Judo Bank vs ING: Which Is Better for a 2-Year Term Deposit?

Both Judo Bank and ING are popular choices for Australian savers looking beyond the Big Four. But when it comes to a 2-year term deposit, the difference between them is significant — and the better choice depends on more than just the headline rate.

The Rate Gap

Judo Bank has consistently offered a significantly higher rate than ING on 24-month term deposits — often by 0.50% or more.

Interest Payment Options

This is where the two banks diverge further.

Judo Bank gives you a choice: take interest annually or monthly. The monthly option pays slightly less. The monthly option pays slightly less, but for savers who want steady cash flow, it's a genuine option.

ING pays interest at maturity only on its 24-month term. That means you wait the full two years to receive any interest. For some savers that's fine; for others managing cash flow, it's a constraint worth knowing about.

What About Shorter Terms?

If you're weighing whether to lock in for two years at all, here's how both banks compare at shorter terms:

• 6 months: ING is often marginally ahead or level with Judo at shorter terms.
• 12 months: Judo typically leads, though the gap is moderate.
• 24 months: Judo pulls ahead noticeably — this is where the gap is widest.

ING is most competitive at shorter terms. Beyond 12 months, Judo's rates tend to pull ahead — and that gap typically widens at the 2-year mark.

Are Both Banks Safe?

Yes. Both are authorised deposit-taking institutions (ADIs) regulated by APRA. Both are covered by the Australian government's Financial Claims Scheme, which protects deposits up to $250,000 per account holder per ADI. Your money is as safe at Judo or ING as it is at any major bank.

Judo Bank launched in 2019, originally focused on SME lending. It expanded to retail term deposits because it needs stable, predictable funding — which is why it consistently offers above-market rates to attract retail savers. The model is straightforward and well-understood.

ING has operated in Australia since 1999 and is part of the global ING Group. It's a well-established institution with a long track record in Australian retail banking.

What Judo Bank Doesn't Offer

Judo Bank is a specialist bank — it does term deposits and business lending, and not much else. There's no transaction account, no savings account, no debit card. If you want to keep your everyday banking and your term deposit under one roof, ING can offer that (its Orange Everyday and Savings Maximiser accounts are widely used). Judo cannot.

This matters for the mechanics of opening a term deposit. With ING, you can fund a term deposit directly from an existing ING account. With Judo, you'll need to transfer funds from an external account — straightforward, but worth knowing.

Early Withdrawal

Neither bank makes it painless to break a term deposit early. Both will reduce the interest rate you receive if you need to access your money before maturity — the standard industry practice. If there's a real possibility you'll need the funds before the 2-year mark, a shorter term (or a savings account) is a safer structure.

How to Choose

For a 2-year term deposit, Judo Bank has typically offered the higher rate — and when the gap is 0.50% or more, the extra interest over 24 months is substantial enough to justify opening a new account.

ING is more competitive at shorter terms. If you're not committed to a 2-year lock-in, the comparison is closer — check both lenders' current rates before deciding.

This is general information, not financial advice. Consider your own circumstances — including whether you can genuinely lock funds away for the full term — before opening any term deposit.

To compare current rates across all lenders, including Judo Bank, ING, Rabobank, and the Big Four, see the RatePulse rate table.