Decision came a month after announcing changes to variable home lending rates
ASB has made changes to its home loan rates again, a month after announcing changes to its variable home lending rates due to the Reserve Bank of New Zealand’s (RBNZ) official cash rate (OCR) decision in November.
This time, ASB has decided to drop its two-year fixed home loan rate from 4.35% to 4.15%, following a drop in its funding costs resulting from moves on money markets.
ASB executive general manager retail banking Craig Sims said via Stuff that the latest home loan rate changes give home buyers more options as rates continue to rise, adding: “It’s been a challenging year for many.”
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The moves come after ASB adjusted its home loan rates last month after the OCR announcement and passed on 0.15% of the 0.25% OCR increase to Housing Variable rates, taking this rate to 4.60%, and the Orbit home loan rate to 4.70%. It also increased its low-cost Back My Build rate for new home builds, linked to the OCR, to 2.29%.
With the changes this month and last month, Sims encourages customers to contact the bank to learn more.
“Whether it’s an in-person conversation with one of our specialist bankers or mapping out repayments in the comfort of your own home using our online tools and calculators… we’re here to help with practical guidance around loan structures and lending,” Sims added.
