-
Related
Kiwibank has responded to the cut in the Official Cash Rate by reducing all its home loan rates.
These include 0.50% off its variable rate which moves to 9.7% and 0.36% off its two-year fixed rate, which moves to 8.49%.
"We appear to have passed the peak of very high interest rates and we now have the opportunity to pass on some genuine savings to home owners," Kiwibank chief executive Sam Knowles says.
He says Kiwibank has taken "a very aggressive position" with its 8.49% per annum two-year fixed rate, while it has moved its three-year rate to 8.39%.
Those rates apply for those with 20% or more equity in their property.
Knowles says forecasting rate movements is difficult, but he envisages Kiwibank being able to at least hold the new rates and to look for further cuts when the opportunity arises.
Westpac has also dropped its floating rate 0.5%, but has left fixed rates unchanged.
ASB is dropping its floating mortgage rate by 50 basis points and is also cutting some fixed mortgage rates.
ASB says its floating rate will now be 10.25%. The bank cut its two-year fixed rate to 8.90%. It was 8.95% on interest.co.nz earlier this week.
"We are waiting for wholesale market rates to settle, and our home lending rates will continue to be under review," says Hugh Burrett, managing director, ASB.
The other major banks are still reviewing their rates.
