BNZ has restructured its home loan fixed rate offers across the board.
It has completely dropped its classic rate offer, the rates that required 20% deposit and other typical conditions for a 'special'.
At the same time it has reduced all of its standard (and FlyBuys) fixed rate offers, a number of which become more competitive with their main rivals.
It has reduced its six month fixed rate to 5.59%, a reduction of -30 basis points.
It has reduced its one year fixed rate to 5.49%, a reduction of -40 bps from its previous standard rate, and -20 bps from its previous classic rate.
It has adopted 5.39% as its standard two year rate, the same rate as its previous classic offer, and -80 bps lower than their previous standard rate.
For three years fixed, their new rate is 5.55%, -74 bps lower than their previous standard rate and -4 bps lower than their previous classic rate.
For four years fixed their new rate is 5.65, -84 bps below the previous standard rate. (There was no prior classic offer.)
For five years fixed their new rate is 5.75%, also -84 bps lower than their previous standard rate and -4 bps lower than their prior classic rate.
BNZ's unique seven year rate has been reduced to 5.99%.
The bank says it has made these changes so it can have a "simpler and even more competitive" offer in the market.
It also says the classic option is not gone for good, but will reappear "from time to time".
This new rate offering is effective on Thursday, April 2, 2015
BNZ no longer offers an advertised "cash incentive," although in fact that may depend of the competitive nature of your home loan proposal. It's not unique in pulling back on the non-rate incentives; Westpac and Kiwibank have also done so today.
This is how mortgage rates from the banks compare at 8am Thursday, April 2, 2015:
|below 80% LVR||1 yr||18 mths||2 yrs||3 yrs||4 yrs||5 yrs|
* Members only, otherwise 5.79%
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