Why invest in a Rabobank farm management deposit?
A Rabobank Farm management deposit (FMD) can help you smooth out the ups and downs associated with the business of agribusiness over the years; set aside pre-tax income in good years for use in those lower income years. We offer you a range of variable, short-term fixed and long-term fixed rate options, depending on your requirements with a minimum opening balance $1,000.
- FMDs are available to primary producers with a taxable non-primary production income of no more than $65,000 in the year of deposit, for investments totalling no more than $400,000 per farmer.
- Total FMD deductions in any year cannot exceed your taxable primary production income for that year.
- Companies, trusts and partnerships are not eligible to hold FMDs. However, they are available to certain beneficiaries of trusts and individual partners of a partnership.
- Minimum withdrawals of $1,000 can be made. However, if the account is being closed, this minimum withdrawal amount does not apply.
Variable FMD
- Competitive interest rates to earn you daily returns
- Interest calculated on the daily closing principal balance and paid quarterly in arrears
- Interest payments and withdrawals direct credited to your nominated bank account
- Tiered interest structure to provide maximum return on your funds
- No transaction fees or service charges (government taxes may apply)
Short-term FMD
- A fixed interest rate for the fixed term of your investment, select 30 to 364 days
- Competitive interest rates to earn you daily returns
- Interest paid on the maturity date you nominate, to suit your cashflow requirements
- Tiered interest structure to provide maximum return on your funds
- No transaction fees (government taxes may apply)
Long-term FMD
- A fixed interest rate for the fixed term of your investment, select one or two years
- Competitive interest rates to earn you daily returns
- Interest paid quarterly, half yearly or yearly in arrears
- Interest payments direct credited to your nominated bank account
- Tiered interest structure to provide maximum return on your funds
- No transaction fees (government taxes may apply)
Other conditions apply to the FMD scheme. Please read the application form for further details.
Rabobank Farm Management Deposits are issued by Rabobank Australia Limited ABN 50 001 621 129 AFSL 234 700. Any tax related information is general in nature and should only be used as a guide. You should consider the relevant Disclosure Documents along with your personal objectives, financial situation and needs and the Farm Management Deposits Terms and Conditions, available at our branches, before making any financial decisions. Rabobank recommends you ask your tax adviser or accountant about any taxation implications before investing in a Farm Management Deposit. Early termination fees apply and other fees and charges may apply.