More banks increase home loan rates

Friday 18th June 2010

ANZ National Bank has followed ASB and increased its short term home loan rates for both its banks.

It has raised the floating rate for ANZ and National Banks to just under the 6.00% mark.

ANZ's variable rate is up 26 points to 5.95% and National has added 24 points to its rate to bring it to 5.99%.

However neither bank have increased rates on their revolving credit mortgage products.

Increases have also been made to six month and one year rates. Here they have each added 10 basis points to the rates.

ANZ National is following ASB which yesterday passed on the Reserve Bank's official cash rate to its customers.

While these three banks have kept their floating rates around the 6.00% mark, Westpac moved before the OCR increase and is still the most expensive big bank here with a rate of 6.29%.

Its six month and one year rates are in line with its competitors.

ANZ says the hikes have been made in response to increases to the cost of funding and recent changes in market conditions.

ANZ's interest rates for deposit customers have also been increased to reflect the underlying changes in rates.

National Bank made a near identical statement with its increases.

Check, compare and sort all home loan rates at www.mortgagerates.co.nz

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