If you’re considering locking away your savings for a set period, NAB’s fixed term deposits remain a popular choice for Australians seeking security and predictable returns. But with interest rates shifting in 2025, it’s worth knowing exactly what NAB is offering right now-and how those rates compare across different terms.
Current NAB Term Deposit Rates
As of May 2025, NAB’s fixed term deposit rates have seen several recent cuts, reflecting broader market trends as inflation cools and the Reserve Bank’s cash rate stabilises. Here’s a snapshot of NAB’s latest advertised rates for deposits between $5,000 and under $2 million:
| Term Length | Interest Rate (p.a.) | Payment Frequency |
|---|---|---|
| 3 months | 2.90% | End of term |
| 6 months | 3.20% | End of term |
| 7 months | 4.20% | End of term |
| 8 months | 3.40% | End of term |
| 9 months | 3.40% | End of term |
| 10 months | 3.50% | End of term |
| 11 months | 3.50% | End of term |
| 12 months | 3.90% | Annually |
| 13–23 months | 3.80% | Annually |
| 24 months | 3.80% | Annually |
| 36–60 months | 2.90% | Annually |
For those seeking the highest rate, the standout is 4.20% p.a. for a 7-month term, but most other terms now sit below 4%.
Key Details to Know
- Interest Payment Options: For terms of one year or more, you can choose to receive interest annually, half-yearly, quarterly, or monthly. Note that more frequent payments (e.g., monthly) come with a slightly lower rate than annual payments.
- Minimum Deposit: $5,000 is the standard minimum for these rates.
- Maximum Deposit: Rates apply up to $2 million. For larger amounts, you’ll need to contact NAB directly for a custom rate.
- No Ongoing Fees: There are no monthly account or application fees associated with NAB term deposits.
Recent Rate Changes
NAB, like other major banks, has trimmed its term deposit rates in recent months-cuts of up to 20 basis points have been seen across several terms. This trend follows broader moves in the market as the economic outlook shifts and competition for savers’ money remains high.
How to Apply
A NAB term deposit can be opened in person at a branch, over the phone, or online. New applications must be submitted online (not over the phone or in a branch) for terms longer than two years, and rollovers for current deposits can be handled through the NAB app or internet banking.
NAB’s fixed term deposit rates in May 2025 are most competitive for short- to mid-term savers, with the top rate of 4.20% p.a. on a 7-month term. For longer terms, rates are lower but still offer certainty and security for your savings. As rates continue to shift, it pays to compare options and act quickly if you spot a rate that suits your needs.