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ASB the latest bank to trim its term deposit rate offers as banks keep pushing rates down

ASB the latest bank to trim its term deposit rate offers as banks keep pushing rates down

ASB has trimmed all its term deposit rates for all terms from 6 months to five years.

All these changes represent -10 bps reductions except for 3 and 4 year terms where the reduction was only -5 bps.

ASB's move follows yesterday's cut in some 'special' mortgage rates (and the withdrawal of others).

All the banks in our list below have an investment grade credit rating.

Rate reductions have generally flowed through comprehensively now so who is offering the best rates in this new lower matket is clearer to see.

Consistently, Heatland Bank is making the highest offers in the $20,000 or less tier levels.

Among the major banks, Kiwibank has the higher rate card although their advantage is slim.

One way to embellish after tax returns is to consider using the PIE fund offers most banks have.

Use our deposit calculator to figure exactly how much benefit each option is worth; you can assess the value of more or less frequent interest payment terms, and the PIE products, comparing two situations side by side.

All term deposit rates for all institutions for terms less than one year are here, and for terms one-to-five years are here.

Term PIE rates are here.

This positions the latest offers as follows:

for a $20,000 deposit 6 mths 1 yr 18 mths 2 yrs 3 yrs 5 yrs
             
4.00% 4.20% 4.30% 4.40% 4.50% 4.60%
ASB 4.00% 4.20% 4.30% 4.40% 4.50% 4.65%
4.10% 4.30% 4.40% 4.50% 4.55% 4.75%
Kiwibank 4.10% 4.40%   4.50% 4.60% 4.75%
Westpac 4.00% 4.20% 4.30% 4.40% 4.50% 4.75%
             
Co-op Bank 4.20% 4.40% 4.45% 4.55% 4.60%  
Heartland Bank 4.40% 4.50% 4.65% 4.75% 5.00% 5.25%
HSBC Premier 3.90% 4.10% 4.20% 4.35% 4.35% 4.55%
RaboDirect 4.10% 4.35% 4.40% 4.55% 4.65% 4.85%
SBS Bank 4.15% 4.40% 4.50% 4.60% 4.70%  
4.00% 4.30% 4.40% 4.50% 4.60% 4.80%

Term deposit rates

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