NZCU Baywide offering high interest and flexible options
20th June 2017
NZCU Baywide offering high interest and
flexible term deposit options
4.25% p.a. interest rate
Choice of terms ranging from 6 months to 3 years
Minimum investment $1,000
Available for a limited time
A competitive term deposit has been launched by NZCU Baywide offering a 4.25% p.a. return on investments from $1,000 while allowing investors to choose the length of term from 6 months to 3 years.
The new term deposit is believed to have one of the best combinations of high interest and flexibility from any rated New Zealand credit union or bank. It is being offered to investors for a limited time and provides a very convenient option for saving towards a goal whether a big purchase, home improvements, a family event or for the future.
Andrew Quayle from NZCU Baywide says it’s aimed at encouraging people to save:
“Traditionally investors could only get high interest from longer term deposits with limited return for shorter terms,” says Andrew.
“We are changing this and giving everyday Kiwi investors the chance of saving for a short time but still at a really good rate. With returns for any term between 6 and 36 months we’re expecting it to be very popular.
“It’s being offered at a time when the housing market’s cooling and people are looking for alternatives."
One of the downsides of term deposits is they typically lock up savings for a long period of time and if access is needed the investor then loses hard earned interest. This restriction turns off a lot of people and they opt for a lower interest savings account.
With this new offer people can save for a shorter period of time (e.g. 6, 9 or 12 months), which is attractive if they are unsure about tying up funds. Alternatively, they can secure the same rate for longer if they want.
“Giving people dual benefits of high interest and choice will encourage saving, which is a very important need across New Zealand. As long as the investment is left for six months the accumulated interest will be paid without penalty,” Andrew says.
The term deposit is being advertised across New Zealand in June and is only available for a limited time.
New Zealand owned NZCU Baywide is one of the largest credit unions in the country and has served Kiwis with financial services for over 45 years. It has over 27,000 customers and $280 million in assets (as at 31 December 2016).
NZCU Baywide has grown as a result of a solid, diverse loan portfolio built on conservative lending policies and practices. Its focus is on individual clients with around 79% of its lending in home loans secured by a mortgage, with the balance in small personal loans. It limits its exposure by not dealing with companies, business and the property development market.