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3 clusters · 3 sources · 30 days · First seen · Last updated

New Zealand banks raise loan and mortgage rates

Overview

In early July, banks in Ireland and New Zealand were reported to be raising both deposit and loan rates. A few weeks later, the Bank of New Zealand introduced higher fixed‑rate mortgage products, with the two‑year rate moving to 5.45 % and the three‑ and four‑year rates matching it, while the five‑year rate stayed at 5.49 %. At the same time, UK lender Nationwide trimmed its fixed‑rate mortgage offerings by up to 0.19 % as swap rates fell.

On 6 August 2026, ASB Bank announced increases to its fixed‑rate home loan prices by 10 to 26 basis points across six‑month to three‑year terms, and lifted term‑deposit rates by 10 to 20 basis points on six‑month to two‑year products. The moves were described as a response to recent volatility in wholesale interest rates and align ASB’s mortgage rates with those of Westpac, leaving Kiwibank as the only major New Zealand mortgage lender yet to raise rates in this cycle. These actions extend the ongoing trend of New Zealand banks tightening loan pricing.

Entities

Carlo Pileggi · Westpac · Kiwibank · Adam Boyd · Nationwide Building Society

Timeline

  1. 5 days ago

    [BUSINESS] 2 sources
    ASB raises fixed home loan and term deposit rates in New Zealand

    ASB Bank raised fixed home loan rates by up to 26 bps and term‑deposit rates by up to 20 bps, citing global wholesale‑rate volatility; the move aligns its mortgage rates with Westpac and leaves Kiwibank as the

  2. 7 days ago

    [BUSINESS] 2 sources
    Bank of New Zealand raises fixed mortgage rates as UK Nationwide cuts rates

    BNZ in New Zealand raised fixed mortgage rates, while UK lender Nationwide cut its fixed‑rate mortgage products by up to 0.19%.

  3. about 1 month ago

    [BUSINESS] 2 sources
    Irish and New Zealand banks raise deposit and loan rates

    PTSB in Ireland raised business deposit rates up to 0.5%, while New Zealand’s ASB increased variable home‑loan rates by 25 bps and lifted savings rates, citing support for SMEs and household financial goals.

Sources

interest.co.nz · livenews.co.nz · theintermediary.co.uk

This summary has been updated 1 time: see revision history