ASB has cut its key one year mortgage rate.
It's new 'special' is now 4.45%, a reduction of -14 bps.
A similar reduction applies to its standard rate and that is now down to 4.85% for a fixed one year term.
The changes are effective today Friday).
Identical changes have been made at both Sovereign and BankDirect.
This now positions ASB with the lowest rate for terms on one year, eighteen months, two years and four years compared with its all main big-bank rivals.
However the lowest rate in the overall bank market for one year is still the HSBC Premier 4.19% offer. ASB is the next best.
The lowest rate in the market for 18 months continues to be HSBC's 3.99% rate, also followed by ASB.
The lowest rate in the market for 2 years continues to be the 4.39% offer by HSBC, again followed by ASB.
Wholesale rates have stopped rising, especially for terms less than five years.
ASB last changed rates on April 7 when it cut its 18 month and two year rates. Prior to that it changed rates on January 25, 2017 when they increased their 18 month 'special' by +10 bps to 4.75%.
A snapshot from the key retail banks is:
|below 80% LVR||6 mths||1 yr||18 mth||2 yrs||3 yrs||4 yrs||5 yrs|
In addition to the above table, BNZ has a fixed seven year rate which is 6.15%.
And TSB Bank has a ten year fixed rate of 5.99%.