Are your term investments the same as term deposits?
They work just like a term deposit, but they’re a little bit different. You invest your money at a fixed rate and a fixed term, and we pay you the agreed interest.
Because we’re a building society as well as a registered bank, our term investments are a little different behind the scenes. Through your share term investment you’re actually buying shares in SBS Bank. Your interest is the dividend on those shares.
These aren’t like public shares though. They don’t go up or down in value, and your dividend doesn’t change. Your return will be the amount we agreed.
Are your term investments guaranteed?
No, they are not guaranteed. Under current legislation, no bank’s deposits are guaranteed. However, we’re still growing after over 150 years, so we’re confident in our track record.
Can I add more money to my term investment?
No, sorry. A term investment is locked in.
If you wanted to add more than $1000, you can simply start a new term investment. There are no fees, and if you call us we can even set the same maturity date as your existing term investment, so you can merge them together then.
If you have less than $1000, we have a range of saving accounts with very competitive interest rates.
Can I access my money before the maturity date?
If you need urgent access to your funds, we may be able to end your term investment early. It can be difficult, as we match investments with lending on residential homes.
You can apply for the return of all or some of your money by calling us on 0800 727 2265.
If approved, we’ll transfer your funds back to your account.
You earn interest on the full value of your investment up until the date you withdraw your funds.
We charge a 1.5% per annum fee on the amount you withdraw on a pro rata basis for the investment period to date. We’ll calculate the fee when you apply for your funds.
If you’re only withdrawing some of your funds, you’ll continue earning the original interest rate on your remaining balance, until the end of your term investment.
Can I change my term investment’s end date?
No, sorry. You can ask to break your term investment early, and then reinvest it at the new term. However, if successful you won’t receive as much interest.
Can I open a term investment if I’m not currently with SBS Bank?
Yes, you can. You can apply online or visit your nearest branch. We can even verify your identity with the SBS Verify app. You’ll need your New Zealand driver licence or a New Zealand or Australian passport and a utility bill.
We’ll set up a fee-free SBS Bank account for you, too. You can use it to transfer your investment funds in and out of SBS Bank.
Can I change my reinvestment instructions?
Yes, you can update your maturity instructions up to the day before your term investment matures. The easiest way is through online banking, or our mobile app. You can also call us during our normal contact hours.
What happens if I haven’t set reinvestment instructions?
We’ll automatically reinvest for you. If you haven’t set any instructions, or if you deleted your instructions, we’ll automatically reinvest your money for the same term at the prevailing rate.
Is there a cooling off period for term investments?
We don’t have an official cooling off period. However, if you tell us in the first 30 days that you need your money back, we’ll see what we can do. There won’t be any fees, but we won’t be able to pay you any interest, either.
Talk to us today about earning more for your savings.
You deserve to earn strong returns on your funds. We’re happy to have a talk about how we can help with our competitive term investments. Give us a call, or send us a note here, and we’ll get in touch.
If you’ve already decided to invest with us, why not set up your term investment online? It’s easy and fast, even if you’re not already an SBS Bank customer.
Important information about term investments.
Specific account opening criteria and our Terms and Conditions apply. This information relates to Redeemable Share Term Investments.