ASB has today lowered its 6-month mortgage rate, while increasing some longer term fixed home loan and term deposit rates, as wholesale interest rates continue to rise.
ASB’s one to three year fixed home loans have increased by between 10 and 20 basis points. To support savers, ASB has also lifted term deposit rates on all terms from nine months to five years, including a 35-basis point rise to its two-year term deposit.
Fixed home loan rates are influenced by several market factors, particularly wholesale interest rates. Longer term wholesale interest rates have increased by more than 50 basis points since the November 2025 OCR announcement, driving up the cost of providing fixed home loans.
“Today’s changes reflect the reality of our higher wholesale interest rate environment. While this upward movement is good news for savers, with our term deposit rates for two years and above now starting from 4.00%, we know homeowners are watching rates closely. We are here to support, and encourage customers to talk to us around what approach may work best for them,” says Adam Boyd, ASB’s Executive General Manager Personal Banking.
|
Home Loan |
Current Rates |
New Rates |
Rate Change |
|
6 Months |
4.65% |
4.59% |
– 6 bps |
|
1 Year |
4.49% |
4.59% |
+ 10 bps |
|
18 Months |
4.65% |
4.75% |
+ 10 bps |
|
2 Years |
4.75% |
4.95% |
+ 20 bps |
|
3 Years |
5.09% |
5.19% |
+ 10 bps |
|
4 Years |
5.55% |
5.55% |
N/C |
|
5 Years |
5.69% |
5.69 % |
N/C |
|
Term Deposit |
Current Rates |
New Rates |
Rate Change |
|
1 Month |
1.80% |
1.80% |
N/C |
|
2 Months |
2.00% |
2.00% |
N/C |
|
3 Months |
2.85% |
2.85% |
N/C
|
|
4 Months |
3.00% |
3.00% |
N/C |
|
5 Months |
3.10% |
3.10% |
N/C |
|
6 Months |
3.45% |
3.45% |
N/C |
|
9 Months |
3.50% |
3.55% |
+ 5 bps |
|
12 Months |
3.45% |
3.50% |
+ 5 bps |
|
18 Months |
3.50% |
3.65% |
+ 15 bps |
|
24 Months |
3.65% |
4.00% |
+35 bps |
|
36 Months |
4.00% |
4.15% |
+ 15 bps |
|
48 Months |
4.10% |
4.30% |
+ 20 bps |
|
60 Months |
4.40% |
4.50% |
+ 20 bps |
ASB has practical information for customers on the current interest rate environment available on its website as well as support to help customers take control of their financial wellbeing and achieve their goals at its Financial Wellbeing Hub.
