Bank says it’s lowest

HSBC has launched what it calls the lowest home loan rate offered by a New Zealand bank in at least a decade.

Its new rate in the battle for borrowers is a threeyear fixed term of 4.99 per cent.

It is also offering that rate for one and two-year terms. For longer maturity loans it is offering 5.50 per cent for four years and 5.75 per cent for five years.

Like many of these bank offers it is ‘‘ open for a strictly limited time’’ and it is limited to new HSBC premier customers and existing premier customers who borrow an additional $ 100,000. As usual with HSBC there are qualifying criteria to becoming an HSBC premier customer. Individuals need to qualify with either a minimum combined home loan of $ 500,000 or $ 100,000 in savings and investments.

‘‘We are excited to bring this offer to our customers,’’ head of retail banking and wealth management John Barclay said.

‘‘These options mean that our premier customers can get the rates that work best for them and discussions indicate that many are now considering longer term fixed rates,’’ he said.

‘‘Customers can also work with one our experienced relationship managers to put together the home loan solution that best meets their individual needs.

‘‘ From our experience, when it comes to home loans, one size doesn’t fit all and it is important for customers to be able to choose the home loan structure that suits them best,’’ he said.

‘‘Since introducing HSBC premier to New Zealand, we have offered highly competitive fixed home loan interest rates, and offering New Zealand’s lowest three year fixed rate in at least 10 years demonstrates that,’’ Mr Barclay said.