Raboplus raises longer term deposit rates (Update 2, corrected)

Raboplus announced it would raise its term deposit rates for terms one year and over by between 5 and 15 basis points (bps) due to changes in wholesale interest rates. The new three, four and five year rates now sit considerably higher than those offered by other banks in New Zealand. (Correction following Allied Nationwide website changes) Rabo raised its one year term deposit rate by 5 basis points (bps) to 3.1%; its two year rate by 15 bps to 4.25%; three year by 15 bps to 5.5%; four year by 15 bps to 6.1%; and five year by 15 bps to 6.55%. The rates are effective from Wednesday morning and are for deposits over NZ$1,000. Also on Wednesday, finance company Allied Nationwide raised its six month to five year term deposit rates by between 50 and 180 bps. It raised its six month rate by 50 bps to 4%; one year by 150 bps to 5%; two year by 180 bps to 7.05%; and three, four and five year rates by 150 bps to 7.5%. (Correction: Allied Nationwide has now changed their advertised rates back to what they were on Tuesday.) Earlier in the week, Broadlands, Equitable and Gold Band Finance also made changes to longer term deposit rates. Broadlands raised its two year rate by 50 bps to 8%; three year by 50 bps to 8.75%; four year by 50 bps to 9%; and five year by 25 bps to 9.25%. Equitable raised its one year rate by 25 bps to 5.75%; two year by 75 bps to 7.75%; three year by 25 bps to 7.75%; four year by 25 bps to 8%; and five year by 25 bps to 8.25%. Gold Band Finance raised its two year rate by 25 bps to 7%; and its three, four and five year rates by 25 bps to 8%. See and compare all the new term deposit rates here.