New Zealand's largest home loan lender has reduced two of its 'special' fixed interest rates.
The rate changes become effective Tuesday, September 19, 2017.
ANZ has trimmed -6 bps off its two year 'special' to 4.69%.
And it has added a new 'special' for a three year term, setting that rate at 4.99%.
This three year rate involves a -60 bps drop from their standard rate which was 5.59%, but which has now been reduced to 5.49% on Tuesday.
ANZ 'specials' are available to customers with at least 20% equity in their property, plus you need an ANZ transactional account with your salary direct credited, and you need at least one other ANZ 'product' (like insurance, or a credit card, and the like).
No ANZ 'specials' are available with any package discounts.
Also today, SBS Bank reduced its two year 'special' to 4.69%, a -10 bps drop.
Going the other way, BNZ actually increased its two year 'special, from 4.69% to 4.75%, a +6 bps rise which in the context of the other changes today looks a little odd.
Maybe BNZ has been looking at the recent swap rate changes and seeing these rising over the past few weeks. The two year swap rate is currently at a six week high. Rates for longer terms are gaining faster.
Our wholesale rates will be led by the announcements that come out of the US Federal Reserve on Thursday. These are widely expected to signal a start to draining the huge level of QE that built up during the GFC. Interest rate signals are also expected; markets anticipate at least one more +25 bps rise by the American authorities by Christmas 2017, but all eyes will be on their dot plot - and other are expecting a soft signal there.
Here is a snapshot of the fixed-term rates on offer from the key retail banks.
|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 still has a ten year fixed rate of 6.20%.