HSBC today raised its floating mortgage rate, but only by 15 bps.
The new Premier floating rate is now 6.39%.
It also raised its revolving credit Home Equity rate by even less. That rate rose to 6.70%, up 10 bps from 6.60%.
The rise in both rates has been limited because the previous rates were above market. The new rates are also above market, but now less so.
At the same time HSBC made changes to its fixed home loan rate offers, reducing two rates and increasing one.
Their six month rate rose to 5.49%, up 10 bps from 5.39%.
Their four year fixed rate fell to 6.89%, down 10 bps from 6.99%.
And their five year fixed rate was cut by 21 bps to 6.99% from 7.20%.
The rate cuts at the long end are made possible by declining swap rates which fell again today after the HSBC changes.
After these changes, HSBC has the lowest one year and two year fixed rates in the NZ mortgage market, has the lowest five year fixed rate at 6.99% a position it shares with the Co-operative Bank and SBS. And it has a very competitive four year fixed rate, only bested by 4 bps by the Co-op Bank.
HSBC rates are for their Premier clients only who qualify either via a minimum combined home loan of NZ$500,000 or NZ$100,000 in savings and investments with HSBC. "Additional benefits include no fees at ATMs of any bank in New Zealand, commission-free foreign currency exchange at any HSBC branch worldwide and the ability to transfer money internationally between your own HSBC accounts free of charge in as little as 30 seconds."
The only other mortgage rate change of note today was by NZCU Baywide who raised their floating rate by the full 25 bps to 6.10%. Among the major players, only SBS and Westpac have a lower rate.
See all banks' carded, or advertised, home loan rates here.
The latest fixed rates compare as follows:
| below 80% LVR | 1 yr | 18 mths | 2 yrs | 3 yrs | 5 yrs |
 |
5.85% | 5.99% | 5.95% | 6.85% | 7.40% |
 |
5.95% | 5.99% | 6.19% | 6.25% | 7.40% |
 |
5.85% | 5.99% | 5.95% | 6.29% | 7.40% |
| Kiwibank | 5.85% | 6.19% | 6.60% | 7.20% | |
 |
5.85% | 5.99% | 6.19% | 6.85% | 7.40% |
| Co-op Bank | 5.85% | 5.85% | 5.99% | 6.35% | 6.99% |
 |
5.49% | 5.79% | 6.55% | 6.99% | |
 |
5.60% | 5.85% | 5.99% | 6.35% | 6.99% |
| TSB | 5.70% | 5.85% | 5.99% | 6.60% | 7.40% |
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