Westpac NZ announces cuts to home loan rates.

Westpac NZ is cutting advertised fixed home loan rates on 3-to-5-year terms, effective Friday 19 June, to offer greater value for homeowners seeking more certainty on their repayments.

The 0.2% to 0.3%p.a. reductions mean Westpac now offers advertised special rates of 5.29%p.a., 5.39%p.a. and 5.49%p.a. on 3, 4 and 5 year terms respectively. 

Westpac now has the joint lowest 2-year advertised fixed home loan rate and the outright lowest 3-to-5-year rates among New Zealand’s five largest banks as of midday Thursday.

The bank is also reducing term deposit rates on 3-to-5-year terms by 0.2% to 0.3%p.a.

“Positive geopolitical developments in the last few weeks have brought our longer-term funding costs down and we’re moving quickly to pass savings on to borrowers,” says Westpac NZ Managing Director of Product, Sustainability and Marketing, Sarah Hearn.

“These changes may be particularly appealing for customers given the OCR is expected to increase over the coming year.

“This is about providing greater options and value for homeowners.  While many still prefer the flexibility of fixing for shorter terms, we know that some like the idea of locking in part or all of their lending for longer, especially in times of uncertainty.

“We haven’t seen a similar drop in funding costs on shorter lending terms, however we’ll keep monitoring wholesale interest rates closely.”

Regardless of their financial situation, Ms Hearn encourages homeowners to think about their repayment strategy and what steps they can take to get mortgage free sooner.

“New Zealanders have faced an anxious few months with rising costs and while the picture seems to be improving for now, expert advice and guidance can help them stay on top of future volatility.

“Please come and talk to us if you have any questions about how to get the most out of your money.”

ENDS

Westpac Choices Fixed Home Loan rates – Special (effective Friday 19 June 2026)

Westpac Choices Fixed Home Loan rates – Standard (effective Friday 19 June 2026)

*Interest rates are subject to change without notice. Westpac NZ’s lending and eligibility criteria, and terms and conditions apply. A low equity margin may apply. For more information please go to www.westpac.co.nz. 

Term Deposit & Term PIE rates (effective Friday 19 June 2026)

*Rates are subject to change without notice. Minimum $5,000 deposit. Rates are available for Retail and Business Banking customers holding up to $5,000,000 total deposits, either solely or jointly with Westpac NZ (including PIE investments). For rates applicable to amounts in excess of $5,000,000, please contact us. Rates are not available to Financial Institutions. Other T&Cs apply, see westpac.co.nz for details and a copy of the relevant Term Sheet. Compounding interest: For terms six months or longer, interest can be compounded quarterly. 

Investments made in the Westpac Term PIE Fund (“Fund”) do not represent bank deposits or liabilities of Westpac Banking Corporation ABN 33 007 457 141, Westpac New Zealand Limited (“Westpac NZ”) or any other member of the Westpac group of companies. They are subject to investment and other risks, including possible delays in payment of withdrawal amounts in some circumstances, and loss of investment value, including principal invested. None of BT Funds Management (NZ) Limited (as manager), any member of the Westpac group of companies, Trustees Executors Limited (as trustee), or any director or nominee of any of those entities guarantees the Fund’s performance, returns or repayment of capital.