Following the RBNZ official cash rate cut, banks are adjusting their home loan rates.
So far, only ANZ and Kiwibank have announced new floating mortgage rates.
ANZ has also said it will be trimming some fixed rates by "between -6 basis points and -14 bps".
ANZ's one year fixed rate 'special' will go down -6 bps to 3.89%. Their two year fixed 'special' will go down -4 bps to 3.95%. And their three year 'special' rate will fall by -14 bps to 4.05%. Only the one year rate is market-leading for that term.
These ANZ fixed rate changes are effective Monday, May 13, 2019. ANZ's floating rate changes are effective the same day for new customers, but not until May 27, 2019 for existing customers (to meet their legal 'notice' requirements).
With the TSB 'price match promise' still in place, TSB rates are moving down as well.
HSBC earlier indicated their 3.69% two year 'special' will end on Friday, and the table below reflectes that. So if you want that lower rate, be in quick.
BNZ has also advised they are taking -10 bps off their floating rates, but leaving fixed rates for the time being. But their -10 bps only takes their floating rates back to where others were before today's rate cut.
Westpac says their cut is -16 bps to 5.79% (again about where some of their rivals were before the OCR cut). They are also cutting their one year fixed 'special' by -16 bps to 3.89%, matching ANZ, Westpac has also cut some term deposit and some savings rates, mostly by -10 to -15 bps, although their Notice Saver has had the full -25 bps reduction.
Other banks will also be announcing changes thick and fast today and we will update this story and the table below as they come to hand.
It is expected that banks will not pass on the full -25 bps OCR reduction.
At the same time banks are expected to reduce rates to savers, and these too won't be the full -25 bps reductions.
more soon as it comes in.
Here is the full snapshot of the advertised fixed-term rates on offer from the key retail banks.
|below 80% LVR||Floating||1 yr||18 mth||2 yrs||3 yrs||4 yrs||5 yrs|
|as at May 8, 2019||%||%||%||%||%||%||%|
|China Construction Bank||5.80||5.10||3.65||3.90|
|with price match promise||5.80||3.89||4.09||3.95||3.95||4.35||4.45|
In addition to the above table, BNZ has a fixed seven year rate of 5.95%.