SBS Bank announced on Monday it would cut its six month mortgage rate by 29 basis points (bps) to 5.50%, and its one year mortgage rate by 7 bps to 5.70%. The new rates will be effective on Tuesday, May 12. See the latest mortgage rates here. This is the latest in a small number of moves made by banks in cutting shorter term mortgage rates after the 50 bps OCR cut on April 30, while leaving variable rates on hold. Westpac (6 month) and ANZ National (6 month, 1 year) have been the only other banks to pass on any mortgage rate cuts since April 30. Also on Monday, Kiwibank decreased its one year special term deposit rate (NZ$5,000 and greater) for interest paid at maturity by 25 basis points to 4.50%. However, it raised one year rates with interest paid monthly (NZ$5,00 and greater) by 25 bps to 4.50%. It cut one and two month rates by 25 bps to 2.75%, and its 6 month rate by 15 bps to 3.75%. See term deposit rates for terms less than one year here. For terms one year and greater see here.
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