[ad_1]
ANZ is raising the interest rate on two of its shorter-term home loan offers.
The bank raises its one-year standard rate by 16 basis points to 5.75%.
Its special rate, for borrowers with more than 20% down payment, goes up in the same margin to 5.15%.
Its 18-month rates are also increasing, but only by six basis points.
The standard rate increases to 5.95% and the 18-month special to 5.35%.
READ MORE:
* Is this the new normal? Bank raises mortgage rates to almost 7%
* ASB and Westpac raise home loan rates after Reserve Bank OCR hike
* Why are deposit rates so low while mortgage rates are rising so rapidly?
The bank said the increase was due to movements in the wholesale cost of funding.
Interest rates have risen dramatically over the past year as central banks around the world struggle to rein in inflation.
Getty Images
ANZ says the move is due to rising wholesale funding costs.
New Zealand’s official exchange rate (OCR) is expected to peak at around 4%, down from 3% currently.
But some forecasters say the interest rates paid by borrowers may not have to rise much further, as much of that increase has already been priced in.
Your dollars for our meaning
From the state of the economy and the issues that matter to New Zealand businesses, to the cost of living and the rollercoaster ride of getting a mortgage, the Stuff business team crafts smart coverage and crucial for you every day.
We know Kiwi businesses and consumers need good information to thrive, so our reporters are working right now to bring you more stories like the one you just read.
If you are likely to read them, please make a contribution to support our work.
[ad_2]
Source link
