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BNZ raises home loan rates, following ANZ's earlier increase

New Zealand's BNZ has raised its home loan interest rates, following a similar move by rival lender ANZ, which cited rising wholesale rates. The increases signal continued upward pressure on mortgage costs for New Zealand borrowers.

A suburban residential street in New Zealand
A suburban residential street in New ZealandPhoto: Mitchell Henderson / Pexels
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Bank of New Zealand (BNZ), one of the country's major lenders, has announced an increase to its home loan interest rates. The move follows a similar rate rise from rival lender ANZ just days earlier.

ANZ attributed its own increase to rising wholesale interest rates, reflecting upward pressure on the funding costs banks face in wholesale markets. BNZ's decision to follow suit within days confirms a broader trend taking hold across the sector.

For homeowners and prospective buyers, the moves signal that borrowing costs are unlikely to ease in the near term. Analysts are watching closely to see whether other major banks make similar adjustments in the coming weeks.

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Source: RNZ Business
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This article is an AI-curated summary of the original story published by RNZ Business. The illustration is a stock photo by Mitchell Henderson from Pexels and is not from the original story.

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