Westpac NZ is passing on today's official cash rate reduction by the full 0.50% to floating rates for home loan customers, and also decreasing business and agribusiness lending rates.
The bank is also cutting fixed home lending rates by 0.10% p.a., which means it has now reduced its advertised 12-month home loan interest rate by a total of 0.95% p.a. since the start of July.
Westpac is also reducing savings rates along with some of its term deposit rates.
Westpac NZ General Manager of Product, Sustainability and Marketing Sarah Hearn says the bank is working hard to offer good value in a highly-competitive environment.
"Today's OCR announcement is good news for housing, business and agri borrowers. We're responding and passing on the benefits in a timely manner," Ms Hearn says.
"We're also reducing our home loan serviceability rate to 8.15% to support New Zealanders looking to get on the housing ladder, while ensuring we continue to lend responsibly.
"We're pleased to be delivering another rate cut for our home loan customers, and the confidence boost we expect this will provide to households and small businesses. Westpac's economists estimate that nearly half of all homeowners on fixed rates will have rolled onto lower rates by the end of the year.
"At the same time, we know many households are still facing cost pressures, while our savings customers will be watching falling interest rates closely.
