BNZ has moved some of its key fixed mortgage rates down to match recent market moves from other major players

BNZ has come to the party in terms of trimming its mortgage rate settings, following on from other recent downward adjustments elsewhere.

The BNZ has trimmed its one-year, two-year and three-year rates, effective from Monday, which followed a similar move from Westpac on Friday.

The 'classic' one year is being cut 10 bps to 4.29%,  the two-year 6 bps to 4.49%, and three-year 14 bps to 4.85%.

In terms of the 'standard and fly buys rates' the one-year is down 10 bps to 4.89%, two-year is down 24 bps to 5.05%, and three-year is down 10bps to 5.49%.

This all follows on from last week New Zealand's largest home lender ANZ deciding it could not live with its current mortgage rate settings following ASB's recent cuts.

It responded with its own cuts, and made them across the board.

ANZ matched ASB with a 4.29% one year 'special' rate - and now BNZ has come in at the same level.

In wholesale markets, swap rates have been little changed in more than a year, so wholesale money costs are not behind the move at the short end. Competition is.

At the longer end, perhaps falling swap rates are allowing those reductions.

See all banks' carded, or advertised, home loan interest rates here.

Here is the full snapshot of the fixed-term rates on offer from the key retail banks.

below 80% LVR	6 mths	1 yr	18 mth	2 yrs	3 yrs	4 yrs	5 yrs
as at June 25, 2018	%	%	%	%	%	%	%
	4.99	4.29	5.15	4.49	4.85	5.85	5.99
	4.95	4.29	4.39	4.49	4.79	5.39	5.59
	5.35	4.29	5.05	4.49	4.85	5.89	6.09
	4.99	4.35		4.39	4.85	5.19	5.39
	5.25	4.29	5.15	4.49	4.85	5.89	5.59
	4.80	4.29	4.45	4.55	4.89	5.39	5.59
	4.85	4.19	3.85	4.29	4.89	5.29	5.59
	4.99	4.29	4.59	4.55	4.99	5.49	5.55
	4.85	4.29	4.39	4.55	4.89	5.55	5.69

In addition to the above table, BNZ has a fixed seven year rate which is 6.15%.

And TSB still has a 10-year fixed rate of 6.20%.