. The interest rate on the reinvested term deposit may be lower than your initial term deposit.
All term deposit rates are for amounts up to $1 million. For larger amounts please contact us at https://www.defencebank.com.au/about-us/contact-us/ to discuss your options.
Our term deposits are part of the Government Deposit Guarantee (Financial Claims Scheme) - https://www.apra.gov.au/financial-claims-scheme-0?
We may change our fees and charges and interest rates from time to time. For more details on our fees and charges, refer to the Fees and Charges Schedule (Domestic Transactions) and Fees and Charges Schedule (Overseas Transactions). For more details on interest rates, refer to the relevant interest rate schedule.
We also publish a brochure - ‘Tips on Reducing your Banking Fees with Defence Bank’ - which can be obtained via defencebank.com.au, by visiting your local branch or calling 1800 033 139.
All products except foreign currency facilities and insurance are issued by Defence Bank. Before acquiring a product, Defence Bank recommends you read the relevant terms and conditions relevant to the product, All documents are located at https://www.defencebank.com.au/tools-and-advice/legal-and-compliance/disclosure-documents/
Any advice contained on this website is general advice only and does not take into account your needs, objectives or your financial situation.
Defence Bank’s Target Market Determination can be viewed at https://www.defencebank.com.au/tools-and-advice/legal-and-compliance/target-market-determinations/.
Defence Bank commenced operations in March 1975 as Defence Force Credit Union Limited (Defcredit) before changing its name to Defence Bank in 2012. Today, Defence Bank has the most on-base branches across Australia.
Unlike many other financial institutions, Defence Bank doesn’t exist to make profits for shareholders. We’re here to focus on your financial needs, rather than being driven to make profits for shareholders. We re-invest our profits back into the Bank to make sure we give you the service and competitive products you deserve.
Defence Bank offers financial products and services to not only the Australian Defence Force, but the broader community as well. Defence Bank is one of Australia’s larger member-owned banks.
To view our latest News, please visit https://www.defencebank.com.au/about-us/news/.
Even though we’ve traditionally focused on the Australian Defence Force, you don’t have to be a Defence Force employee or relative to take advantage of Defence Bank’s products and services – membership is open to all Australians.
We’re always happy to see our members in person. Our branches can help you with anything from general account information to home loans. If the branch is on a military base, just give the branch a call to let them know you’re coming in so they can escort you.
For personal accounts, our minimum term deposit is $1,000, and there is no maximum amount you can get started with.
While it’s not possible to add funds during the term, you can add any funds at maturity for the next term. We’ll send you the form via email, up to a month before the maturity date to ask you what you’d like to do, and you can note on the form that you’d like to add funds, and send it back to us.
While interest rates for new term deposits may change during your term, this will never affect a deposit that is part way through its term. That rate is locked in for the agreed amount of months.
Funds can be withdrawn early from a term deposit at any time during the term for a $30 fee, and an interest rate reduction may also apply. Simply get in touch so we can send you the form to fill out.
Statutory Statement
The issuer of this product is identified at the top of this page. The PDS and target market determination for the product are available in the Documents section of this listing. Prospective investors should consider the PDS before deciding to acquire the product. This product listing was vetted by and approved by the product issuer identified above before publishing. Investment Markets (Aust) Pty Ltd AFSL 527875 (IM) is not the issuer of the product.
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