Kiwibank cuts home loan rates

Kiwibank has today cut its key two-year home rate to 7.99 per cent per annum, the only bank in New Zealand to have any rates below the benchmark 8 per cent level.

The Kiwibank rates compares with the other main banks that are presently offering two-year rates of around 8.70 per cent and 8.90 per cent.

Kiwibank Chief Executive Sam Knowles said the bank was "jumping the gun" on an expected cut in the official cash rate late next month.

"Rates are coming down, but for many home loan owners the falls have been too little and too slow. There are a lot of homeowners who have loans due for renewal over the next couple of months. They can now switch to a rate that will give them certainty in these turbulent economic times," Mr Knowles said in a statement.