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The red bank shifts some rates higher, although makes bonus savers wait for their increases

The red bank shifts some rates higher, although makes bonus savers wait for their increases

Westpac has now made its changes to variable home loan rates, raising them all by +0.25%.

That puts its Choices floating rate and Choices Ofset rate up to 5.99% and its revolving credit rate to 6.25%.

The Choices floating rate is the lowest among their main rivals.

These changes are effective tomorrow, Friday May 2 for new customers, and Friday, May 23 for existing customers.

Now only SBS Bank has yet to announce a pass-on of last week's OCR hike.

At the same time, Westpac has announced some savings and term deposit rate changes and they are set out below the following table.

These new Westpac home loan changes compare as follows:

below 80% LVR Floating Revolving
    Credit
6.24% 6.35%
ASB 6.25% 6.25%
BNZ - Total Money 6.24% 6.24%
BNZ - Standard & FlyBuys 6.34% 6.34%
Kiwibank 6.15% 6.15%
Westpac 5.99% 6.25%
     
Co-op Bank 6.20% 6.20%
HSBC 6.24% 6.24%
5.90% 5.90%
TSB 6.29% 6.29%

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Westpac has also announced minor increases to a number of savings products.

Their term deposit and term PIE rates rise 15 bps for terms of 30 and 60 days, going up to 3.00% from 2.85%.

This increase, such that it is, is effective Friday, May 2, 2014.

They have also raised the interest rates on some savings accounts.

- Online Bonus Saver/PIE rate increases to 4.10% (from 4.00%). Base tier remains unchanged at 0.10%; bonus tier increases to 4.00%.

- Online Saver rate increases to 3.00% (from 2.75%).

- Business Online Saver rate increases to 3.00% (from 2.75%).

However, they are holding back these rises until Friday, May 23.

Savers are very much second-class customers at Westpac.

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4 Comments

Savers are very much second-class customers at Westpac.
Seems like it - shop around people!

Although if you are a westpac shareholder, you get .25 % above the advertised bonus saver rates. This makes it 4.35% for those people, which is better than other banks. So shareholders are looked after. 

Yep they seem to rely on lazy money ie money lying around in bank accounts, and the loyalty of older people who dont realise the rubbish rates.

Days to the General Election: 20
See Party Policies here. Party Lists here.