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RaboPlus says it has successfully tested what is believed to be a New Zealand first - the term deposit equivalent of Air New Zealand's Grabaseat website.
The website www.bankarate.co.nz offers a limited number of exclusive term deposit rates that were typically between 0.25 per cent and 0.5 per cent higher than comparable offerings from the major banks, on a "first in, first served" basis, said RaboPlus general manager Mike Heath.
The first set of rates offered under the promotion went within 36 hours and a new set of rates would be launched this week, he said.
The site was open to both existing and new investors but RaboPlus was hoping the website would allow it to pick up new business.
Heath said the last year had been a competitive time for rates on retail bank deposits as the Australian banks had switched their attention towards raising money from the public.
Meanwhile, RaboPlus' Cash Portfolio Investment Entity (PIE) product, the Cash Advantage Fund (CAF), has exceeded the $500 million milestone - making it the seventh largest single fund in New Zealand, Heath said.
The CAF was set up jointly by RaboPlus and AMP Capital Investors in response to the tax benefits resulting from the PIE regime, introduced in October last year.
The CAF has tax capped at 30 per cent and it had been designed to provide investors with an investment similar to an on-call bank deposit.
Heath said the CAF had yet to be approved for the Government's deposit guarantee scheme but he was confident of that occurring in the next few weeks.
He said cash PIEs were eligible for the scheme but had taken longer to get approval because unlike straight bank deposits they had to have a prospectus and any changes also required changes to the product's trust deed and prospectus.
Heath expected the first cash PIEs to become approved under the scheme by Christmas.
- NZPA
