Scoop has an Ethical Paywall
Work smarter with a Pro licence Learn More

Gordon Campbell | Parliament TV | Parliament Today | News Video | Crime | Employers | Housing | Immigration | Legal | Local Govt. | Maori | Welfare | Unions | Youth | Search

 

Rate Increase Signals Personal Mortgage Review

Media Release

Retirement Commission

8th March 2007

Official Cash Rate Increase Signals Personal Mortgage Review

The Retirement Commissioner, Diana Crossan says that people with fixed rate mortgages expiring over the next 12 months should not ignore increases in interest rates that follow the rise in the Official Cash Rate (OCR) announced today.

Ms Crossan said that although people on a floating rate mortgage would feel the impact of an increase in interest rates immediately, those on a fixed rate mortgage should not be complacent.

“Every New Zealander with a mortgage, regardless of whether it’s fixed or floating should calculate whether they can lift their mortgage repayments in line with any increase.” Ms Crossan said.

“It’s tempting to ignore interest rate rises if you are on a fixed mortgage, but you need to prepare in advance for when it expires.”

She said that working out what your mortgage repayments will be now would give people time to adjust their budgets to cope well with any changes.

Despite the relatively high mortgage rates, there was still stiff competition amongst banks for business. “When you are reviewing your mortgage, shop around and see who can give you the best deal,” Ms Crossan said.

The Retirement Commission’s free, independent website www.sorted.org.nz has a section dedicated to mortgages. It includes specialised mortgage calculators to help compare offers and calculate costs.

Sorted calculators include:

1. The Quick Mortgage calculator helps you work out how much you can afford to repay and how this will affect the time and cost of repaying up to three mortgages.

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

2. The Principal and Interest calculator shows how much principal and interest you will pay for on your mortgage/s and how different repayments levels will affect this.

3. The Comprehensive Mortgage calculator combines the two calculators above with an additional goal-setting option so you can work out targets for specific periods for up to three mortgages.

For these calculators and many other tools visit www.sorted.org.nz.


ENDS

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines


Gordon Campbell: On The US Opposition To Mortgage Interest Deductibility For Landlords


Should landlords be able to deduct the interest on the loans they take out to bankroll their property speculation? The US Senate Budget Committee and Bloomberg News don't think this is a good idea, for reasons set out below. Regardless, our coalition government has been burning through a ton of political capital by giving landlords a huge $2.9 billion tax break via interest deductibility, while still preaching the need for austerity to the disabled, and to everyone else...
More


 
 

Government: Concerns Conveyed To China Over Cyber Activity
Foreign Minister Winston Peters has confirmed New Zealand’s concerns about cyber activity have been conveyed directly to the Chinese Government. “The Prime Minister and Minister Collins have expressed concerns today about malicious cyber activity... More

ALSO:


Government: GDP Decline Reinforces Government’s Fiscal Plan

Declining GDP for the December quarter reinforces the importance of restoring fiscal discipline to public spending and driving more economic growth, Finance Minister Nicola Willis says... More

ALSO:


Government: Humanitarian Support For Gaza & West Bank

Winston Peters has announced NZ is providing a further $5M to respond to the extreme humanitarian need in Gaza and the West Bank. “The impact of the Israel-Hamas conflict on civilians is absolutely appalling," he said... More


Government: New High Court Judge Appointed

Judith Collins has announced the appointment of Wellington Barrister Jason Scott McHerron as a High Court Judge. Justice McHerron graduated from the University of Otago with a BA in English Literature in 1994 and an LLB in 1996... More

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels


 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.