Changes effective from August 09
Kiwibank has shaken up its rates once again – effective, August 09.
Its special home loan rate now sits at 2.79% p.a. fixed for two years and its standard rate at 3.64% p.a. for over 80 loan-to-value ratio (LVR). The bank has also changed its minimum equity to 20%.
Specials are also available for First Home Loan customers, and the interest rate for all bridging loans is 1% above Kiwibank’s variable interest rate.
Kiwibank has also made some changes to its term deposits. Its nine-month special of 1.25% for the $10,000+ interest tier ended on August 08 – returning to the previous rate of 0.95%. In addition, interest paid at maturity for nine months for the $5,000-$9,999 interest tier decreased from 1.15% to 0.85%.
Richard McLay, the senior manager for borrowing and savings at Kiwibank, said the changes apply to business, PIE, and retail term deposits.
Read more: Major NZ banks update mortgage rates
Last month, Kiwibank updated its term deposit rates for business, PIE, and retail. It also dropped its two-year home loan rate to 2.49%, and its variable rate changed from 3.4% to 3.75%.
During the same month, other major banks also updated their rates – with ASB increasing its fixed-term mortgage rates and term deposits before the Reserve Bank of New Zealand (RBNZ) announced its latest Monetary Policy Review and official cash rate (OCR) decision.
ASB’s one-year fixed mortgage rate jumped from 2.19% to 2.55%, while its two-year fixed rate increased from 2.59% to 2.95%. Meanwhile, its six-month, 18-month, three-year, four-year, and five-year rates increased by 0.30%.
ANZ increased its one-year rate by 31 basis points to 2.5%, its two-year rate by 31 basis points to 2.9%, and its three-year rate by 25 basis points to 3.24%. Meanwhile, BNZ increased its one-year rate by 36 basis points to 2.55%, its two-year rate by 40 basis points to 2.95%, and its three-year rate by 26 basis points to 3.25%.
Westpac followed in the footsteps of the other major banks, increasing its one-year rate by 36 basis points to 2.55%, its two-year rate by 30 basis points to 2.89%, and its three-year rate by 30 basis points to 3.29%.
