After playing at for the Eastern Suburbs Roosters, Matterson moved to Brisbane to be part of the Broncos' inaugural 1988 team. Playing at and being the team's goal-kicker, Matterson scored 24 points in the Broncos' first ever match in the opening round of 1988 against the previous year's premiers, the Manly-Warringah Sea Eagles. This would stand as the record for most individual points in a Broncos game for over fourteen years. In 1989 Matterson represented New South Wales in the State of Origin, playing against many of his Broncos' teammates. He was also named player of the series for the 1989 Panasonic Cup tournament. Matterson went on to play in the Broncos' inaugural grand final victory in 1992. In the weeks following the grand final he travelled with the Broncos to England, where he played at lock forward in the 1992 World Club Challenge against British champions Wigan, putting in a man-of-the-match performance to help Brisbane become the first NSWRL club to win the match in Britain. Matterson helped Brisbane to their second consecutive premiership in 1993, scoring a try in the Grand Final against St George. Matterson joined the in 1995. At the time he was the Brisbane club's top point-scorer, as well as record-holder of most points scored in a single match. During the 2007 season at the Brisbane Broncos' 20-year anniversary celebration, the club announced a list of the 20 best players to play for them to date which included Matterson. Matterson also was inducted into the Brisbane Broncos official Hall of Fame.
Coaching
Terry Matterson coached English Super League club the Castleford Tigers from 2005. Matterson expressed interest in taking over from Wayne Bennett as coach of the Brisbane Broncos at the end of the 2008 National Rugby League season. Matterson stayed with the Castleford Tigers after they were relegated in 2006. He guided the team straight back up to regain its place in the Super League. Matterson then signed a new 3-year deal to stay at the Castleford Tigers. Matterson guided the Castleford Tigers to 7th place in Super League 2009. The club's first play-off finish since 2002. They faced Wigan Warriors at the DW Stadium and lost 18–12 with Joe Westerman scoring 8 points. Pressure grew on Matterson during 2010 after the Castleford Tigers lost to Barrow Raiders at home in the challenge cup. Several hundred supporters gathered at the back of the main stand and vented frustration at Matterson and the club's board. Matterson and the team went on a rough patch but turned it around and only just missed out on a second play off appearance in two years by losing out to St. Helens in the final league game of the season. Matterson hoped to improve the Castleford Tigers further in 2011 which would be his last season with the club. In 2011, Matterson was named as the assistant coach of the Exiles, a team made up of Australian and New Zealand players contracted to Super League clubs. The Exiles played against the England in June 2011 in the Rugby League International Origin Match, a fixture that is intended to become an annual contest in the future. Matterson will be assisting the Head coach of the RL Exiles, Brian McClennan. Matterson announced on 4 July 2011 that it would be his last season at the Castleford Tigers and he would leave the club at the end of that year. This took him to 6 years at the Castleford Tigers. Matterson will go back home to Australia to become assistant coach of the North Queensland Cowboys for 2012. For their 2013 Rugby League World Cup campaign, the United States appointed Matterson as coach for the tournament.
Career Stats
NRL
Personal life
In January 2010, Matterson lost his left ring finger in a training accident where his wedding ring snagged on a fence. Surgery to re-attach the finger was unsuccessful, however Matterson seemed unaffected by the trauma, continuing to coach the Castleford Tigers the next week. His older brother Greg Matterson became the head coach of New South Wales Cup side Newtown Jets. Matterson is the uncle of Wests Tigers' Ryan Matterson.