HSBC slashes rates and launches campaign

HSBC launched a home loan campaign today featuring the most competitive rates across the most common fixed terms currently available in the market.

Wednesday, April 7th 2010, 3:49PM

by Jenha White

HSBC head of personal financial services John Barclay says the competitive rates campaign is designed to increase awareness of HSBC as the home loan provider of choice for high net worth New Zealanders.

A customer can qualify for HSBC Premier if they have minimum combined home loans of $500,000.

The new home loan rates on offer include a six-month fixed term rate which has been cut by 50 basis points to 4.99%. This is the lowest of all currently published rates including variable rates in the market.

The lowest the HSBC six-month rate has previously been is 5.39% between June and October last year and the highest in Mortgagerates.co.nz records is 9.80% two years ago.

Its one and two-year rates have also been slashed by 50 basis points. The one year rate is now 5.49% which is a lot lower than the median for minor banks of 6.20% and the closest bank rates are National Bank, Westpac and Kiwibank on 6.15%. Its two-year rate is now 6.49% with TSB the closest bank on 7.09%.

The three-year rate has also been reduced by 40 basis points to 7.29% and the four-year rate has seen a substantial cut of 56 basis points to 7.69%. The median bank rates for these terms are 7.70% and 8.20% respectively.

Barclay says the new rates published today underline just how good HSBC's offering is, and also creates an opportunity to make prospective customers more aware of the highly personalised service HSBC provides.

"Key benefits of the offering include a dedicated relationship manager to assist customers with their banking needs, access to 300 HSBC Premier centres worldwide, and uniformity of service internationally," Barclay says.

"Our new home loan rates reinforce that we're serious about providing our customers with the best offer in the market."

To see how the rates compare with other lenders click here.

Jenha is a TPL staff reporter. jenha@tarawera.co.nz

« ASB's profit, mortgage market share dips

NZ dollar follows Australian dollar lower on weaker home loans »

Special Offers