Westpac NZ supports homeowners and savers following OCR cut.

Westpac NZ is cutting a range of its lending rates, including introducing a new special rate of 4.75% p.a. on the popular 1-year, 18-month and 2-year terms – the outright-lowest rates on these terms among the five biggest banks as of 4pm Wednesday.

Westpac is also decreasing its 3-year and 4-year special home loan rates, effective Friday 22 August.

Effective Monday 25 August for new customers and Thursday 28 August for existing customers, Westpac is also cutting variable home loan rates by 0.20% p.a., and most variable business lending rates by 0.20% p.a. 

The rate on the 32-day Notice Saver is remaining unchanged at 3.00% p.a. while other savings rates and several Term Investment rates are being reduced.

Westpac NZ Managing Director of Product, Sustainability and Marketing, Sarah Hearn, says the bank is working hard to support both borrowers and savers.

“We know cost pressures continue to weigh on many households and businesses, and we’re acting swiftly to pass on lower rates for borrowers,” Ms Hearn says.

“Our consistent offer of 4.75% p.a. across the 1-year, 18-month and 2-year home loan terms will appeal to customers looking to split their loans across different terms, given the changing outlook for the OCR.

“We also know savers are watching falling rates closely.  By not passing on any of today’s 0.25% rate cut on our Notice Saver product, we’re keeping the rate at 3.00% p.a., which we believe offers great value for customers who don’t need on-call access to their savings.

“While we know families and businesses are still feeling the effects of high living costs and economic uncertainty, we expect cost pressures to ease over the rest of the year.  We’re here to support New Zealanders to grow by offering great products, services and digital functionality, as well as competitive rates.”

Fixed Home Loan rates – Special (effective 22 August 2025)

Fixed Home Loan rates – Standard (effective 22 August 2025)

 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 

Variable home loan rates (Effective 25 August 2025 for new customers and 28 August 2025 for existing customers) 

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 22 August 2025) 

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. 

Variable deposits rates (Effective 24 August 2025)  

 Westpac NZ's terms and conditions and eligibility criteria apply. Fees and charges may apply. Any rates of return are subject to change without notice.  

Westpac Bonus Saver PIE is offered under the Westpac Cash PIE Fund and Notice Saver is offered under the Westpac Notice Saver PIE Fund. Investments made in the Westpac Cash PIE Fund and/or the Westpac Notice Saver PIE Fund (each a "Fund” and together the "Funds") 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 Funds’ performance, returns or repayment of capital.