Interest rate cuts against the backdrop of the coronavirus crisis are broadening with ANZ New Zealand, the country's biggest bank, cutting a range of credit card, personal loan and overdraft interest rates.
The bank says the cuts are being made because it's "working hard to support customers" as the impacts of COVID-19 (Coronavirus) continue to evolve.
ANZ is making a range of interest rate cuts that kick-in from April 1. However, some of them will then increase again from July 1.
From April 1, the purchase interest rate on the bank's low rate Visa will drop to 9.95% from 13.90% now, and the cash advance interest rate will reduce to 9.95% from 20.95% now. However, from July 1 they will increase 12.90% and 19.95%, respectively.
The purchase interest rate on ANZ's business low rate Visa drops to 9.95% from April 1 from 13.90% now, and the cash advance interest rate falls to 9.95% from 20.95% From July 1 they'll bounce back to 12.90% and 19.95%, respectively.
Both the purchase interest rate and cash advance interest rate on ANZ's Visa business airports or cashback cards drop to 9.95% from April 1 from 20.95% now. They're then set to be increased to 19.95% from July 1.
The purchase interest rate and cash advance interest rate on all the bank's other personal credit cards drop to 19.95% from April 1 from 20.95%.
Kiwibank's "low rate" credit card already has both cash advance and purchase interest rates of 9.95%, and The Co-operative Bank's "fair rate"card has cash advance and purchase interest rates at 12.95%. See all credit card interest rates here. The Official Cash Rate is now just 0.25%.
ANZ's personal loan interest rate for new loans and top ups will be 12.90% from April 1, down from 13.90%. The bank is also cutting its consumer overdraft base rate to 12.90% from 13.95% on April 1. This means with the bank's 6% margin added on, its new overdraft total interest rate will be 18.90%, and its new excess overdraft total rate will be 27.90%.
Additional ANZ credit card interest rate changes are detailed below. ANZ lending criteria, terms, conditions and fees apply.
In addition, Visa Gold, CashBack Visa Gold, Qantas ANZ Visa, Qantas ANZ Visa Platinum, ANZ Mastercard, Gold Mastercard, CashBack Mastercard, and CashBack Platinum Mastercard will have a new Purchase Interest Rate and Cash Advance Interest Rate of 19.95% p.a. Low Rate Mastercard and Freestyle Mastercard rates are also reducing, with a new Purchase Interest Rate of 12.90% p.a. and a new Cash Advance Interest Rate of 19.95% p.a.
Ezibuy’s Purchase Interest Rate will be 12.90% p.a.
From 1 April 2020, ANZ Visa Purchasing, Visa Corporate, Company Visa, and Business Preferred Mastercard interest rates will be reduced, with a new Purchase Interest Rate and Cash Advance Interest Rate of 19.95% p.a. In addition, Business Mastercard will have a new Purchase Interest Rate and Cash Advance Interest Rate of 12.90% p.a.