Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Variable Home Loan Rate Increase

Media statement

5 February 2004

Variable Home Loan Rate Increase, Term Deposit Rates Rise

Bank of New Zealand has announced an increase in the interest rate on its variable rate home loans following similar increases by other major lenders. Bank of New Zealand’s variable rate will rise by 0.25%, to 7.50%, from Monday, 9 February.

The increase reflects the increase in the cost of borrowing for the bank. Ninety-day bill rates have risen more than 20 points since late last week when the Reserve Bank raised the official cash rate. Since then, other major lenders, including Westpac, ANZ, and ASB, have raised their variable home loan rates. Westpac moved to increase its variable rate within hours of the official cash rate rise last week.

Interest rates for Bank of New Zealand’s fixed rate home loans remain unchanged.

While home loan variable rates will increase on Monday, depositors with Bank of New Zealand will enjoy higher rates too from Monday. Term deposit Interest rates will increase between 0.10% and 0.50% from Monday.

Despite the increase in the home loan variable rates announced today, Bank of New Zealand continues to offer home loan packages that give customers discounted interest rates. This week Bank of New Zealand has introduced the Ultimate Home Loan package in which, subject to conditions, Bank of New Zealand is discounting its variable rate by 0.25% and waiving establishment fees.

Under Ultimate Home Loan, customers must have a minimum home loan of $150,000, and they must take a minimum of 25% of the total value of the loan at the variable rate and the remainder at a fixed rate. In exchange, the variable rate portion of the loan will be discounted 0.25% (to 7.25% from Monday).

Bank of New Zealand spokesperson Owen Gill said: “While variable rates are rising, customers can still buy attractive packages like Ultimate Home Loan. There is good news too on home loan interest rates.”

Ends

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news