Find the best deposit rates on offer at DepositRates.co.nz. Compare interest rates from most New Zealand lenders and use our sortable table to view different products and terms. Westpac Live will be available to update Term Deposits from 8:00am to 9.30pm on a Business Day and 8:00am to 4:00pm Saturdays (Sydney time) 3. Customers must be registered for online banking and business network users must have term deposit entitlements turned on to be able to open or renew online on behalf of their business network.
- Which Nz Bank Has The Best Term Deposit Rates
- Westpac Interest Rates
- Kiwibank Term Deposit Rates
- Westpac Term Deposit Rates Nz Calculator
DepositRates.co.nz has compiled a table showing the rates on offer from the various PIE funds.
Friday, 18 July 2008
Which Nz Bank Has The Best Term Deposit Rates
Cash PIE funds are the perhaps the hottest investment around at the moment with many of the banks rolling out products in the past couple of months.Depositrates.co.nz has compiled a table comparing the rates on offer both from call funds and also from ones which have a fixed term.
The table has the advertised rate, then the effective gross rate for 33% and 39% taxpayers. It also includes the minimum investment amounts which vary considerably . In addition to what is shown Forsyth Barr has higher rates for amounts of more than $20,000, $50,000 and $250,000.
Likewise Kiwibank are offering increased rates if no withdrawals are made.
We have expressed the effective rates as they are portrayed by the providers. However a point investors should be aware of is how the rate is compounded. There are three options; Compounding daily, monthly, or interest at maturity. Each changes the final amount. Also, while these funds are promoted as benefiting those on 33% and 39% tax rates there are also benefits for people on lower marginal rates.
'The PIE also increases the gross return for those on 30% and 19.5%,' Direct Broking marketing manager Julian Grainger says. 'Not much mind you; we're only talking a couple of basis points. But if you're a retiree every point counts.'
He says a 19% taxpayer with $100,000 is likely to get around $50 extra annually.
Currently there are only two providers with fixed term products, ANZ-owned finance company UDC and Kiwibank.
UDC starts a new fund each month. Currently it is taking subscriptions for the fund which starts on August 1. The rates are shown in the table below.
It's worth noting the rates are lower than what it offered in the 12 month-term fund started a month earlier. The rates for that one were 8.90%, 9.29% and 10.21% respectively.
The rates published are compiled from each providers own information.
For a full comparison table, click here.
Commenting is closed
| Printable version | Email to a friend |
The new price, effective today, represents a cut of 20 basis points. It is the cheapest mortgage rate offered by a major New Zealand lender.
The sharpened Westpac price represents the first big move from Kiwi lenders since the New Year, with the Reserve Bank's monetary policy measures further expected to push down borrowing costs and rates.
Westpac's new offer is available to customers with a 20% deposit buying a home they intend to live in.
Gina Dellabarca, Westpac NZ's general manager of consumer banking and wealth, says the bank wants to help home buyers.
“We know property ownership has probably been a hot topic for many Kiwi families over the holiday period, so whether you’re looking to buy your dream home in 2021 or just pay off your mortgage a bit faster, this special rate could help you get there.”
“Two years ago the same special home loan rate over the same term was 4.15%. It would have cost $1,119 a fortnight to service a $500,000 mortgage over 30 years. Now, the lower interest rate means the same repayment would be $885 a fortnight – a saving of $6,084 over a year.”
Westpac Interest Rates
Dellabarca said one year terms were currently the most popular with borrowers.
Kiwibank Term Deposit Rates
“We especially look forward to talking to first home buyers about how we can support them to reach their home ownership goals and this rate can certainly help them. We assisted first home buyers into more than 5,300 new homes in the 12 months to September 2020, a 7% increase on the previous year with many accessing their KiwiSaver first home-buyer withdrawal option to help them with their deposit.
“Existing mortgage customers who are due to renew their loan will also be able to take advantage of the new rate. It will give them the flexibility of moving to lower repayments or staying with their current repayments which will shorten the life of their loan.
Westpac Term Deposit Rates Nz Calculator
“We’re keen to talk to both existing and new customers about this exciting new rate through our mobile mortgage team or our in-branch or contact centre banking specialists.”
The aggressive price cut is likely to trigger a new wave of cuts for home loan borrowers.
Westpac's new one year rate isn't the cheapest one-year rate in the market, however.
Kāinga Ora's first home buyer special is just 2.25% for one year, while HSBC Premier customers can access one year home loans at the same rate. Heartland's digital mortgage offers one year loans at 1.99%.