Increases in term deposit rates places BNZ ahead of other main banks as first-mover, PIE rates give effective return of over 5.8%

At the same time as it raised mortgage rates, BNZ has also raised term deposit rates.

Its 90 day term deposit rate was lowered to 3.00% from 3.25%, and nine month rate was also lowered to 3.80% from 3.85%.

Their 90 day TD rate was raised by a small amount to 3.30% from 3.25%, and their 9 month rate has been increased to 3.90% from 3.85%.

However rises have been announced for longer terms.

For an 18 month term, the new rate is 4.20%, up 10 basis points from 4.10%.

For two years, the new rate is 4.40%, up 20 basis points from 4.20%.

The three year rate has risen 30 basis points to 4.70% from 4.40%.

For four years, the rate's up 25 basis points to 5.00% from 4.75%.

And for five years the new rate is 5.30%, up 20 basis points from 5.10%.

The BNZ six month and one year rates are unchanged at 3.80% and 4.00% respectively.

PIE rates have moved by the same amounts, and that means the effective gross return for a 33% taxpayer for a five year term deposit is now 5.83%.

Interestingly, the mortgage rate rises announced at the same time were in a range around 30 basis points.

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

for a $20,000 deposit	6 mths	1 yrs	18 mths	2 yrs	5 yrs
	3.75%	3.85%	4.00%	4.20%	5.00%
	3.75%	4.00%	4.10%	4.20%	4.00%
BNZ	3.80%	4.00%	4.20%	4.40%	5.30%
Kiwibank	3.75%	4.20%		4.20%	5.00%
	3.75%	3.85%	4.10%	4.20%	4.70%
Co-op Bank	3.60%	3.75%	4.10%	4.20%
	4.00%	4.25%	4.35%	4.50%	5.10%
HSBC Premier	3.80%	3.90%	4.00%	4.10%	4.60%
	3.85%	4.10%	4.25%	4.30%	5.00%
SBS / HBS	3.80%	4.10%	4.20%	4.20%
	3.80%	4.00%	4.20%	4.25%	5.00%