Account Maintenance and Tax

From 1 April 2020 The IRD no longer issues certificates of exemption for RWT.

Instead, your IRD number is added to their online register, which they automatically populate and only identifies customers by their IRD number.

If you had a current RWT exempt status before 1 April 2020, you will have been automatically included on the register unless:

- your exemption has been cancelled, has expired or is revoked
- you are exempt under an Act other than the Tax Acts and have not been approved under another criteria.

You can find out more about the new IRD tax exemption register on the IRD website here.

Rabobank has a legal obligation to collect information about foreign tax residents, and report it to the national tax authorities under the Common Reporting Standard (CRS) and Foreign Account Tax Compliance Act (FATCA).

For more information download our leaflet

Link to the CRS: https://www.rabobank.co.nz/downloads/

The IRD has increased the non-declaration rate from 33% to 45% for RWT on interest income when the payee does not provide their IRD number to the payer. These changes apply to all interest paid from 1 April 2020.

If you have not provided us with your RWT rate you can do so once the account is open by calling us or sending a secure message with your IRD number and tax rate. To do this:

1. Login to your Rabobank Online Savings account.
2. Send us a secure message, by clicking on the envelope icon top right hand side of page.
3. Create a message and send us the IRD number for the account.

To set up a Term Deposit, simply log into Rabobank Online Savings and click on the ‘Accounts’ tab in the left hand navigation then scroll to the bottom of the accounts page and click on ‘Open a new account’. Then follow the instructions, and this will allow you to specify the amount, term (duration), and maturity instructions of the new term deposit.

Please note, before the funds are transferred to the Term Deposit they need to be in one of your Rabobank Online savings accounts. The cut-off time for starting a new Term Deposit is 4pm (NZT) business days.

1. Log in to Rabobank Online Savings
2. Click 'Transfer and pay’ then ‘Upcoming payments’
3. Select the account with the Regular Savings Plan
4. Select the recurring payment
5. Then select ‘cancel’

It is not currently possible to change the date of a transfer online. You will need to cancel it and create a new one.

Changes need to be made at least one business day before the next payment is due.

To change your postal and residential address within New Zealand, along with your other contact details please log into Rabobank Online Savings and select ‘Services and Settings’ and then select ‘Contact details’ then click on ‘edit’ to change your address or contact details. Once you have entered your new contact details, please select ‘Continue’ and authorize using your Digipass.

To change your postal and residential address to an overseas address, please send a secure message. To do this, simply log into Rabobank Online Savings and click on the envelope icon next to the log out button, then ‘Create new message’. Within this message please advise if your tax status should be changed to that of a non-resident and your address in your new country of residence.

We will need the new signatory to:

1. Complete our change of authorised signatory form and provide certified identification and address evidence.
2. See our Identity Verification Checklist for identification options and a list of trusted referees who can certify these for you.
   These documents need to be posted so that we receive the original signature. Our postal address can be found on the form.

Link changes:

Authorised signatory form: https://www.rabobank.co.nz/downloads/
Identity Verification Checklist: https://www.rabobank.co.nz/downloads/

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 Rabobank Online Savings
2. Empty the account using the 'transfer and pay' button
3. Click the envelope icon top right next to log out
4. Then create a new message.
5. Provide the name or suffix of the account you wish to close
6. Click 'Send'

We will then close the account and pay any remaining interest to your RaboSaver account.

To close your account:

1. Transfer your funds back to your nominated account, then
2. Send us a secure message.

Alternatively, you can complete our Account Closure Form. https://www.rabobank.co.nz/downloads/

To send a secure message, log into your Rabobank Online Savings account and click on the envelope icon that is located near the log out button then select 'Create new message'.

Any remaining funds and interest owed will be transferred back to the nominated account.

We would love to hear any feedback you have about Rabobank Online Savings and the reason for closing your account

Transferring funds in

When you open an account with us, you are asked to accept our online direct debit authority. This allows you to transfer funds into Rabobank from your nominated bank account, all within our online banking system.

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

As an online bank, it is not possible to make cash or cheque deposits.

Transferring funds out

When you withdraw funds they must always go back to your Nominated Account.

To make a transfer in or out:

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

You can download tax certificates online.

1. Log into Rabobank Online Savings.
2. Click 'Statements' then 'Tax Reports'
3. Select the account
4. Select the tax report you require
5. Click 'Download' then print.

To open a Term Deposit with Rabobank Online Savings, click on the ‘Apply now’ button and follow the instructions to open a new account.

Please note that when you set up a Term Deposit account we will also set up a RaboSaver account for you.

You can update your details online.

Residential or postal address changes:

1. Log in to Rabobank Online Savings.
2. Click ‘Services and Setting’ then 'Contact Details'
3. Click 'Edit' then 'Change your contact and address details'
4. Confirm the change with your Digipass.

You can only have one nominated account but this can be changed online at any time.

1. Log into Rabobank Online Savings
2. Select ‘Services and Settings’ then 'Nominated Linked Account'
3. Click on ‘Edit’ to change the Nominated Account'
4. Enter your new nominated account details
5. Authorise the change using your Digipass
6. Make a deposit from your new nominated account with the reference 'verify'

Note: Any existing regular or pending transfers will be cancelled. It can take up to three business days for the new nominated account to become active.

To update your IRD number and RWT rate, please send us a secure message.

1. Log into Rabobank Online Savings
2. Go to the envelope icon, located top right next to the log out button
3. Click on ‘New Message’
4. Provide us with the IRD number and new tax rate and send

When you transfer money into your Rabobank Online Savings account please allow 2–3 business days for the funds to clear depending on whether you direct credited the funds to your account or used our direct debit facility. During this period you earn interest at our RaboSaver rate and you are able to create a pending Term Deposit but are unable to move the funds from your Rabobank Online Savings Account/Term Deposit to your nominated bank account. This is due to the sending bank reserving the right to dishonour the funds during this period. To check when the funds have cleared please log into Rabobank Online Savings and from the internet banking account page look at the available and total balances.

We don’t post statements but they are available to download online at any time.

1. Log into Rabobank Online Savings
2. Click on 'Statements'
3. Select the account
4. A list of statements for each month will be available
5. Click on the PDF statement to open and print.

If you are moving overseas we can update your tax status to that of a non-resident and apply the appropriate non-resident tax rate.

To arrange this, send us a secure message with the following:

• A statement that you are a non-resident of New Zealand for tax purposes.
• Confirmation of the country where you are now living.
• Your overseas residential address.

To send a secure message, log into Rabobank Online Savings and click onto the envelope icon to 'Create new message'.

You can also update your email address and phone numbers via the services and settings section.

1. Click ‘Services and Settings’
2. Select ‘Contact details' and then edit button
3. Update your new details
4. Confirm the change with your Digipass

Just complete our Change of Name Form and post this to us along with the required supporting documents.

Link to the Change of Name Form: https://www.rabobank.co.nz/downloads/

If you are living overseas we can update your tax status to that of a non-resident and apply the appropriate non-resident tax rate.

So that we can do this, send us a secure message with the following details:

1. A statement that you are a non-resident of New Zealand for tax purposes.
2. Confirmation of the country where you are now living.
3. Your overseas residential address.

To send a secure message, log into Rabobank Online Savings and click on the ‘envelope icon’ then 'Create new message'

We do not offer the Approved Issuer Levy scheme.

Effective from 1 April 2020 we are now required to provide The IRD with monthly reporting (prior to 1 April 2020 this was only required annually). We are also required to provide more detailed information on the account holders. For joint account holders we need to report both holders separately, however we do not need to split the income - IRD will do this and you can amend the split IRD applies by logging into MyIR and adjusting them yourself.

You can still open an account for the child, but the Resident Withholding Tax rate will be set at the maximum rate of 45%.

Once the account is open, you can call us or send a secure message with the IRD number and tax rate.

To do this:

1. Login to your Rabobank Online Savings account.
2. Send us a secure message, by clicking on the envelope icon top right hand side of page.
3. Create a message and send us the IRD number for the child’s account.

Resident Withholding Tax (RWT) is the tax deducted from any investment income you receive. We deduct RWT from your interest payments and pay this to Inland Revenue on your behalf.

When you become a Rabobank Online Savings customer, you are asked to select a RWT rate. You can amend this tax rate at any time.

Please note, effective from 1 April 2020, The IRD has changed the non-declaration rate for RWT from 33% to 45%.

Your RWT rate is determined by your annual taxable income. Here are the current tiers from the Inland Revenue website.

If your taxable income is $0 - $14,000 – your RWT rate is 10.5%

If your taxable income is $14,001 - $48,000 – your RWT rate is 17.5%

If your taxable income is $48,001 - $70,000 – your RWT rate is 30%

If your taxable income is $70,001 and over 33% – your RWT rate is 33%

Please note, effective from 1 April 2020, The IRD has changed the non-declaration rate for RWT from 33% to 45%.

Although your child might not be working, interest payments are still considered a form of income. We are required to deduct tax from this interest and pay it to Inland Revenue on the child’s behalf.

1. If both IRD numbers are provided – the IRD number and tax rate of holder with highest rate is used. 
2. If both IRD numbers are provided, with the same tax rate – the IRD number and tax rate of primary holder is used (the person whose details were entered first on the original application). 
3. If no IRD numbers are provided – the account will be taxed at the maximum “non declaration” rate, currently 45%. 
4. If only one IRD number is provided – that person’s IRD number and tax rate will be used.