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Term Deposit Terms and Conditions

Last updated 17 January, 2023

About this document

This document contains information about the Term Deposit Account issued by Alex Bank Pty Ltd ABN 13 627 244 848, Australian Financial Services Licence 510805 (Alex, We, Us or Our).

The terms and conditions that apply to the Term Deposit Account consist of:

You should also refer to the applicable Term Deposit Rate Guide for available Interest Rates.

Before deciding to open a Term Deposit Account, please read each document carefully. If you decide to open an Account, please keep a copy of these documents for future reference. 

We may make changes to each of these documents from time to time in accordance with their terms. Current versions are available from our website www.alex.bank.

Defined terms

The following definitions apply throughout this document, unless otherwise stated:

Account means your term deposit account issued by Alex Bank.

Account Holder, customer or you mean the holder of an Account who has entered into an agreement with Alex to obtain the Account and who is responsible for all transactions on the Account.

Applicable Law means all regulations, laws, rules, codes, and any other statutory requirements that Alex is subject to in relation to the conduct of its business.

APRA means the Australian Prudential Regulation Authority.

ASIC means the Australian Securities and Investments Commission.

At Call product means an alternate deposit account which typically earns a variable interest rate and allows customers to deposit and withdraw funds at any time without providing notice. A Term Deposit is not an At Call product.

Authorised User means a person (including an Intermediary) who may transact on, and/or obtain information from us about, your Account as authorised by you.

Business Day means a day on which Australian banks are open for business in Brisbane, Australia, excluding national public holidays and weekends.

Funding Window means the 7 calendar days starting on the day you open your Account during which time you can fund the Principal amount.

Grace Period means the 7 calendar days starting on the date of reinvestment during which time you can provide updated Instructions.

Instruction means a written instruction you or an Authorised User has given us in relation to the operation of your Account by properly completing and signing a form we provide, or by some other method we agree to accept. In each of these cases the customer remains liable and responsible at all times.

Interest Rate means the applicable interest rate on the Account.

Intermediary means an approved third party who has been authorised by the Account Holder to act as the intermediary between Alex and the Account Holder in respect of the opening and ongoing operation of an Account, in a manner authorised by you.

Maturity Date means the date on which the Term Deposit matures.

Nominated Account means a bank account with an Australian authorised deposit-taking institution nominated by you, where any payments will be made, including the payment of the Principal amount and any interest.

Regulator means a financial services, credit services or authorised deposit-taking institution regulator or other government agency with equivalent supervisory authority or jurisdiction over Alex or its business, and includes, without limitation, APRA, ASIC, the Australian Transaction Reports and Analysis Centre (AUSTRAC) and the Australian Taxation Office.

Alex Term Deposit Account

An Alex Term Deposit is a fixed term investment with a confirmed fixed rate of return.

Features at a Glance

Feature

Term Deposit - Direct

Term Deposit - Intermediary

Distribution Channel

Direct application at www.alex.bank

Application via a deposit Intermediary

Minimum Principal Amount

$5,000

$10,000

Interest Rate

Refer to the Term Deposit Rate Guide - Direct at www.alex.bank

Refer to the Term Deposit Rate Guide - Intermediary at www.alex.bank or from your intermediary

Investment Term

Terms from 1 month to 5 years

Terms from 1 month to 5 years

Interest Type

Fixed interest rate for agreed investment term

Fixed interest rate for agreed investment term

Fees

None

None

Maturity Options

The following options are available:

  • Reinvest Principal and Interest; or
  • Reinvest Principal and Payout Interest; or
  • Payout Principal and Interest.

The following options are available:

  • Reinvest Principal and Interest; or
  • Reinvest Principal and Payout Interest; or
  • Payout Principal and Interest.

Interest Payment Options

The following options are available:

  • At Maturity; or
  • Annually; or
  • Monthly

The following options are available:

  • At Maturity; or
  • Annually; or
  • Monthly

Automatic Reinvestment

If you haven’t selected a maturity option, we will reinvest your balance for the same investment term and interest payment option as the original investment.

It will be reinvested at the prevailing rate at the time of reinvestment which may be lower than your previous Interest Rate.

If you haven’t selected a maturity option, we will reinvest your balance for the same investment term and interest payment option as the original investment.

It will be reinvested at the prevailing rate at the time of reinvestment which may be lower than your previous Interest Rate.

Grace Period

If your Term Deposit is reinvested, you will have 7 calendar days to notify us if you do not want to proceed with the reinvestment.

If you do not wish to proceed you will not be required to give 31 days’ notice and payment will be made to your Nominated Account on the next Business Day.

If your Term Deposit is reinvested, you will have 7 calendar days to notify us if you do not want to proceed with the reinvestment.

If you do not wish to proceed you will not be required to give 31 days’ notice and payment will be made to your Nominated Account on the next Business Day.

Electronic Statements

You will receive a statement every 6 months and at maturity.

You may request a copy of the statement at any time, and we will provide you with a copy within a reasonable period of time.

You will receive a statement every 6 months and at maturity.

You may request a copy of the statement at any time, and we will provide you with a copy within a reasonable period of time.

Risks and Benefits

Our Term Deposits are fixed term accounts that allow an initial deposit of funds to the Account which will be locked in for a fixed period and are paid out at the end of the term (with an early withdrawal exception).

In exchange for your funds being locked in the deposit, you receive a fixed rate on your investment. The rate is locked on the day you open your Term Deposit or on the date of reinvestment.

Risks

There is a risk that this type of account may not suit your objectives, financial situation or needs.

If at the time of opening a Term Deposit, you reasonably expect that you will need access to your funds, you may wish to consider a shorter investment term or an At Call product which supports access to funds at any time without giving notice.

A Term Deposit locks your funds for an agreed period of time. Funds cannot be accessed during the fixed investment term without providing advance notice to withdraw of 31 calendar days. In the case of true hardship, this notice period may be waived by us.

If you are suffering hardship at the time of application or reasonably expect that your circumstances will change during the fixed investment term requiring access to your funds, this product is not suitable for you.

While it may be possible to withdraw funds from the Term Deposit before the Maturity Date, this cannot be done immediately. This means that you are not able to access the Principal amount immediately, as you would be able to if the funds were held in an At Call product. If you believe that you will need early access to your funds before the Maturity Date, then a Term Deposit might not be a suitable deposit product.

If you wish to make an early withdrawal, we may make deductions from the relevant withdrawal amount (including an interest adjustment). This is a common feature of term deposit accounts.

As the Interest Rate on the Term Deposit Account is fixed, there is a risk that market interest rates can increase to a rate above the agreed fixed Interest Rate. If that happens the interest amount you receive on your deposit may be less than what you may be able to receive on an At Call product.

You may need to pay tax with respect to income earned in connection with the Term Deposit Account.

If you do not disclose a Tax File Number/Australian Business Number or exemption, we may be obliged to withhold tax at the highest marginal tax rate from any interest payment.

Benefit

A term deposit earns interest that is guaranteed not to change for the investment term.

If market interest rates decrease to a rate below the agreed fixed Interest Rate, then the interest amount you receive on your deposit may be more than what you may be able to receive on an At Call product.

You can choose from a range of investment terms to suit your needs up to 5 years. Available terms will be published in the relevant Rate Guide at the time of investment or reinvestment as the case may be.

Opening an Alex Term Deposit Account

We reserve the right to accept or reject any application for an Account at our discretion.

Account Holder Eligibility

To apply for an Account, you must be:

  • an individual, aged 18 or over and who is an Australian Citizen or Australian Permanent Resident; or
  • a corporation (as defined in Section 57A of the Corporations Act 2001 (Cth)), within the eligible customer types as set out below.

The Term Deposit Account is available to the following eligible customer types:

  • Individual Applicant – where the Account is held in the name of the individual;
  • Joint Applicants (maximum two individuals) – where the Account is held in the name of both applicants;
  • Sole Trader - where the Account is held in the name of an individual holding for the business or trading entity;
  • Trust (maximum one company trustee and/or up to four individual trustees) – where the Account is held in the name of the trustee(s) for the relevant family trust, unit trust or discretionary trust;
  • Self-Managed Superannuation Fund (SMSF) (maximum one company trustee and/or up to four individual trustees) – where the Account is held in the name of the trustee(s) for the registered SMSF;
  • Australian registered company – where the Account is held in the name of a domestic corporation registered with ASIC with a valid ACN and a 'Registered' status on the ASIC register; and
  • any other eligible customer types considered on a case-by case basis and approved by Alex in its sole discretion.

We require that each applicant's residential and postal address (and registered office for corporations) must be in Australia. PO Box addresses are not acceptable.

Each applicant must be an Australian tax resident and, if you are the trustee of a trust, the trust must be a qualifying trust for Australian tax purposes at all times while you are a customer of Alex. Individuals may additionally have tax residency of one, but only one, other jurisdiction which is acceptable to us in our absolute discretion.

If you do not meet these requirements, then you must inform us immediately as it may no longer be possible for us to provide any services or products to you. Where you inform us that you no longer meet these requirements, or where we become aware that this is the case, we reserve the right, at our sole discretion, to close your Account. We may also be required to disclose this information to any other person or a Regulator if required by any relevant Applicable Law.

Nominated Account

You are required to provide us with your Nominated Account details for distribution of Principal and Interest based on your Instruction.

Your Nominated Account must be a valid Australian bank account and the account must be held by you in the same name as your Account.

The Nominated Account must be kept open for the duration of your Account. You must notify us if your Nominated Account is closed or if any of the details change during the investment term.

Joint Account Holders

Unless otherwise stated by us, both joint Account Holders of the Account will have the same authority to provide Instructions to us severally. If we receive Instructions from any one Account Holder, we will consider it to be given on behalf of both Account Holders.

Authorised Users

The Account Holder can nominate an Authorised User(s) who will operate the Account. Each Authorised User will be required to consent to act as an Authorised User and must meet Alex's identification requirements.

Each Authorised User can have Account access such as:

  • information only; or
  • transactional access; or
  • full access on the Account.

You can change the level of access granted to an Authorised User at any time by contacting Alex and giving us Instructions in a form we require.

We may refuse to act on the Instructions of an Authorised User in the following scenarios, and will not be responsible for delays or non-execution of Instructions if we:

  • consider the Instructions to be invalid, unclear, or given without your authority; or
  • identify or are aware that there may be a dispute with an Authorised User. In this case, we may suspend the Account as well.

Where you have appointed an Authorised User, we will not seek your consent before actioning those Instructions.

In case you wish to revoke an authorisation given to an Authorised User, you will need to inform us in writing regarding the revocation of authority and it should be acknowledged by us. Unless this is done, we will continue to accept Instructions from the Authorised User on your behalf. You will be responsible for any transactions made on the Account prior to the revocation of an authority of any Authorised User being notified to, and acknowledged by, us.

Identification

We are required by law to identify any person or entity who seeks to open an Account, along with all related parties to that Account (such as an Authorised User) before that Account is opened. We may, at our sole discretion, decline to open an Account or accept any funds in relation to it if one or more of the proposed Account Holders or related parties, do not meet our identification requirements.

You agree to provide us or any agent of ours, with any documentation and information we reasonably request from time to time in order for us to undertake any actions required to comply with any Applicable Law, including to verify your identity.

Where you have provided information about any Authorised User, or related party, including personal information, you warrant that you have either obtained their consent or have provided them with notice of your disclosure of their information to us, and provided them with a copy of our Privacy Policy available at www.alex.bank.

If we are unable to verify your identity, an Authorised User, or related party, then we may, at our discretion, block access or suspend your Account and any funds will not accrue interest or be disbursed until your identity or that of any Authorised User, or related party has been verified.

You agree to us disclosing any documentation and information to any other person or Regulator if required by any relevant Applicable Law.

Interest on Account

Our Term Deposit Rate Guides set out the Interest Rates we offer by distribution channel.

The interest rate is determined on the date you open or reinvest your Account. We cannot change the Interest Rate applicable to your Account during the fixed term.

Alex may vary the method by which interest is calculated or the frequency with which it is debited or credited. Any such change will be notified to you no later than 30 calendar days before the change takes effect unless permitted otherwise by the Applicable Law or industry codes. Notification may be communicated via an advertisement in the national or local media or by a notice printed on your Account statement or by sending you a written or electronic notice.

How we pay interest

Interest will be paid out to your Nominated Account monthly, annually or at maturity based on your Instructions provided at application.

If interest is due on a non-Business Day, it will be processed on the same day by us and it will be credited to your Nominated Account on the next Business Day. Depending on your bank, there might be a delay in those funds reaching your Nominated Account.

How interest is calculated

Simple interest is calculated daily on the closing balance in the Account from the day the Account is opened.

What rate we use

The Interest Rate applied is a fixed rate as at the date you open or reinvest your Account as quoted per the relevant Term Deposit Rate Guide effective on that day.

Where funds are progressively added during the Funding Window or Grace Period, the rate applied remains the rate as at the open date or date of reinvestment.

We may offer different investment terms and Interest Rates depending on the distribution channel you used to open your Term Deposit:

From time to time, we, in our sole discretion, may provide customers an additional temporary Interest Rate margin which will expire at the end of the Account investment term. If an additional Interest Rate margin is available for your Account, it will be confirmed by us at the time of application.

At Reinvestment

If you instruct us to reinvest your Term Deposit at maturity, we will automatically renew your Account.

The new Account will be subject to the interest rate applicable on the date of reinvestment, being the date that the new term deposit commences and this rate:

  • may not be the best Interest Rate available on that date, there may be other terms available with more competitive rates; and
  • may be higher or lower than the Interest Rate on your previous investment term.

You can view all available Interest Rates at www.alex.bank or contact your Intermediary to discuss the Interest Rates available.

Tax File Number/Australian Business Number and Withholding Tax

All bank accounts earning interest are subject to taxation in accordance with the Applicable Law. Please consult your tax adviser or the Australian Taxation Office for more information.

You are not required by law to provide us with your Tax File Number (TFN) and/or Australian Business Number (ABN). However, if you choose not to quote your TFN/ABN or details of an available exemption, we may be obliged to deduct withholding tax from the interest earned which is generally calculated at the highest marginal tax rate plus Medicare levy. In accordance with the Privacy Act 1988 (Cth), we will keep your TFN confidential.

If you are a tax resident of an overseas jurisdiction, we may be required to collect additional information and to disclose information about you and your tax residency to relevant taxation authorities. If you or your joint Account Holder become a non-resident for taxation purposes after your Account is opened, the non-resident is required to notify us of their country of residence and we may be obliged to deduct the applicable non-resident withholding tax from the interest we pay on your Account.

Operating a Term Deposit Account

Making Deposits

Once your Account is open, you will have a period of up to 7 calendar days to fund your Account, this is known as the Funding Window. The Funding Window will expire at the earlier of the full Principal amount being reached or close of business on the 7th calendar day.

No additional deposits will be accepted after the Funding Window expires.

Please be aware, any payment made on a non-Business Day might not reach your Account on time.

You can fund your Account by electronic funds transfer using the following details:

  • Alex Bank BSB number (259-000)
  • your term deposit Account number or such other account provided by us to your Intermediary

At expiry of the Funding Window, we will compare the balance in your Account to the Principal amount agreed when you opened your Account, and the following will apply:

  • If your account balance equals the Principal amount, we will confirm your Term Deposit.
  • If your account balance exceeds the Principal amount (overfunded), we may at our sole discretion choose to:
    • return any overfunded amounts in excess of the Principal amount to your Nominated Account and proceed with the Term Deposit at the Principal amount; or
    • accept the overfunded account balance and proceed with the new Term Deposit at the higher Principal amount.
  • If your account balance is less than the Principal amount (underfunded), we may at our sole discretion choose to:
    • close your account and return all funds to your Nominated Account; or
    • accept the underfunded account balance and proceed with the new lower Principal amount.
  • If your Account has a zero balance, it will automatically close.

We will issue a Confirmation Notice confirming the details of your new Term Deposit accepted by us.

Where we choose to the accept an overfunded or underfunded balance, the new Principal Amount will be confirmed at the end of the Funding Window, and we will not change any other terms of the original Instruction.

What happens on the Maturity Date?

When you open your Account, we will ask you for Instructions telling us to do one of the following at Maturity:

Maturity Options

On the Maturity Date...

Reinvest Principal and Interest

your balance including the Principal amount and Interest less any outstanding fees/charges will automatically be reinvested.

Reinvest Principal and Payout Interest

the Principal amount less any outstanding fees/charges will automatically be reinvested, and Interest will be paid to your Nominated Account.

Payout Principal and Interest

the Principal amount plus any Interest less any outstanding fees/charges will be paid to your Nominated Account.

At reinvestment, you are taken to have opened a new Term Deposit Account and we will apply the relevant Interest Rate of the day for the term and interest payment option. This Interest Rate may be lower than the previous Interest Rate on your matured Term Deposit.

Where you provide reinvestment Instructions, you can specify the reinvestment term before the Maturity Date or within the Grace Period by giving us your Instructions which may include a change in the investment term or adding funds at reinvestment.

If we have not received Instructions from you by the Maturity Date, we will reinvest the balance of your Account for the same term and interest payment option as the maturing deposit.

If we are required to pay out funds, we will make payment to your Nominated Account. If the Nominated Account is closed at the time of payment, we will make reasonable efforts to contact you and we will hold those funds in a non-interest-bearing account of our choosing. We will initiate the payment again once you provide a valid Nominated Account.

If the Maturity Date falls on a non-Business Day, and funds are to be reinvested, it will be processed on the same day by us.

If the Maturity Date falls on a non-Business Day, and funds are to be paid out, it will be processed on the same day by us and it will be credited to your Nominated Account on the next Business Day. Depending on your bank, there might be a delay in those funds reaching your Nominated Account.

No interest will accrue between the Maturity Date and processing date.

You can let us know if you wish to update your maturity Instructions at least one Business Day prior to your Maturity Date.

We will issue a Maturity Notice to remind you of the upcoming maturity of your Term Deposit. If funds are reinvested with us on the Maturity Date, we will also issue a Rollover Notice to confirm the details of your reinvested Term Deposit.

Grace Period

If you provide an Instruction to reinvest or your Account automatically renews on the Maturity Date, you will have 7 calendar days from the date of reinvestment to make changes, this is known as the Grace Period.

During this time, you can request to close your Account without incurring an Interest Adjustment, top-up your account by making additional deposits or change the investment term or interest payment option.

When you agree to top-up your account during the Grace Period, the treatment of overfunding and underfunding described in the Making Deposits section related to the Funding Window will apply equally to the Grace Period.

At the end of the Grace Period, if your Instructions have changed, we will reissue the Rollover Notice, which will reflect the amended agreed terms.

Early Withdrawals

We do not allow partial withdrawals on Accounts, including where one or more amounts are deposited into your Account accidentally during the Funding Window or Grace Period.

If you need to withdraw all funds from the Account before the Maturity Date, you will need to give us 31 calendar days’ advance notice in writing unless financial hardship applies. The notice period starts on the day you request the withdrawal.

If you have less than 31 calendar days remaining on your current investment term, the earliest you’ll be able to access your funds is on the Maturity Date.

If you withdraw your funds prior to maturity, we will apply an Interest Adjustment.

The Interest Adjustment is calculated as follows:

Percentage of the investment term elapsed as at the early withdrawal date

Reduction to be applied as a percentage of your term deposit interest earned

Less than 20%

90%

20% >= and < 40%

80%

40% >= and < 60%

60%

60% >= and < 80%

40%

80%>= and <=100%

20%

If the payment date falls on a non-Business Day, payment will be made to your Nominated Account on the next Business Day. Depending on your bank, there might be a delay in those funds reaching your Nominated Account.

Important note

If interim interest has been distributed (e.g. monthly or annually) and there is insufficient interest accrued to recover the adjustment at early withdrawal, we may recover it from the Principal Amount at payout.

Example:

You have a Term Deposit of $10,000 invested for a period of 6 months (180 days) at 1.00% per annum with interest paid at maturity. If the date that we allow you to withdraw your deposit is 4 months (120 days) into the term, the proportion of the term completed is 67% (120/180 days x 100). From the table above, you can determine that the interest adjustment is 40% of the interest earned.

Interest earned for 120 days      

Principal x Interest Rate per day x Number of days

=$10,000 x 1.0/100 x 1/365 x 120

= $32.88.

Interest Adjustment

= 40% of $32.88.

= $13.15

Interest to be paid

= $32.88-$13.15

= $19.73

Interest earned is interest that has accrued plus any interest that has been paid.

Hardship - Early Withdrawal

The Interest Adjustment set out above will not apply if you are suffering hardship.

Requests for early withdrawal due to hardship are assessed by us on a case-by-case basis. We may ask you to provide reasonable documentation to support your request for hardship.

Fees and Charges

Fees

There are currently no fees or charges payable to us on the Account.

Alex may introduce or vary fees and charges. If the change results in an increase to fees and charges, this change will be notified to you no later than 30 calendar days before the change takes effect, unless permitted otherwise by an Applicable Law or industry codes.

Notification may be communicated via an advertisement in the national or local media or by a notice printed on your Account statement or by sending you a written or electronic notice.

Government charges

Any government charges or duties you must pay for using the Account will be due on your term deposit Account and taken from your Account at the end of the investment term (either during pay out or during reinvestment) and shown on your Account statement. These charges may vary according to State or Territory.

As of the date of this document, there are no applicable government charges, but this may change from time to time. We will tell you about the introduction or change to government charges reasonably promptly after the government notifies us (however, we do not have to tell you about if the government publicises the introduction or change).

General terms and conditions

Access, freezes and holds on your Account

We can place and maintain a freeze on your Account, or a hold on funds in your Account and may perform these actions without giving you notice, if:

  • the Applicable Law says we can or must;
  • we are aware of a dispute concerning the Account or transactions conducted on it;
  • we think you or an Authorised User are or may be exposed to liability or the risk of liability;
  • we have a reasonable belief that another person may have an entitlement to some or all of the funds in the Account;
  • we have a reasonable belief that funds in your Account were transferred or deposited in error;
  • we have a reasonable cause for suspicion or concern in relation to your Account or funds in it;
  • you die; or
  • we think it necessary in order to protect our interests.

If we decide to place a freeze or hold on your Account, we can block or suspend all transactions or types/categories of transactions.

Account Closure by us

In addition to any other rights to close your account we have as set out in these Terms and Conditions, we can close your Account at any time and in our discretion in order to protect our legitimate business interests. Some reasons we may close your account include if:

  • you breach the Terms and Conditions applying to your account;
  • you act in a threatening or abusive manner towards our staff or the staff of organisations with which we have a business relationship;
  • your conduct is unsatisfactory or for any other reason we reasonably deem appropriate, such as an account being used for an illegal purpose; or
  • the continued operation of your account may be unlawful for you or us.

We will not close your account merely because there is a fall in market interest rates for term deposits.

Unless there are exceptional circumstances, we will give you at least 30 calendar days’ prior notice before closing your account when the standard Terms and Conditions of the account permit us to do so.

If your account is closed:

  • these Terms and Conditions continue to apply, as far as they can sensibly be applied; and
  • we can either transfer any credit balance in your account to another account nominated by you or send you a cheque for the amount of the credit balance, and in either of those cases we have no further liability to you for the credit balance.

Where your Account is closed prior to maturity, we will pay interest up to the date of closure, and otherwise in accordance with these Terms and Conditions.

Anti-money laundering and counter-terrorism financing

Under anti-money laundering and counter-terrorism financing laws (called AML/CTF laws, such as the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 in Australia), we may be required to:

  • collect information about you;
  • disclose information relating to you or your Account to Australian and overseas Regulators and others;
  • stop, prohibit, delay, block or freeze some transactions;
  • close your Account or deal with it in a way required by the AML/CTF laws; and
  • take other actions required by the AML/CTF laws.

You promise us that you will not breach any AML/CTF laws in relation to your Account, and nor will any Authorised User.

You agree that if we think that the AML/CTF laws require us to take an action regarding you or your Account:

  • we can take that action (regardless of anything else in these terms and conditions); and
  • you cannot recover from us any loss or expense resulting from our doing so.

You also agree that if anything that you or an Authorised User do in relation to your Account exposes us to a liability under AML/CTF laws, you will satisfy that liability.

Changes to Terms and Conditions

We may vary these terms and conditions from time to time. Variations with respect to interest, fees and charges are covered above.

For other variations, where the variation is or may be adverse to you, Alex will provide you with at least 30 calendar days’ prior notice.

Where permitted by the Applicable Law or industry codes, we may reduce the notice period or provide no notice period where the variation is necessary to comply with the law, protect our systems, prevent criminal activity or to mitigate a material increase in credit risk or loss.

Notification may be communicated via an advertisement in the national or local media or by a notice printed on your Account statement or by sending you a written or electronic notice.

Privacy and confidentiality

Your privacy is important to us. We only collect, use, store and disclose your personal information in accordance with the requirements of the Applicable Law and our Privacy Policy.

We will make reasonable efforts to keep any such information that we have about you secure and to ensure that any of our employees or agents who have access to information about you do not make any unauthorised use, modification, reproduction, or disclosure of that information. You should notify us if any of your personal information changes.

You can request access to your information held by us by contacting us in accordance with the procedures set out in our Privacy Policy. Our Privacy Policy contains information about how you may complain about a breach of the Privacy Act 1988 (Cth), and the process by which your complaint will be handled. Please refer to our Privacy Policy for full details of the above.

Right to combine accounts

Alex may apply the balance of your Term Deposit Account towards the repayment of any debt that you owe to Alex where we reasonably consider it is in our legitimate interests to do so, unless prohibited by the Applicable Law or industry codes. We will promptly inform you if we have done so, but we do not need to give you notice in advance.

Change of details

You should notify us promptly of any changes to your contact details or in relation to your Account. Alex is not responsible for any errors that occur as a result of your failure to do so.

Responsibility and Liability

You and not Alex are responsible for the consequences, including any resulting loss or expense, if you or an Authorised User:

  • use, or transact on, your Account;
  • breach these terms and conditions;
  • act negligently or fraudulently;
  • initiate a transaction that is dishonoured, returned or cannot be processed;
  • breach any law or legal obligation (including a legal obligation arising under the common law);
  • make any error when entering data or giving us information to identify the payee, account or recipient of a payment or funds transfer or in specifying the amount of the payment or funds transfer; or
  • initiate a payment or funds transfer through Electronic Banking or in some other way and we process the transaction by reference only to the BSB and account number entered by you or provided to us and it later turns out that either of those details was wrong.

Additionally, if:

  • we exercise our rights under these terms and conditions or under any law or legal principle (including a legal principle arising under the common law);
  • you do not give us up to prior notice as set out above before funds are able to be withdrawn or transferred from your Account on your Instruction or by your authority;
  • Electronic Banking is unavailable because of the failure of a communication network or ancillary equipment not controlled or provided by Alex;
  • there is a failure or error in your own hardware (including computer equipment or a telephone) or software used to access Electronic Banking;
  • there is a corruption of data or error to or with your hardware (including computer equipment or a telephone) while you are using Electronic Banking; or
  • we suffer any loss or expense from any of those things, you agree to satisfy that loss or expense.

You also agree that you and not Alex are responsible for the consequences, including any resulting loss or expense, if something else occurs which was beyond our reasonable control.

Postal communication

We may send you notices or other documents to a postal, residential, or registered place of business address that you have provided to us.

Electronic communication

If you provide us with an email address or mobile phone number, you consent to us using them to send you notices or other documents in accordance with your Electronic Communications Consent. Some of our products may be provided on the basis that all communications will be provided to you electronically, unless required otherwise by law or applicable codes.

As such, if you do not consent to receiving communications electronically through Electronic Banking or otherwise in accordance with your Electronic Communications or withdraw your consent, Alex may decline your application or close your Account.

Electronic communications must be regularly checked for notices from us. You also agree that we are entitled to rely upon and accept any information or documentation that you send to us by electronic communication as an original document or communication from you to the extent necessary. Please refer to the Electronic Communications Consent for more details.

Jurisdiction and governing law

These terms and conditions are governed by the law of Queensland and each party submits to the non-exclusive jurisdiction of the courts exercising jurisdiction in Queensland.

Deceased Estate

Alex’s first responsibility is to ensure that any funds in your Account are dealt with appropriately.

If your Account is in a single name and you die, upon satisfactory notification of your death we will place a freeze on your Account.

During the period in which your Account is frozen, transactions cannot be performed on your Account except that we may agree to a withdrawal of funds from one or more of your Accounts for the payment of your funeral expenses.

We will usually only release funds from your Account in accordance with a Grant of Probate or Letters of Administration.

If a Grant of Probate or Letters of Administration have not been obtained, we will consider the release of funds from your Account in accordance with our internal policy. In this case, we will need to seek information from the executors of your Estate and we reserve our rights to seek reimbursement of our reasonable administration costs.

Death of a joint account holder

If your Account is in joint names, the surviving joint Account Holder(s) automatically take the deceased's share of funds in the Account and we will treat the surviving Account Holder(s) as the Account Holder(s). We may place a freeze on a jointly held Account once we are notified of the death of one of the joint Account Holders should we have any concerns as to who is entitled to the funds in the Account or to operate the Account.

Trust accounts

If you hold an Account as a trustee, you promise us that in opening and transacting on the Account (and in nominating Authorised Users) you:

  • have the power to do those things, as well as to bind yourself to these terms and conditions; and
  • do so for the benefit of the trust and any beneficiaries of the trust.
Severability

If any of these terms in this document are held to be invalid, illegal, unlawful, or otherwise incapable of being enforced, all other terms in this document will remain in full force and effect.

No Assignment

Your rights and obligations under these terms and conditions are personal to you, and you must not assign, transfer or otherwise dispose of any or all of your rights and/or obligations under these terms and conditions. We may assign or transfer or otherwise dispose of our rights and/or obligations under these terms and conditions by providing the transferee is an ADI and Australian financial services licensee. You may close the Term Deposit Account in accordance with these terms and conditions following such a dealing.

Contact us 

You can always reach us via phone and email during our business hours. Our contact details are: 

Phone: 13 ALEX or 1300 738 453

Email: help@alex.bank

Feedback and complaints

Our internal dispute resolution scheme 

We hope you are delighted with our services, but if you wish to make a complaint, you can notify us in the following ways: 

We will acknowledge your complaint promptly, either verbally or in writing, and do our best to resolve it straight away.

We may refer your complaint internally. If this happens, we’ll let you know and give you the direct contact details for the team member who will be managing your complaint.

If we can’t resolve your complaint within 5 Business Days, our response will be provided in writing.

We aim to resolve all complaints within 21 calendar days, especially if it involves financial hardship. However, in some cases it may take up to 30 calendar days. Your complaint may take a little longer to assess if we need more information or if your complaint is complex. In all cases, we’ll keep you updated on the progress.

The Australian Financial Complaints Authority (AFCA)

If you are not satisfied with our response, you may lodge a complaint with the Australian Financial Complaints Authority (AFCA). AFCA provides free and independent financial services complaint resolution and can be contacted on:

Website: www.afca.org.au

Email: info@afca.org.au

Phone: 1800 931 678 (free call)

Mail: GPO Box 3, Melbourne VIC 3001

Time limits may apply to complain to AFCA and so you should act promptly or otherwise consult the AFCA website to find out if or when the time limit relevant to your circumstances expires.

Financial Claims Scheme

The Australian Government's Financial Claims Scheme (FCS) protects people's deposits in the unlikely event that an Authorised Deposit Taking Institution (ADI) fails. The FCS protects money held by an accountholder with an ADI, whether in one or more accounts, up to a total value of $250,000.

The FCS can only come into effect if it is activated by the Australian Government when an institution fails. Once activated, the FCS will be administered by APRA. In an FCS scenario, APRA would aim to pay the majority of customers their protected deposits under the FCS within seven calendar days.

More information can be found at https://www.fcs.gov.au.