FREQUENTLY ASKED QUESTIONS.

TERM DEPOSIT.


How does a term deposit work?

A term deposit offers a fixed interest rate for a fixed term. Interest rates differ as they depend on the term, the amount of the deposit and the interest payment frequency. For details, please see the Term Deposit.


Who can open a term deposit?

To open an account, you must be the individual(s) opening and using the account for personal use. To open a business or SMSF account please click here.


How do I open a term deposit?

Simply apply online or print out, complete and post an application form back to us. If you are an existing ME Bank customer, you can apply for a term deposit over the phone - just call 13 15 63.

Your account can be opened in a single name or joint name(s). Your opening deposit can be made via direct debit. or a BPay ro PayAnyone transfer.


How much money do I need to open my term deposit?

Unlike many other banks, ME Bank requires a minimum deposit of just $1,000 to open a term deposit account.


What is the maximum deposit amount for term deposit?

There is no maximum deposit amount for term deposit accounts - you can put in as much money as you like! However, for amounts greater than $500,000, please contact us on 13 15 63 to find out what interest rates will apply.


What are the terms available?

You can choose your own term between 1 month and 60 months (5 years). You may even select a maturity date that suits your own investment goals.


Can I have more than one term deposit?

Yes, you can open as many term deposit accounts as you like. Simply fill in another application.


Can I open a term deposit for business use?

This particular account is for personal use only. If you're a business customer looking to open a term deposit, please see our Business Term Deposit information.


How long will it take to open my term deposit?

Your account can be opened straight away online provided we can successfully identify you. If you are an existing ME Bank customer, you can open a term deposit straight away over the phone - just call 13 15 63.

 If you open your term deposit by paper application your term deposit will be opened within three business days from when we receive your completed application form and any supporting documentation.


How do I deposit money into my term deposit?

We can debit funds directly from your nominated bank account, you can transfer funds into a new term deposit via BPay or PayAnyone transfer or we can accept a cheque (cheque deposits are only available for paper applications).


Are there any fees on my term deposit?

Currently, you can sit back and enjoy zero bank fees on your term deposit.


Will I be able to view my term deposit through internet banking?

Yes, once you have registered for our internet banking services.


What interest rate will I receive?

You will receive the interest rate applicable on the day we receive your application (with supporting documentation) required to open your account. If you choose to deposit money into your Term Deposit by BPay or PayAnyone transfer, you should complete the transfer on the same day your application is made. ME Bank must receive the funds within 3 business days of your application, otherwise, a different interest rate may apply to your account.


What interest rate will I receive if I rollover my term deposit at maturity?

You will receive the interest rate applicable on the day your existing term deposit account matures. Your term deposit will roll with the same term and interest payment frequency.


When will I start earning interest?

You will earn interest from the day your term deposit is opened and an initial deposit is made.


When will I receive interest?

You choose! Interest is calculated daily and paid either:

  • At maturity (only for term deposits with a term less than 1 year)

or

  • Monthly
  • Quarterly
  • Six Monthly
  • Annually

with a final interest payment at maturity (if required).

 


Can I change when I receive interest?

Not during the term of your term deposit. You can change this by contacting us before your term deposit rolls.


How will interest be paid?

If you choose to have your interest paid at maturity (for terms of one year or less), you can choose to have the interest invested into your new term deposit or have it paid into your nominated account.

If you choose to have your interest paid more frequently, interest will be paid into your nominated account.


Will I get a term deposit certificate when my application is complete?

Yes. We will send you a confirmation letter once your account has been opened, detailing your investment amount, the interest rate, interest payment instructions and the maturity date.


Will you let me know before my term deposit matures?

Yes. We will send you a maturity advice letter approximately 10 business days before your account matures. You can advise us at any time if you would like to change your maturity instructions, for example rollover your term deposit or have your money paid into your nominated account.


What happens to my term deposit at maturity?

The default option is that your term deposit will automatically be invested into a new term deposit (of the same term and interest payment frequency, at the interest rate applicable on the day your existing term deposit Account matures).

Alternatively, you may choose to have it paid into your nominated account. Simply call us 13 15 63 or complete a Change of Term Deposit Details Form prior to maturity.


Can I break my term deposit before it matures?

Yes. You can withdraw your term deposit before it is due to mature, but you will be subject to an early withdrawal  interest adjustment. The interest you earn on your account is reduced by the amount we calculate.  Depending on the amount of interest already paid to you, you may be required to repay some of that interest.  The adjustment will be made by a deduction to any unpaid interest otherwise due to you or, if that is not sufficient to cover the adjustment, by a deduction from the amount of your deposit.  The balance will be transferred to your nominated account. Please see fees and charges for the amount of the early withdrawal adjustment. Any early withdrawal interest adjustment is waived if you request an early withdrawal within 5 days of your term deposit rollover.

Note: A partial withdrawal is not possible.