ASB has cut a number of its term deposit rates by between 25 and 50 basis points (bps). Short term and long term rates were cut, which contrasted with other banks that have either left their term deposit rates on hold or having lifted them since the 50 bps cut in the Official Cash Rate on April 30. (Update 1 includes Westpac and ANZ National comparisons.) Notable changes were ASB's one year rate (interest paid quarterly) being cut by 50 bps to 4.00%; its 18 month rate by 50 bps to 4.25%; and its four year rate by 50 bps to 5.50%. These rates are for term deposits greater than NZ$10,000 with interest paid quarterly. ASB's new special rate is for a one year term deposit at 4.50% with interest paid at maturity. See all the short term rates here, and the long term rates (one year and over) here. ASB's new one year rate with interest paid quarterly is now below similar offers from some banks between 4.25% to 4.50%. It's new five year rate (down 25 bps to 6.00%) was brought in line with other banks' offers. As of yet, ASB has not cut any of its mortgage rates following the 50 bps cut in the Official Cash Rate by the Reserve Bank on April 30. Westpac last week began offering a special one year rate of 4.55% (interest paid quarterly, minimum NZ$5,000), and a special 90 day rate (interest on maturity) at 4.30%. To qualify for these rates, a Westpac customer must donate a minimum NZ$5 to the Westpac Rescue Helicopter. Also last week, ANZ National put up its 6 month, one, and two year term deposit rates, with the six month rate up 25 bps to 4.25% (compared with ASB's recent cut in its 6 month rate of 25 bps to 3.75%).
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