Following the RBNZ’s decision to reduce the Official Cash Rate yesterday, ASB has announced it will pass on a 0.20 percentage point reduction and lower its variable home loan rate from 5.75% p.a to 5.55% p.a.
These changes are effective March 16 for new customers and March 24 for existing customers.
In addition, ASB has lowered a range of fixed home loan interest rates, and introduced market-leading rates (among the major banks) for its one and two-year fixed rates.
ASB’s one-year fixed interest rate special is reducing by 0.24% p.a. to 4.15% p.a and the carded rate is reducing by 0.16% to 4.69%. The two-year fixed interest carded and special rates will both be cut by 0.10% to 4.89% and 4.39% respectively.
ASB is also reducing its carded fixed interest rates across all terms from six months to five years. The full range of rate changes are outlined here.
The fixed rate specials rate apply to customers who have at least 20% equity (i.e. a Loan to Valuation Ratio of less than or equal to 80%).
ASB executive general manager retail Ian Park says ASB is pleased to offer borrowers a range of reductions and market-leading fixed rates.
“These latest reductions provide very competitive options for customers,” Mr Park says.
For more information go to asb.co.nz/homelending.
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