Terms deposits are a common type of interest paying investment. They work in a similar way of a savings accounts held with an Authorised Deposit-taking Institution (ADI) which can be a bank, building society or credit union. When you put your money into a term deposit, your savings are locked for a fixed period (term) and you get a fixed interest rate over that term.
Want to know more? Read on to find out benefits, downsides and what to do when your term deposit is maturing.