Westpac and ASB lift floating rates

Two of New Zealand's four big banks have increased their floating home loan interest rates following last week's Reserve Bank Rate hike.

Westpac has increased its floating rate to 9.05 per cent while ASB Bank has raised its to 9.00 per cent.

BNZ and ANZ-National Bank are expected to follow suit over the next few days and the banks are also expected to raise fixed mortgage rates soon, banking commentators say.

Last week the Reserve Bank raised New Zealand's official cash rate from 6.5 per cent to 6.75 per cent.

- NZPA