tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
RBNZ keeps the cash rate unchanged; but expects further cuts READ ON Dismiss
Last Article Uploaded: Wednesday, July 9th, 3:18PM

Mortgages

Mortgage Rates Daily Commentary
Wednesday 9 July 2025  Add your comment
Mortgage rates may have bottomed already

While there’s debate within the Reserve Bank’s monetary policy committee about where interest rates are headed, mortgage rates have either bottomed already or have only a little further to fall, says Kiwibank chief economist Jarrod Kerr.  [READ ON]

rss
Latest Headlines

Banks should disclose profit margins: Bawden

The banks should be forced to disclose the profit margins on their mortgage books, says Geoff Bawden of Prosper Group, formerly Moneyworkz, and immediate past chairman of the New Zealand Mortgage Brokers Association.

Wednesday, June 10th 2009, 2:57PM

by Jenny Ruth

Weighing in against the banks in the wake of Parliament's finance and expenditure committee's criticism of banks not passing on cuts in the official cash rate (OCR) to their mortgage customers, Bawden says the banks should be playing their part in getting the economy going again.

"You're not going to stimulate this economy until people start spending and if you don't reduce the costs of borrowing, you're not freeing up cash for people and businesses to do that," he says.

Making banks disclose their profit margins "is one way of keeping them honest."

Bawden says the indications the banks are treating their mortgage books as individual profit centres. Credit card interest rates haven't come down either. And there's also evidence the banks are taking a much harder line on charging fees.

While the banks are having to pay well above OCR levels on term deposits, they also get significant amounts of funding from non-interest bearing accounts, he says.

The OCR is currently 2.5% while Westpac, for example, is currently offering 4.25% for a 150-day term deposit. Westpac's six-month fixed mortgage rate is currently 5.39%.

While ANZ National Bank chief executive Jenny Fagg told Radio New Zealand her bank's first-half net profit was down about 30%, Bawden says that's because the bank chose to raise its charges against profit for impaired loans.

ANZ's latest general disclosure statement shows net profit fell 29.5% to $488 million in the six months ended June but charges for impaired loans jumped to $285 million compared with $96 million in the first-half last year. Excluding these charges, net profit would have been down 1.9%.

 

« ANZ profit falls; mortgages sold to new branchOCR unchanged at 2.5% »

Special Offers

Commenting is closed

 

print

Printable version  

print

Email to a friend
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
AIA - Back My Build 4.44 - - -
AIA - Go Home Loans 6.54 4.89 4.95 5.09
ANZ 6.49 5.55 5.55 5.69
ANZ Blueprint to Build 7.39 - - -
ANZ Good Energy - - - 1.00
ANZ Special - 4.95 4.95 5.09
ASB Bank 6.44 4.89 4.95 5.09
ASB Better Homes Top Up - - - 1.00
Avanti Finance - Near Prime 6.90 - - -
Avanti Finance - Specialised 8.34 - - -
Basecorp Finance ▼7.15 - - -
Lender Flt 1yr 2yr 3yr
BNZ - Classic - 5.99 5.69 5.69
BNZ - Mortgage One 6.54 - - -
BNZ - Rapid Repay 6.54 - - -
BNZ - Std 6.44 4.89 4.95 5.09
BNZ - TotalMoney 6.54 - - -
CFML 321 Loans 4.99 - - -
CFML Home Loans 6.70 - - -
CFML Prime Loans 7.20 - - -
CFML Standard Loans 7.99 - - -
China Construction Bank 6.44 4.85 4.95 4.95
China Construction Bank Special 6.44 5.85 5.95 5.95
Lender Flt 1yr 2yr 3yr
Co-operative Bank - First Home Special - 4.85 - -
Co-operative Bank - Owner Occ 5.95 4.95 4.99 5.25
Co-operative Bank - Standard 5.95 5.45 5.49 5.75
Credit Union Auckland 7.70 - - -
First Credit Union Special - 5.29 5.19 -
First Credit Union Standard 6.94 5.79 5.49 -
Heartland Bank - Online 5.99 5.89 - -
Heartland Bank - Reverse Mortgage - - - -
Heretaunga Building Society 7.45 5.90 5.80 -
ICBC 6.50 4.85 4.95 5.05
Kainga Ora 6.44 4.89 4.95 5.09
Lender Flt 1yr 2yr 3yr
Kainga Ora - First Home Buyer Special - - - -
Kiwibank 6.35 5.79 5.85 5.95
Kiwibank - Offset 6.35 - - -
Kiwibank Special - 4.89 4.95 5.15
Liberty 6.90 6.80 6.50 6.45
Nelson Building Society 6.94 4.99 4.93 -
Pepper Money Near Prime 6.85 - - -
Pepper Money Prime 6.29 - - -
Pepper Money Specialist 8.30 - - -
SBS Bank 6.49 5.55 5.55 5.75
SBS Bank Special - 4.95 4.95 5.15
Lender Flt 1yr 2yr 3yr
SBS Construction lending for FHB 3.94 - - -
SBS FirstHome Combo - 4.29 - -
SBS FirstHome Combo - - - -
SBS Unwind reverse equity 8.64 - - -
TSB Bank 7.19 5.69 5.75 6.09
TSB Special 6.39 4.89 4.95 5.29
Unity First Home Buyer special - 4.29 - -
Unity Special 6.64 4.99 4.99 -
Unity Standard 6.64 5.79 5.79 -
Wairarapa Building Society 6.75 5.09 4.95 -
Westpac 6.59 5.49 5.55 5.59
Lender Flt 1yr 2yr 3yr
Westpac Choices Everyday 6.69 - - -
Westpac Offset 6.59 - - -
Westpac Special - 4.89 4.95 4.99
Median 6.56 4.99 4.99 5.15

Last updated: 9 July 2025 3:05pm

Previous News

MORE NEWS»

News Bites
Compare Mortgage Rates
Compare
From
To
For

To graph multiple lenders, hold down Ctrl key while clicking in list box

Also compare rates to OCR
Find a Mortgage Broker

Add your company

Use map
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
 
Site by Web Developer and eyelovedesign.com