BNZ has moved to increase interest rates for investors in residential property.
It has raised revolving credit interest rates by +15 bps for the two products it offers these types of borrowers.
With this new change in place, it has pushed up the penalty for investors to +25 bps
The new rates apply from March 18, 2019 and change as follows:
| Residential owner-occupier |
Residential Investor |
change | Residential Investor |
|
| current | previous | new | ||
| % | % | % | % | |
| Mortgage One | 6.50 | 6.60 | +0.15 | 6.75 |
| Rapid Repay | 5.95 | 6.05 | +0.15 | 6.20 |
There is no change for residential owner occupiers who use either of these revolving credit products.
BNZ's Mortgage One product is a true interest-only option where the line of credit limit stays unchanged over the term of the loan. They charge $2 $25 per month as an account fee for this option.
BNZ's Rapid Repay product is a traditional revolving credit option, where the available limit reduces each month in the same way a table mortgage reduces. They also charge $2 $3.50 per month for this option
You can see other bank's fees and interest rates for revolving credit products here.
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