Farm Management Deposits


Set aside funds in the profitable years for when you need it most.

Interest rate 4.80% p.a. for 12 months fixed, with interest paid at maturity*

Farm Management Deposits (FMDs) enable primary producers to manage their risks. They allow you to set aside pre-tax income in your good years, then withdraw during low-income years.

Our relationship with Rural Bank means you can access a range of competitive Farm Management Deposit options, including the current 4.8% on a twelve-month fixed FMD Account, an FMD offset or even a Rural Bank ONE FMD online account*.


Individual primary producers (including a partner in a partnership) with a taxable non-farm income of $100,000 or less in the year you make the deposit are eligible. You cannot hold more than $800,000 in total in FMDs.*

To be eligible for taxation benefits, you need to hold funds in your farm management deposit (FMD) for at least 12 months. If you’re switching to Rural Bank from another financial provider, your funds must be transferred electronically. Ask your tax adviser if you qualify.

Choose your term

You can choose from 3, 6, 12, and 24 month terms for fixed rate deposits. 

For variable rate deposits and FMD Offset Accounts your funds are available at call.  To be eligible for tax benefits however, your funds must be held for at least 12 months.

Minimum balance

Fixed rate deposits require a minimum of $5,000, while a minimum balance of $1,000 applies to variable rate deposits and FMD Offset Accounts. The total value of all FMDs held per farmer cannot exceed $800,000. You can have more than one FMD, up to a combined value of $800,000 per farmer.


For fixed rate deposits, interest is paid on maturity for 3 and 6 month terms. For 12 and 24 month terms, interest can be paid monthly, quarterly, or annually. 

Interest on variable rate deposits is paid annually on 1 July. Interest for all deposits is calculated daily on the closing balance. Interest must be credited to another account held in the account holder’s name.

Interest is not payable on FMD Offset Accounts. Instead the FMD Offset allows clients to reduce the interest payable on their linked eligible Rural Bank Term Loan.


You’ll pay no account or transaction fees on fixed rate or variable rate FMDs. 

An FMD linkage fee applies to FMD Offset Accounts.

There are good years and not-so-good years – that’s part of farming. We want an easy way to put aside money in the good years that will help us when things are a bit tougher.

 - Rural Bank client.

Farm Management Deposit Off-set Account

As seasons and prices fluctuate, so does farm income. Rural Bank’s FMD Offset Account gives you more options to manage your farm finances.

Rural Bank's FMD Offset Account allows eligible primary producers to offset capital held in an FMD account against the balance of an eligible Rural Bank variable rate Term Loan, to assist in reducing agribusiness funding costs.

The FMD Offset Account can only be linked to an eligible loan of the FMD owner or their partnership (excludes companies, trusts or a person who is not for the purpose of the primary production business). Refer to your tax adviser about your eligibility. 

FMD Offset Accounts earn no interest. Instead, the FMD Offset facility allows you to reduce the interest payable on your linked eligible Term Loan as every dollar in your FMD Offset Account is used to reduce the principal that the loan interest is calculated on.

Learn more about FMD offset accounts >

Need more information?

To speak to your local Agribusiness Relationship Manager phone 1300 618 367 or complete an enquiry form to receive a call back. 

* Fixed term rate of 4.80% p.a. available from 13 June 2023 and subject to change, interest paid at maturity.

This information has been prepared without taking into account your objectives, financial situation or needs. You should consider your circumstances and whether or not the product is appropriate for you before making a decision to acquire it.

ATO eligibility applies. You should consult a taxation adviser to ensure that you meet the legislative requirements and read the relevant terms and conditions available at your local Elders branch.

Products are issued by Rural Bank – A Division of Bendigo and Adelaide Bank Limited, ABN 11 068 049 178 AFSL 237879 and distributed by Elders Rural Services Australia Limited ABN 72 004 045 121 AFSL 237757. Elders Rural Services Australia may receive a commission from Bendigo and Adelaide Bank Limited based on the average account balance. The target market determinations for farm management deposit products are available on the Rural Bank website

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