Police Bank Term Deposits

Mutual Banks in Australia - Police Bank

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 Police Bank’s term deposits.

What term deposits does Police Bank offer?

Police Bank’s standard term deposits include the following features:

  • No account keeping fees
  • Minimum deposit of $1,000
  • Interest is calculated daily and paid monthly, six monthly, annually or at maturity depending on the length of the term

According to Police Bank, generally, the longer the term you choose, the higher the rate of interest it will pay. In some cases, Police Bank offers higher interest rates on larger deposit amounts.

Police Bank also offers an Edvest range (available to members who are 45 years and over) which Police Bank says can offer you a higher interest rate and more regular interest payments.

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

Compare Term Deposits

What terms are available on Police Bank term deposits?

According to Police Bank, it offers term deposits with terms (the length of time your money is deposited) typically ranging from a minimum of three months to a maximum of five 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 Police Bank term deposits?

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

  1. Monthly
  2. Six monthly
  3. Annually
  4. At maturity

Police Bank also offers fortnightly interest payments on certain Edvest term deposits.

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 Police Bank have a notice period and charge an early withdrawal fee for withdrawals?

Police Bank says you may withdraw your funds at any time. At the time of writing, it does not specify a notice period.

If you withdraw your deposit before the maturity date, Police Bank says it will pay interest at a reduced rate from the date of deposit to the day of withdrawal. Police Bank says it will decide the reduced rate.

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

Does Police Bank charge any other fees for term deposits?

At the time of writing, Police Bank does not charge any account keeping fees.

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

How to apply for a Police Bank term deposit

Before applying for a Police Bank 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 Police Bank’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 or passport
  • Personal details, including your residential address, contact information 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 Police Bank term deposit, just check to see if ‘apply online’ is ticked in Canstar’s term deposit tables and visit Police Bank’s website.

Eligibility criteria

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

  • You must be a member of Police Bank. Police Bank says you do not have to pay a membership fee to become a member.
  • You must be investing a minimum deposit of $1,000
  • You must be willing to invest for a time frame within the minimum and maximum terms specified (see above)

What happens to a Police Bank term deposit when it reaches maturity?

Generally, when a term deposit reaches the end of its term you can either withdraw the funds or reinvest the funds into a new term deposit.

If you do not provide Police Bank instructions prior to the maturity date, Police Bank says it will automatically reinvest your deposit for a further term of the same duration, or in the closest matching available product.

About Police Bank

Police Bank was established in the 1960s by a group of Sydney police officers. Originally starting with just 60 members, Police Bank now says it has grown to be one of the biggest and most successful mutuals in Australia.

Police Bank offers a range of products, including savings and transaction accounts, home loans and insurance.

Written by: Tamika Seeto | Last updated: May 8, 2019