Banks scramble to offer higher savings and term deposit rates as Macquarie Banks appetite for household deposits gathers momentum. We look at what is now available

Another day, another bank raising their term deposit rates.

Today (Tuesday, November 25, 2025) it is the Bank of Queensland, who have shifted their point of attack.

They have dipped their four month term deposit rate to 3.90% from 4.00%, and raised their one year TD rate to 4.05% from 3.70%.

The shift to a 4%-plus one year rate responds to the widely-publicised moves by Commbank. But they are really in response to a trend kicked off by Macquarie.

Chasing Commbank might make sense for the other banks.

But what matters for savers is the best deal.

Let's take a look at all the current term deposit offers that are 4% or above. Here is a handy summary from our term deposit tables (where you can get the full perspectives).

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But the action isn't only in term deposits. TDs may have the advantage that your returns are locked in for the term you choose. But higher rates and some flexibility can actually be had in a surprising number of Savings Accounts, and from many of the same banks.

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The only 5% rate available among a top-ten bank is with Westpac, but it is only for a balance up to $30,000. That is small beer for many savers, and the interest earnings will only amount to $1500 per year gross, before tax. Nice, but not very significant.

After all Macquarie's 4.25% up to $2 mln will earn you $85,000 gross if you have it there for a year. That's real money. Other challenger banks can offer even more.

Our summaries on this page do not include the teaser "welcome" rates which can be higher again. But most of them end after four months, and then revert to much lower rates. Again, full details are in our tables (see menu above).

The chase for better yield on your savings should not happen without thinking about the risks. You can protect yourself up to $250,000 at each covered institution with the Financial Claims Scheme protection offered by the Australian Government.