Kiwibank lifts special 1 yr term deposit rate to 4.75%

Kiwibank lifted its special one year term deposit rate by 15 basis points to 4.75% for investments over NZ$5,000 (interest on maturity). This brings the rate into line with a special rate offered by SBS Bank and is the highest one year term deposit rate offered by a bank in New Zealand. The move comes after Kiwibank cut its two year mortgage rate last week by 10 basis points to 6.09%. The two moves together suggest that Kiwibank's profit margin on the two year mortgage rate is getting squeezed as it tries to attract more mum and dad investors with higher term deposit rates. See our rates pages for term deposits less than 12 months here. See rates for term deposits 12 months and more here.