Westpac NZ is reducing interest rates for borrowers and savers on variable rates, following today's OCR cut, while unveiling a range of new fixed rate specials for home loan customers.
Effective Friday 21 February, Westpac's new 5.49% p.a. 1-year advertised special rate is the joint-best among the major banks as of 2pm Wednesday, and the lowest Westpac's 1-year advertised rate has been since October 2022.
In addition, Westpac has made changes to longer term rates, with the best rates among the major banks across the 3, 4 and 5 year terms as of 2pm Wednesday.
Westpac is also supporting small businesses and farmers by delivering a 0.6% p.a. cut - more than today's OCR reduction - to most variable business lending products including overdrafts. Variable consumer lending and savings products are also being cut by between 0.4% and 0.5% p.a.
Westpac NZ General Manager of Product, Sustainability and Marketing, Sarah Hearn says the bank is working hard to support New Zealand's economic recovery by competing hard and offering expert guidance and advice to customers.
"We're seeing growing confidence among households and businesses about the year ahead, and today's rate cut will give homeowners a further boost and help put more money in their back pockets. We also want to support small businesses and farmers with their growth aspirations, which is why we've cut most variable business lending rates by more than today's OCR cut," Ms Hearn says.
"We expect strong demand for our new 1-year advertised special home loan rate. Our 3-year special of 4.99% p.a. has made a real impact, and customers still have today and tomorrow to secure that rate if they're looking for longer-term certainty on their repayments. The 3-year special home loan rate will end at the close of business on Thursday 20 February. Our new 5.39% p.a. advertised special rates across our 3, 4 and 5-year terms continue to be the lowest among the major banks as of 2pm Wednesday.
"At the same time, we know cost pressures will be weighing on some households, while our savings customers will be watching falling interest rates closely.
