ASB raises longer term deposit rates; Rate curve hits record high

ASB has raised its longer term deposit rates, becoming the last bank to do so in the latest round of rate increases that has seen the gap between one and five year term deposit rates reach a record positive gap since interest.co.nz began keeping records in 2002. The gap between the average one year and five year bank term deposit rates is now 1.97% following this move by ASB (see third tab on chart below). ASB raised its three, four and five year term deposit rates by 50 basis points each, for deposits over NZ$10,000. Its new three year rate is 5.5%; four year 6%; and five year 6.5%. Bank Direct matched the three and five year moves, and does not offer four year term deposits. See and compare all the latest term deposit rates here.