ASB Bank increased its fixed home loan rates on April 29, 2026. The hike reflects broader trends in global financial markets and increasing pressure on borrowers.
The bank raised its rates across various terms. The one-year rate increased by six basis points to 4.65 percent. The two-year rate rose from 5.09 percent to 5.25 percent. Other adjustments included:
- The 18-month rate moving from 4.85% to 4.95%
- The three-year fixed rate rising to 5.49%
- The four-year fixed rate increasing to 5.69%
- The five-year fixed rate climbing to 5.89%
ASB also lifted term deposit rates by between five and 20 basis points across similar terms. All major banks in New Zealand have recently raised their mortgage rates.
Adam Boyd from ASB noted, “Global financial markets have been volatile, and ongoing geopolitical tensions have driven sustained increases in wholesale interest rates.” These conditions affect lending and deposit pricing in New Zealand.
The current adjustments highlight the challenges facing borrowers today. The increased costs come as many seek stability amid financial markets volatility.
Boyd added, “There is real value in talking through your options and ensuring your lending structure is working for your circumstances.” This advice becomes increasingly relevant as borrowers navigate these changes.
