Changes to term deposit and personal loan interest rates effective 5 May and 6 May 2021

6 May 2021 UPDATED

Heritage Bank is making changes to personal loan and staff credit card interest rates effective Thursday 6 May, 2021.

The rate changes are as follows:

  • Decrease Car Loan interest rate by 110 basis points (bps) from 5.99% to 4.89%
  • Decrease Standard Personal Loan – fixed interest rate by 100bps from 8.99% to 7.99%

These changes are coming in to maintain the best interests of our customers overall. Our interest rate changes are implemented to ensure good pricing benefits for depositors and borrowers.

As a customer-owned bank, Heritage puts the best interest of members first. Unlike the big listed banks, we only aim to make a modest profit each year and then reinvest those funds into providing better products and services to all members. None of our profits are paid out to shareholders like the big listed banks.

You can find more information on our rates available at our interest rates page.

 

Heritage Bank is making changes to Term Deposit interest payment frequency deductions effective Wednesday 5 May, 2021.

The change decreases the rate deduction to a flat 5bps for the following interest payment frequencies on all Term Deposits:

  • Upfront from 0.15% to 0.05%
  • Fortnightly, monthly and quarterly from 0.10% to 0.05%
  • Half yearly remains at 0.05%

The changes are being implemented to maintain the best interests of our customers overall. They provide a better outcome for members who choose to have interest on their Term Deposit paid more frequently than annually or on maturity.

You can find more information on our rates available at our interest rates page.

 

Basis points (bps) refers to a common unit of measure for interest rates and other percentages in finance. One basis point is equal to 1/100th of 1%, or 0.01%, or 0.0001, and is used to denote the percentage change in a deposit or loan product.