ANZ variable home loan rate cut – concern for savers

ANZ today announced it will lower the interest rates on its Floating and Flexible home loans by 0.50%, from 5.69% to 5.19% following today’s 0.50% Official Cash Rate cut.

The changes will be effective 12 August for new Floating home loans and 26 August for existing Floating home loans.

“As New Zealand’s largest home lender, we’re committed to helping Kiwis into their own homes,” said Ben Kelleher, Acting ANZ Managing Director Retail and Business Banking.

“The current extreme low interest rate environment not only represents an opportunity for new home buyers to enter the market, but for existing home loan customers to pay off as much of their debt as possible.

“We are, however, concerned about the impact lower interest rates will have on savers so we are cautiously reviewing deposit rates. Given how low interest rates now are, a drop in deposit rates is likely to have a bigger impact on elderly savers than a drop in lending rates on home owners.”

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