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  • Originally posted by essence View Post
    Check this out.

    ANZ/National, BNZ, ASB, Kiwibank and several second tier lenders have also put up their 3, 4, 5 year rates.

    Who says we won't be back to double digits on long term rates by Christmas??
    As dandan and com dan would say...hurry now, the window is closing

    As Perry and Badger have said.....what about deposit rates?

    Comment


    • Yes, interest rates are going up but let's keep it in perspective here.

      Nov 2007 the lowest 5 year fixed rate was with ASB @ 8.6%. In May 2008 it went up to about 9.5%. It went down to 5.95% in February 2009 and has now risen to 7.25%.

      Go to http://www.goodreturns.co.nz/data-rates.html , pick compare rates and do a bit of sleuthing.

      We've got the lowest rates for 40+(?) years and people are still complaining???

      My advice - stop moaning about the super low rates you've missed out on and pick a rate you're happy with. Make a decision!!!
      Patience is a virtue.

      Comment


      • Thanks for this thread. I fixed 5 yrs early last week, scraping in before the rise. Sometimes people need things spelled out clearly, I'm one of them. It took re-reading a few times to realise, heck, these rates are historically low. Cheaper even when I bought the place several years ago. Your head gets clouded and cobwebbed with other things it's hard to get the actual substance out. So, having threads like these is good.

        Comment


        • Originally posted by dandan
          Looks like interest rates have a winter sale coming up in July so I'll be hibernating mine, then.
          What makes you say this dandan? I hope you're right as I am still sitting on variable. I think/hope long term 5 yrs will get lower but with me it's just a hunch.

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          • I just put a lot on 5 years... mainly for cashflow planning. I was also able to shift from IO to P&I and keep my repayments about the same. Can't complain about that!
            You can find me at: Energise Web Design

            Comment


            • I was also able to shift from IO to P&I and keep my repayments about the same. Can't complain about that
              !'

              I locked mine down immediately after the last announcement for 4-5 years - and also moved a portion onto P&I.

              It's nice to know that I locked down and can now forget about it. Yay!
              Lisa

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              • Heard today a rumour the banks crept long term rates up to encourage investors to fix them.

                They suspect economy to get worse and rates later in year to come back down and crash further.

                Sounds possible to me.

                Depends on investor risk actually. fix now at a low rate or take the punt thing will get worse?
                Maybe do both fix some and gamble on others?

                Disclaimer:
                If hyperinflation hits in a few years all bets are off.

                Comment


                • Originally posted by Whitt
                  They suspect economy to get worse and rates later in year to come back down and crash further.
                  Hey Whitt. I wondered about that too. I suppose it's possible but if the economy gets worse, where will they borrow the money to lend out and at what rates?
                  You can find me at: Energise Web Design

                  Comment


                  • Originally posted by dandan
                    The dairy owner told me when I was buying an inflation proof 50cent mixture.

                    Why do you want a 5 year term?
                    I was thinking 5 years for cashflow certainty like most others. I still have other fixed term loans so I do have interest cost averaging (they all expire by mid 2010 and I am not running around panicking about that - yet).

                    I do think we will get high inflation within 18 months to 2 years - probably not hyperinflation but who really knows. Maybe by the time all these 5 year terms expire 2014 we will be in the middle of the high inflation and in the poo. Maybe it is best to float or fix short term for 18 months and then fix for 5 yrs? It's all a big guess. Maybe I am better waiting until July next year and fix for 7 yrs by taking my business to BNZ (take note ANZ!!!!!!!) without paying any more break fees than I already have.

                    What terms are you looking to do with yours dude? I'm interested - you sound a little different from most others who have posted their opinion on the subject.
                    Last edited by BusyLizzy; 26-03-2009, 10:03 PM.

                    Comment


                    • Well done for taking a contrarian position, dandan. Pleased I'm not the only one!

                      Comment


                      • Originally posted by dandan
                        4 working days after the mid june ocr anouncement I plan to fix for the highest even numbered term in the 4s.
                        Why? do you have a fear of odd numbers?

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                        • All sorts of rates available at the the moment.

                          Westpac seem to be leading the pack again with another increase in rates.
                          2yrs 6.25%
                          3yrs 6.50%
                          4yrs 6.95%
                          5yrs 7.25%

                          See all new rates at http://www.interest.co.nz/mortgages.asp
                          "There's one way to find out if a man is honest-ask him. If he says 'yes,' you know he is a crook." Groucho Marx

                          Comment


                          • BNZ, ANZ and National banks have all announced increases to their long term interest rates today, joining ASB, TSB and Westpac to round off a week of hectic rate rises.
                            BNZ's three to seven year fixed rates on its Standard and Global Plus product lines are now higher but reduced its six month fixed rates.
                            The bank's three year standard rate is now 6.59 percent, up 0.6 percent from 5.99 percent while its four year rate is now 7.19 percent, up from 6.49 percent. Five year rates are now 7.29 percent from 6.69 percent and seven year rates are up 0.79 percent, to 7.99 percent.
                            However, six month fixed rates across all product lines have dropped by 0.2 percent, while no changes have been made to floating rates.
                            Sister banks ANZ and National banks have increased their rates again, having raised long term fixed rates as recently as Monday.
                            Their two year fixed rate is now 6.25 percent, up from 5.95 percent while their three year rate is now 6.75 percent. Their four year rate is now 7.15 percent up from 6.55 percent and their five year rate is now 7.50, up from 6.75 percent.
                            BNZ's general manager of strategy and marketing, Blair Vernon, said volatility in off shore markets has cause costs for long term funds rapidly rise.
                            "These significant increases have been reflected in our longer term fixed housing rates. Shorter term costs which are partially priced off domestic factors such as the OCR have eased, and we have decreased our 6 month rates to reflect this."

                            Comment


                            • When is it going to stop?
                              Have they done their dash for the next 2-4 weeks?

                              ???

                              Yikes.

                              Aeryn

                              Comment


                              • Is this just a marketing angle so they raise rates now to appear that there is a drop when they review OCR at end of April ?

                                No sure if long term rates have now hit bottom and are now onthe way up ? seemed like a short lived drop if thats true.

                                Comment

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