skip to content
RaboDirect
 

Frequently Asked Questions

You can find answers to your questions quickly and easily by reading our frequently asked questions

Send us a message

What is happening with my Term Advantage Fund?

Share
  • As of 3 October 2017 no further investments can be made into TAF
  • There will be no change to any TAF investments you currently have in place, the full term and interest rate will still be honoured (unless you request to break your TAF investment before maturity)
  • As per the standard process for TAF, at the end of the 2017/18 tax year (if any TAF investment you hold spans this date), any PIE income accrued since the start of the TAF term will be paid as cash (net of PIE tax) to your RaboSaver account 
  • Any TAF investments you hold with a maturity date beyond 31 March 2018 will then begin accruing PIE income from 1 April 2018 which will repaid to you (net of PIE tax), along with the TAF principal, at the maturity date of the investment
  • If you choose to reinvest the proceeds of your TAF investment into any standard RaboDirect term deposit, we will add 0.25% to the carded rate of the term you choose. Simply give us a call and tell one of our agents that you are a TAF customer. 

To read the full Term PIE Notice, click here (PDF)

Can my business open a RaboDirect account?

Share
The following entities can open business accounts:
  • Body Corporate
  • Maori Authority (company)
  • Incorporated Society
  • Limited Partnership
  • Private Company
  • Public Company
  • Partnership
  • Unincorporated Society
  • Sole Trader
The following entities cannot open a RaboDirect account:
  • Collective Investment Schemes
  • Financial Institutions (including fund managers)
  • Central or Local Government Entities
  • Insurance Companies
If you open a business account, you:
  • agree that you are acquiring the Internet Banking Services for the purposes of a business and that the Consumer Guarantees Act 1993 does not apply, and
  • must have appropriate internal controls to minimise the risks of fraud.

How do I open a RaboSaver for Business?

Share

The first step is to complete our online application form. Click here to get started. 

Here’s a few things you will need:

  • Details of the business e.g. business type, industry, address and IRD number
  • Another NZ bank account in the name of the business
  • Details of the person who will act as authorised signatory
  • Driver licence and passport details for the authorised signatory (if possible)
  • The name, date of birth and address of any Ultimate Beneficial Owners (UBO)
A UBO is any individual who controls, or owns 25% or more of the business.After completing the online application:
  • Print, sign and post the application with the supporting documents to Freepost RaboDirect, PO Box 38567, Wellington 6035
  • Make an initial deposit to activate the account
A checklist will be provided at the end of the application that will list the supporting documents. 

How do I transfer money into a RaboDirect business account?

Share

When you open an account with us you will be asked to provide a nominated bank account (an account in the same name at another bank) and accept our online direct debit authority. This allows you to transfer funds into RaboDirect from this nominated bank account, all within our online banking system. 

You can of course make deposits from any other bank account the business holds, or have other people/organisations deposit funds into your RaboDirect account. Just use the facilities of your other bank or provide your account number to the other party. It is not possible to make cash or cheque deposits. 

To make a transfer from your Nominated Account:
  1. Log into RaboDirect
  2. Click on 'Transfers'
  3. Select the 'From' and 'To' accounts
  4. Enter the amount
  5. Enter the date or select 'as soon as possible'
  6. Confirm the transfer with your Digipass. 

How many RaboDirect Savings Accounts can my business have?

Share

You will be able to open up to five PurposeSaver accounts which allow you to separate your savings alongside your RaboSaver for Business account. You can give them different nicknames to meet your business needs such as 'Tax' or 'Wages'.

To open a PurposeSaver account:
  1. Log into your RaboDirect account
  2. Click 'Savings' then 'Open PurposeSaver account'
  3. Enter a nickname and select the 'Account Owner'
  4. Click 'Confirm'
Note: For legal and tax purposes these accounts will be in the same name as your RaboSaver account. To open an account in a different legal name you will need to complete an application for a new RaboDirect account.

Business account holders can also open our 60 day NoticeSaver account. Click here to find out more about this product.


Who can open and manage a Business account?

Share

Any individual authorised to act on behalf of the business can open and operate the RaboDirect account. Authority is provided by the individuals who are in 'effective control' of the business by way of the application documentation requirements.

This person will be acting as the authorised signatory on the account. They will be issued the Digipass and will have authority to view the account details, initiate transfers and update account information.

There can only be one authorised signatory on a business account but this person can be changed at any time.

How do you change the authorised signatory?

We will need the new signatory to:

  • complete our change of authorised signatory form, and
  • provide certified identification and address evidence.

See our Identity Verification Checklist for identification options and a list of trusted referees who can certify these for you.

Can I cancel a notice instruction?

Share
Yes, a notice instruction can be cancelled at any time up until the last business day before the transfer is due.
  1. Log into RaboDirect
  2. Click 'Transfers' then 'Pending transfers'
  3. Click the 'Actions' button next to the notice instruction
  4. Select 'Cancel notice'
  5. Confirm the action with your Digipass
Note: Once the notice has been cancelled, and if you wish to load a new notice, the 60 day notice period will restart.


Can I have more than one NoticeSaver account?

Share
You can have one NoticeSaver account under each different account type you hold with RaboDirect. For example, if you have an individual account, a joint account, and a business account, you are able to open three separate NoticeSaver accounts.

How does NoticeSaver compare to a Term Deposit?

Share
NoticeSaver is a savings account with a variable interest rate, a Term Deposit is a fixed deposit with a fixed rate and period. 
There are several key differences:
  • The NoticeSaver interest rate is variable - a Term Deposit rate is fixed.
  • NoticeSaver offers access to your money after the required notice period - a Term Deposit has a fixed investment period.
  • NoticeSaver allows you to deposit money into the account whenever you like - a Term Deposit does not.

How do I close my NoticeSaver account?

Share
Before you can close your NoticeSaver account you will need to withdraw all the funds.
To make a withdrawal:
  1. Click 'Transfers'
  2. Select your NoticeSaver in the 'From Account' field
  3. Choose where you would like the funds paid to
  4. Enter the amount
  5. Click continue
  6. Confirm the transfer with your Digipass
Once the 60 day notice period has ended and the funds have been withdrawn, you can call us on 0800 22 44 33 or send a secure message instructing us to close the account by clicking 'My Rabo' then 'Create new message'. We will transfer any interest earned during the 60 day notice period to your RaboSaver account when the NoticeSaver account is closed.

How do I transfer money into my NoticeSaver account?

Share
You can make one off transfers or set up a Regular Savings Plan from your Nominated Account online.
  1. Log into RaboDirect
  2. Click 'Transfers'
  3. Select the 'From' (Nominated Account) and 'To' (NoticeSaver) accounts
  4. Select if you would like a one off or regular transfer
  5. Enter the amount, date and frequency if required
  6. Confirm the transfer
You or any other individual or organisation can deposits funds into your NoticeSaver account. Just use the facilities of your other bank or provide your account number to the other party.


How do I withdraw money from my NoticeSaver account?

Share
Log into your RaboDirect account 60 days before you want access to your funds and create a transfer.
  1. Click 'Transfers'
  2. Select your NoticeSaver in the 'From Account' field
  3. Choose where you would like the funds paid to
  4. Enter the amount
  5. Click continue
  6. Confirm the transfer with your Digipass
On the 'Authorise' page you will see the date the transfer will be processed.
Note: The date may be more than 60 days in the future due to the request being loaded after 4pm on a business day and/or the last day of the notice period falling on a non-business day.


How many notice withdrawal instructions can I place?

Share
There's no limit on the number of notice instructions you can place as long as you have sufficient cleared and available funds in the account.

How often is interest paid on a NoticeSaver account?

Share
Interest is calculated daily and paid on the last business day of each month. You can choose to have your interest paid back into NoticeSaver, or one of your other RaboDirect savings accounts.

What if I need funds in a hurry but haven't given 60 days’ notice?

Share

To make a withdrawal from NoticeSaver you will need to load a transfer request and wait the 60 day notice period before receiving your funds. For this reason, we suggest that you keep some funds in your RaboSaver account in case you need them in a hurry.

If you are suffering from financial hardship, you can apply for the early release of your funds by completing our Financial Hardship Declaration and providing evidence of the hardship. We will consider your application and advise you if it has been accepted.

See the Financial Hardship Declaration for examples of hardship and the type of evidence required.

How do I change my PIR?

Share
You can change your PIR rate at any time by logging into RaboDirect and clicking 'My Rabo', then 'Tax details'.  From this page click the orange 'Actions' button and then 'Change tax details'.

What PIR should I be on?

Share

Just like your RWT rate, your PIR is determined by your taxable income, however it’s a little more complicated. Visit the Inland Revenue website to work out your PIR. 

What is a Portfolio Investment Entity (PIE)?

Share

PIE is a tax regime that was introduced on 1 October 2007 which provides tax benefits to certain managed funds investors. Income from PIE products is attributed to its investors, based on their share of the investment, and taxed at their individual Prescribed Investor Rate (PIR).

As the maximum PIR is 28%, PIE products provide tax benefits to investors in the 30% or 33% tax brackets.

Prior to the regime being introduced, investor’s earnings were taxed at the company tax rate of 33%.

Can I make withdrawals?

Share
Yes. Your funds are on call so you can make withdrawals at any time. Just keep in mind that this may affect your interest rate. 

If your balance on the last business day of the month is not at least $50 more than it was at the start of the month (excluding any interest paid during the month), you will earn interest at the minimum rate. 

For example: You start the month with a balance of $1,000. If you withdraw $200, this drops your balance to $800. You will need to deposit at least $250 by the last business day to bring your balance to $1,050 (opening balance + $50) and earn maximum interest. 

To make a withdrawal:

  1. Log into RaboDirect
  2. Click 'Transfers'
  3. Select the 'From' (PremiumSaver) and 'To' (Nominated) accounts
  4. Enter the transfer details e.g. amount and date
  5. Confirm the transfer with your Digipass

Can I set up a regular transfer into my PremiumSaver?

Share
Yes. You can set up a regular transfer into your PremiumSaver from your Nominated Account. 
  1. Log into RaboDirect
  2. Click ‘Transfers’
  3. Select the ‘From’ (Nominated Account) and ‘To’ (PremiumSaver) accounts
  4. Select regular transfer. 
  5. Enter the amount, date and frequency.
  6. Confirm the transfer.
We recommend you set up a regular savings plan for the 26th of the month, or an earlier date that is convenient to you. Doing this will ensure that the money is received by us before the last business day of the month. 

Can the PremiumSaver interest rate change?

Share

Yes. PremiumSaver interest rates are variable and are subject to change.

How do I close my PremiumSaver?

Share
You are welcome to keep the account open so you can use it again in future. It can stay open at a zero balance and doesn’t incur fees.
To close the account:
  1. Log into RaboDirect
  2. Empty the account using the ‘Transfers’ function
  3. Click ‘My Rabo’ then ‘Create new message’
  4. Confirm in the message you would like to close your PremiumSaver
  5. Click ‘Send’
We will then close the account and pay any remaining interest to your RaboSaver account.

How do I know if I have met the $50 balance increase?

Share
You can check your balance and see if funds need to be added to your PremiumSaver online. 
  1. Log into RaboDirect
  2. Click ‘Savings’
  3. Click your PremiumSaver account number
  4. You will then see your balance, the interest rates and a statement advising if you need to add funds to your account to earn maximum interest
If this says “… you need to increase your balance by $0.00 …” then the $50 balance increase has already been met.

How do I make deposits into PremiumSaver?

Share
The best way to ensure you earn premium interest is to set up a Regular Savings Plan. You can set up a Regular Savings Plan and make one-off deposits from your Nominated Account online. 
  1. Log into RaboDirect
  2. Click 'Transfers'
  3. Select the 'From' (Nominated Account) and 'To' (PremiumSaver) accounts
  4. Enter the transfer details e.g. date and amount
  5. Confirm the transfer with your Digipass
We recommend setting your Regular Savings Plan for the 25th of the month or earlier to ensure the funds are in your account by the last business day. 
To make deposits from an account that is not your Nominated Account, just use the facilities of the other bank.

Is there a cut off time to increase my balance?

Share

You need to increase your previous month-end balance by $50 or more by the last business day of the month.

To make sure you don't miss out on premium interest, we recommend setting up a Regular Savings Plan.

To do this:

  1. Log into RaboDirect
  2. Click 'Transfers'
  3. Select the 'From' (Nominated Account) and 'To' (PremiumSaver) accounts
  4. Select regular transfer
  5. Enter the amount, date and frequency
  6. Confirm the transfer.
We recommend setting your RSP for the 25th of the month or earlier if convenient to you, to ensure the funds reach your account in time.

Is there a minimum or maximum balance on PremiumSaver?

Share

There is no minimum account balance for your PremiumSaver. The maximum account balance is $5,000,000. However, the maximum balance to receive premium interest is $100,000.

Balances between $100,000 and $5,000,000 will earn interest at the RaboSaver rate, providing the monthly balance increase is met. If the monthly balance increase is not met, the minimum interest rate will apply to all funds in the account.

When is interest paid?

Share

Interest is calculated daily and paid to your PremiumSaver account on the last business day of the month. This means the interest will be included in the opening balance for the following month. 

Keep in mind:

  • Interest payments don’t count towards the  minimum $50 balance monthly increase to receive premium interest.
  • If you withdraw the interest, your balance will decrease and you may miss out on premium interest for that month.

Can I download my transactions?

Share

Yes. RaboDirect allows you to download an extract file containing all your RaboDirect Savings Account transactions. This file will be downloaded as a CSV file that can be exported to other file and spreadsheet formats.

To do this:

  1. Log into RaboDirect
  2. Click on 'Savings'
  3. Then, click 'Transactions'
  4. Enter your search details, then click 'Search'
  5. At the bottom of the page click 'Download transactions (csv)'
  6. On the next page click 'Download'

When is interest paid on my RaboSaver for Business account?

Share
Interest is calculated daily and paid to your RaboSaver for Business account after the close of business on the last business day of each month. As such, interest payments will be available to you on the first day of the new month.

Can I have more than one RaboSaver account?

Share

Yes. You can open up to five PurposeSaver accounts which allow you to separate your savings if you have several goals in mind. You can give them different nicknames such as 'Holiday' or 'House Deposit'.

To open a PurposeSaver account:
  1. Log into RaboDirect
  2. Click 'Savings' then 'Open PurposeSaver account'
  3. Enter a nickname and select the 'Account Owner'
  4. Click 'Confirm'

Note: For legal and tax purposes these accounts will be in the same name as your RaboSaver account. To open an account in a different legal name you will need to complete an application for a new RaboDirect account.

Do clearance periods apply to RaboDirect funds?

Share
This depends on how the funds are transferred to your account. 
 
If you transfer funds into your account using the RaboDirect online banking system, a clearance period of three business days will apply. This is because the funds are direct debited from your Nominated Account and we need to ensure that the transaction will not be dishonoured before we make the funds available to you. 

You will start earning interest immediately but you will not be able to transfer the funds until the funds have cleared. 

If funds are transferred to your account using the services of another bank there is no clearance period. The funds will be available to use as soon as they reach your account.

When is interest paid on my RaboSaver or PurposeSaver account?

Share

Interest is calculated daily and paid to your RaboSaver account on the last business day of the month. The payment will be available to you on the first day of the new month.

When is Term Advantage Fund interest and tax paid?

Share
Interest is paid (and PIE tax deducted):
  • on the maturity of the term, AND
  • additionally, if you are invested in the TAF at the end of the tax year (31 March), we will pay out any accrued interest at that point.
 

Can I add funds to a Term Deposit?

Share

Once the term deposit is set up, the details such as the amount, term and interest rate are locked in. You can always open additional term deposits with any balance of $1,000 or more.

Can interest be compounded?

Share
We do not offer compounding interest payments. Interest is paid back to the RaboDirect savings account that credited the term deposit.

However, if you are investing in a term of 1 year or less you can choose to automatically reinvest the term deposit at maturity and capitalise the interest. The interest will automatically be added to the original sum and incorporated in the new term investment.

How do I change my reinvestment instructions?

Share
  1. Log into your RaboDirect account
  2. Click ‘Term Deposits’
  3. Click the ‘Actions’ button next to your term deposit
  4. Select ‘Change Reinvestment Option’ 
  5. Choose your new reinvestment instructions
  6. Confirm the change using your Digipass
You can make changes up until the last business day before maturity.

How do I invest over $5,000,000?

Share

Please call our friendly Customer Contact Centre on 0800 22 44 33, between 8am and 6pm weekdays. They will advise the best available rate and create the term deposit on your behalf.

How many Term Deposits can I have?

Share

During the initial account opening process you are only able to set up one Term Deposit, however, once you receive your Welcome Pack and PIN you are then able to login and create as many Term Deposits as you wish.

I need access to my funds. Can I break my Term Deposit?

Share
We may, at our discretion, allow you to break the term deposit and return the funds to your RaboDirect savings account.

Call us on 0800 22 44 33 or send a secure message with details of the term deposit you wish to break.

To send a secure message, log into RaboDirect and click 'My Rabo' then 'Create new message'. 

We will then contact you to advise if the investment can be broken and if a fee will apply. 

Once we have approved your request to break, and provided you with a break quote, confirmation from you to proceed must be received by 12.00pm on a business day to ensure it is broken that day. 

The funds should be available in your RaboDirect savings account by 5.00pm that evening. From there, you can transfer them back to your nominated account online by clicking 'Transfers'.  




What if my tax rate changes during the Term Deposit?

Share
Tax will be deducted at your new tax rate when the next interest payment is made. For example, if you have a 6 month term deposit and change your tax rate part way through, tax will be deducted at your new rate when the interest is paid at maturity. It is not possible to deduct tax at two separate rates for one interest payment.

When is interest paid?

Share
Interest is calculated daily and paid at maturity for terms of 1-9 months.

For terms of 1-5 years, you can choose to have interest paid monthly, quarterly, six monthly (excluding the 15 month term) or annually.

Interest is paid back to the RaboDirect savings account that originally credited the term deposit. We are not able to pay interest back into the investment or directly to the nominated account.

How do I transfer money into a RaboDirect Trust account?

Share

When you opened the account with us you provided a nominated bank account (an account in the same name at another bank) and accepted our online direct debit authority. This allows you to transfer funds into RaboDirect from this nominated bank account, all within our online banking system. 

You can of course make deposits from any other bank account the Trust holds, or have other people/organisations deposit funds into the RaboDirect account. Just use the facilities of your other bank or provide your account number to the other party. 

As we do not have branches, it is not possible to make cash or cheque deposits. 

  1. To make a transfer from your Nominated Account:
  2. Log into RaboDirect
  3. Click on 'Transfers'
  4. Select the 'From' and 'To' accounts
  5. Enter the amount
  6. Enter the date or select 'as soon as possible'
  7. Confirm the transfer with your Digipass

How many RaboDirect Savings Accounts can my Trust have?

Share

You will be able to open up to five PurposeSaver accounts which allow you to separate your savings alongside your RaboSaver account. You can give them different nicknames to meet the needs of your trust e.g. 'Rental income'.

To open a PurposeSaver account:

  1. Log into your RaboDirect account
  2. Click 'Savings' then 'Open PurposeSaver account'
  3. Enter a nickname and select the 'Account Owner'
  4. Click 'Confirm'

Note: For legal and tax purposes these accounts will be in the same name as the RaboSaver account. To open an account in a different legal name you will need to complete an application for a new RaboDirect account.

Trust account holders can also open our 60 day NoticeSaver account. Click here find out more about this product. 

Who can manage a Trust Account?

Share

Any individual authorised to act on behalf of the Trust can operate the RaboDirect account. This person will be acting as the authorised signatory on the account. They will have been issued the Digipass and will have authority to view the account details, initiate transfers and update account information. 

There can only be one authorised signatory on a Trust account but this person can be changed at any time.