Bank of New Zealand raises fixed rates but remains ‘Unbeatable’
Bank of New Zealand has announced it’s increasing some fixed term home loan rates up to where its competitors are. But the good news is that the Bank’s ‘Unbeatable’ two-year fixed rate Classic Home Loan remains at a market-leading 7.60 per cent pa, and it’s holding its six-month, and one-year rates below its major competitors.
Bank of New Zealand’s General Manager for Business Development and Strategy, Andrew Whitechurch, says the Bank is fighting the tide in a rising rates market by holding rates low in the most popular terms.
“Our two-year fixed rate on our ‘Unbeatable’ Classic Home Loan remains 0.20 per cent pa below the rates of our major competitors.
He says the Bank has kept its six-month and one-year fixed rates at 7.70 per cent pa, because over 80 per cent of customers are currently fixing their home loan for two-years or less.
“We’re committed to providing customers with market-leading rates on the fixed terms they want most. That’s why we’re offering some of sharpest rates on our 6-month, one-year and Classic Home Loan two-year terms.”
With ‘Unbeatable’, Bank of New Zealand promises consumers that they will beat any two-year fixed rate currently advertised by the other four big banks on the Bank’s Classic Home Loan. Loans must be drawn down by 8 April 2005.
The new fixed home loan rates which take effect from today, Monday 28 February (with old rates in brackets) are:
2-year (standard home loan): 7.80%pa
(7.60%pa) 3-year: 7.80%pa (7.70%pa) 4-year: 7.80%pa
(7.70%pa) 5-year: 7.80%pa