Reference
NZ Term Deposit and Savings Rates 2026
Last updated:
Indicative term deposit and savings rates across New Zealand banks. Deposit rates broadly track the Official Cash Rate, which is 2.50% after the Reserve Bank raised it on 8 July 2026. Rates fell a long way from their 2023 to 2024 highs and are now turning back up, so the April 2026 figures below are likely to be a little low. Use them as a guide to the shape of the market and check a live comparison before investing.
Term Deposit Calculator Savings Calculator Compound InterestIndicative Term Deposit Rates (Main Banks, April 2026)
| Term | Approx. rate (per annum) |
|---|---|
| 3 months | ~3.0 to 3.5% |
| 6 months | ~3.7 to 4.0% |
| 12 months | ~3.8 to 4.0% |
| 18 months to 5 years | ~3.7 to 4.2% |
Specialist banks such as Heartland, SBS and Rabobank often pay 0.25% to 0.75% more than the big four (ANZ, ASB, BNZ, Westpac, Kiwibank). The highest 12-month main-bank rate has recently sat around 4.00%.
Tax on Interest (RWT and PIE)
| Item | Detail |
|---|---|
| Resident Withholding Tax (RWT) | Deducted at your chosen rate (10.5%, 17.5%, 30%, 33% or 39%) to match your income tax rate |
| PIE term deposits | Taxed at your Prescribed Investor Rate (PIR), capped at 28%, which can beat RWT for higher earners |
| After-tax return | A 4.0% rate taxed at 33% leaves about 2.68% after tax, before inflation |
For higher earners, a PIE term deposit taxed at the 28% PIR can give a better after-tax return than a standard deposit taxed at 33% or 39% RWT. To see what a rate is really worth after tax and inflation, use our real return tool.