RaboDirect, the online arm of Rabobank, has cut a number of its term deposit rates, as the current round of mortgage and deposit rate cuts by banks continues.
For deposits with interest paid at maturity, Rabo cut its three-month term deposit rate by 20 basis points to 3.50%; its nine-month rate by 5 bps to 4.25%; two-year by 5 bps to 4.75%; and three-year by 20 bps to 5.00%. The latest moves follow Rabo cutting its six-month and two year rates a week ago. Rabo requires a minimum investment of only NZ$1,000 for these rates.
See and compare all advertised term deposit rates in New Zealand, including Rabo's new rates for interest paid monthly and quarterly, for terms up to nine months here, and for terms one year and over here.
Wholesale, or swap, interest rates in New Zealand have been falling in recent weeks on worries about global and local growth prospects. Markets are currently pricing in 30 basis points worth of cuts in the Official Cash Rate by the end of the year. See more here.
Banks have been cutting fixed mortgage rates and term deposit rates on the back of these wholesale rate drops.
We welcome your comments below. If you are not already registered, please register to comment.
Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.