Fisher & Paykel Finance has raised its rate offer for terms of two to five years by up to 0.50%, effective today. This means that two-year debenture rates rise from 7.25% to 7.50%, and three, four and five years rates rise from 8.00% to 8.50%. F&P Finance last offered rates above 8.5% for a three year term in November 2008. These increased rate offers follow a recent trend of rising longer term rates. F&P Finance has a guarantee under the NZ deposit guarantee scheme, but that scheme is set to end in October 2010. Average bank rates for term deposits of two years are currently 4.10%, rising to 5.10% for five years. Bank rates had also been trending higher, but the steam seems to have gone out of these bank increases over the past month or so. Meanwhile, Viaduct Capital has said it has withdrawn its term deposit offers as its prospectus has expired, and advised it expects to be back in the market in about "6 to 8 weeks time with a new prospectus". All the current term deposit rates are listed on our two pages here: - for term deposits less than one year - for term deposits of one to five years
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