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Suncorp Term Deposits

Name: Suncorp Term Deposits
Creator: Savvy
Published: 2022-09-26T16:43:38+09:30

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

Written by , updated on September 11th, 2023

Founded in Brisbane as a bank for rural Queenslanders, Suncorp Bank has undergone many name changes and mergers over its 120-year history. It is now one of Australia’s largest financial institutions and is best known for its general insurance business.

It offers financial services to more than nine million customers and has more than 230 branches based in Queensland and around the nation. As well as insurance products, Suncorp also offers home loans, superannuation products and bank accounts, which include term deposits.

Find out with Savvy if Suncorp Bank offers the best option for your precious savings. Discover what interest rates and terms are on offer and compare deposits from other institutions before making your investment decision today.

*Please note that Savvy does not represent Suncorp Bank for its term deposit products.

Suncorp Bank term deposits explained

What term deposits does Suncorp Bank offer?

Suncorp Bank offers many term deposits ranging from one month up to five years.

Suncorp Bank: common term deposit interest rates

Term length	Interest rate
3 months	1.75% p.a.
6 months	2.45% p.a.
9 months	2.80% p.a.
12 months	3.20% p.a.
18 months	3.50% p.a.
24 months	3.45% p.a.
36 months	3.50% p.a.
48 months	3.55% p.a.
60 months	3.60% p.a.

(Effective 16 September 2022)

The above interest rates are based on interest being paid on deposits of $5,000 to $100,000 at maturity(for up to one year) and annually (longer than a year). For monthly interest payments, the rate is marginally lower than those above.

The interest on larger deposits of $100,000 up to $1 million is marginally higher than those above, with amounts over $1 million coming with a further rate increase.

Minimum and maximum deposit amounts

The minimum deposit required is $5,000 and the maximum permitted is $2 million. Larger investments are available by personal negotiation.

Early withdrawal penalties

If you wish to withdraw your term deposit funds early, you’ll be required to give 31 days’ notice. If you need to withdraw funds on the grounds of financial hardship, this notice period may be reduced at the bank’s discretion. If you do ask to break your term early, the amount of interest you’ll earn will be reduced on a sliding scale depending on how much of your original term there is remaining, which can reach up to an 80% reduction.

Term maturity options

At the end of your deposit period, you can either choose to renew your deposit for another term of between one month and 18 months, withdraw some or all of your funds to another Suncorp Bank account or have them paid to another bank. When you open a term deposit account, you’ll be required to give the bank instructions on what they should do with your funds at maturity.

Business and SMSFs

Suncorp also offers term deposits for businesses, trusts and self-managed super funds. The interest rates on offer are very similar to those quoted above.

How do I open a Suncorp Bank term deposit?

A Suncorp term deposit can be opened either in person at a branch, over the phone or online if you’re an existing customer. Once you have your term deposit set up, you can monitor it via internet banking and their mobile app. You can also change your renewal instructions online.

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

The key requirements for opening a term deposit with Suncorp are:

You’ll need to be aged over 18 years
You’ll need to provide proof of your identity, including 100 points of ID including at least one form of photo ID such as your passport or driver’s licence
You’ll need to be either an Australian resident or citizen for tax purposes
You’ll need to provide your tax file number
Couples, as well as parents and children, can open joint accounts

The pros and cons of Suncorp Bank term deposits

PROS

Highly competitive interest rates

The interest rates offered by Suncorp Bank are very reasonable compared to competitors, helping you get the best return on your savings.

Funds can be paid to another bank

At the end of your term, you can have your funds paid to another bank account you may already have open.

Wide range of terms available

Whatever your investment needs, Suncorp Bank will probably be able to offer the term you need, as their range of term deposits is comprehensive.

CONS

31 days’ notice is required to withdraw funds

As with many other banks, you’ll be required to give 31 days’ notice if you wish to withdraw your funds before the end of the agreed deposit period.

Interest reduction for frequent interest payments

If you want to get your interest paid more regularly rather than annually or at maturity, you’ll have to be content with a lower interest rate.

Minimum deposit of $5,000

The minimum deposit available with Suncorp is $5,000, although you may be able to open one with as little as $1,000 if required for security reasons.

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.

Should I go with a short-term or long-term deposit?

The length of term deposit you choose will depend on your savings objectives. Short-term deposits of less than one year are great for smaller annual goals such as a holiday or new furniture. Long-term deposits are often the best option for larger savings goals such as a house deposit or a new car. To maximise the interest earned and reduce the risk of being caught short in an emergency, some investors choose to divide up their savings into term deposits of different lengths, so they always have one lump sum term deposit close to its maturity date.

What is the maximum length of term deposit that I can take out?

Financial institutions in Australia offer term deposits up to a maximum of five years in length. Prior to 2007, ten-year term deposits were routinely offered to customers wanting to lock away their savings for an extended period. Following the Global Financial Crisis, these ten-year terms were withdrawn.

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.