bcu Term Deposits

bcu term deposits

If you’re looking for a way to invest money for a set period at a fixed interest rate, then you might be interested in learning more about bcu’s term deposits.

What term deposits does bcu offer?

At the time of writing, bcu offers three term deposit products:

  • bcu Term Deposit: Terms available from one month to three years with a minimum deposit of $1,000.
  • 55+ Term Deposit: This is designed for bcu members aged 55 and over. Terms available from three months to three years with a minimum deposit of $5,000. 
  • Farm Management Deposit: bcu says this is designed to help primary producers secure their reserves in cash flow-positive years to help meet the demands of slower ones. A minimum deposit of $1,000 applies. 

Click below to compare other term deposits on our database, with terms, deposit amounts and interest paid options tailored to your preferences.

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What terms are available on bcu term deposits?

According to bcu, it offers term deposits with terms (the length of time your money is deposited) typically ranging from a minimum of one month to a maximum of three years.

You can use Canstar’s term deposit calculator to help you work out what term length might be suitable for you. One factor to consider is that longer terms typically come with higher interest rates, but you would have to wait longer to benefit from the higher interest rate that can come with reaching the maturity date. 

When deciding on a term deposit, it’s a good idea to carefully consider the length of the investment term, as some products may charge a fee and require a certain notice period if you need to access your money early.

When is interest paid on bcu term deposits? 

bcu’s term deposits offer customers the choice of receiving interest payments at the following frequencies: 

  1. Monthly 
  2. Annually
  3. At maturity 

It’s worth remembering that the option you select may have an impact on the rate of interest you earn.

Canstar’s term deposit calculator can help you decide how you can maximise the interest paid on your term deposit. 

Does bcu have a notice period and charge an early withdrawal fee for withdrawals?

bcu says withdrawals for term deposits between one month and two years will be at its discretion. For terms greater than two years, bcu requires you to provide seven days notice if you wish to access your money early. bcu says it will apply the interest rate that applies to the Christmas Club product at the time of withdrawal. 

bcu’s website and Product Disclosure Statement (PDS) provide more information on any interest rate adjustments or other early withdrawal penalties that may apply. 

Does bcu charge any other fees for term deposits?

At the time of writing, bcu says there are no monthly fees on its term deposits. 

For current information on fees and how they apply, please check the PDS or contact bcu.

How to apply for a bcu term deposit

Before applying for a bcu term deposit, aim to first compare it against other term deposits on the market to ensure it is the right one for you. 

Compare Term Deposits

If applying, consider bcu’s eligibility criteria (below) and what you might need to have on hand, such as:

  • Your TFN (Tax File Number)
  • Proof of ID, such as your driver’s licence, passport or Medicare card 
  • Personal details, including your residential address, phone number, email address and potentially information on your current job

If you’re applying for a term deposit on behalf of a business, self-managed super fund or other type of entity or organisation, you may need to supply different documents to those listed above. The terms and conditions that apply to your term deposit may be slightly different.

To see if you can apply online for a bcu term deposit, just check to see if ‘apply online’ is ticked in Canstar’s term deposit tables and visit bcu’s website. 

Eligibility criteria

According to bcu, when applying for a term deposit, you will need to meet the following eligibility criteria:

  • You must be investing a minimum deposit of $1,000 (bcu Term Deposit and Farm Management Deposit) or $5,000 (55+ Term Deposits)
  • You must be willing to invest for a time frame within the minimum and maximum terms specified (see above)

What happens to a bcu term deposit when it reaches maturity? 

Depending on your instructions, at maturity bcu will either:

  • Pay the balance of the investment and any unpaid interest to you; or
  • Re-invest the balance of the investment and any unpaid interest on the same or similar terms as the original investment at the interest rate applicable at that time.

If you do not provide bcu with instructions, it says it will re-invest the balance and unpaid interest for the same term as the original investment at the applicable rate. 

About bcu

bcu was established in the early 1970s by a small group of business owners, many of whom were banana farmers on the NSW North Coast. bcu now has over 50,000 members with its network spanning from Port Macquarie to the Sunshine Coast. 

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Written by: Tamika Seeto | Last updated: July 5, 2019