The state-owned lender follows the pack with a +25 bps raise to 6.65%, signals term deposit rates are rising too

Kiwibank today announced its new floating mortgage rate.

It will be 6.65%, up +25 bps from 6.40%.

This change is effective Wednesday, July 30 for new clients, and August 12, 2014 for existing customers.

They are the last major mortgage lender to announce their response to last week's OCR 25 bps hike.

Among those five majors, Westpac retains the lowest floating rate even though their increase was +35 bps as announced earlier today.

At the same time, Kiwibank signaled it will be increasing term deposit rates next week "for a number of terms".

They already have a 200 day 'special' at 4.40% and starting Monday they will shift their six month rate up +40 bps to 4.50%. It seems likely the 200 day 'special' will be withdrawn then.

At the same time, the Co-operative Bank also announced its new floating rate. See separate story here.

See all carded, or advertised, bank home loan rates here.

You can also see all bank non-interest rate home loan incentives here.

Kiwibank's new floating home loan rates compare with their main rivals this morning as follows:

below 80% LVR	Floating	Revolving
		Credit
	6.74%	6.85%
	6.75%	6.75%
- Total Money	6.74%
- Standard & FlyBuys	6.74%	6.74%
Kiwibank	6.65%	6.65%
	6.59%	6.75%
Co-op Bank	6.70%	6.70%
	6.59%	6.80%
	6.30%	6.35%
	6.49%	6.49%

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