Westpac NZ reports profit of near $1 billion
Low interest rates are helping New Zealanders get ahead on their mortgages, Westpac said as it delivered its latest result.
The New Zealand arm of the bank reported a profit of $970 million for the year.
Chief executive David McLean said the result reflected a strong economy and was supported by good credit quality, with the bank continuing to focus on enhanced customer service, quality lending and targeted growth in key sectors.
Home loans grew 4 per cent over the year.
‘‘We are continuing to focus on helping our customers and the New Zealand economy grow and we are investing in our business to improve the banking experience,’’ he said.
‘‘Customers are taking advantage of today’s low interest rates by making extra mortgage repayments, building savings buffers and entering the property market.
‘‘Over the last 12 months, we have reduced or removed 11 of our banking fees in direct response to customer feedback, lowered customer complaints by 21 per cent and introduced a range of innovative products and services to make life easier for customers.’’
Sales through digital channels were up 22 per cent across the year. a
Funds in the Westpac KiwiSaver Scheme increased by 19 per cent from $4.4 billion to $5.2b.
‘‘We’ve also stepped up our programme of proactively contacting default fund customers to check they are in the best fund for their needs.
‘‘We’re pleased to have achieved the highest percentage of default to active choice conversions of all banks in 2017 and will continue with this focus to help our customers make better investment decisions.’’