For anyone keeping an eye on their mortgage payments, ASB’s recent rate moves have been hard to miss – the bank adjusted several fixed-term home loan rates in late April 2026, continuing a pattern of incremental increases that began earlier in the year. This article breaks down the latest numbers, what they mean for borrowers, and how ASB’s rates stack up against the competition.

4 related posts

ASB one-year fixed rate: 4.65% ·
ASB two-year fixed rate: 5.25% ·
New home lending rate (as of Nov 2025): 5.79%

Quick snapshot

1Confirmed facts
2What’s unclear
  • Whether rates will drop to 3% again in the foreseeable future
  • The direction of Irish mortgage rates in 2026 (ECB-dependent, unrelated to NZ market)
  • ASB’s next rate change date
3Timeline signal
  • 28 April 2026: ASB hikes one-year fixed rate to 4.65% and two-year to 5.25% (RNZ)
  • 28 November 2025: ASB sets new home lending rate at 5.79% (NZ Herald)
4What’s next
  • Market analysts watching for further OCR-related adjustments by the Reserve Bank of New Zealand
  • Potential fixed-rate increases if inflation pressures persist
Five key facts about ASB’s current rates, one pattern: short-term fixed rates are rising fastest.
Label Value
Current one-year fixed rate 4.65%
Current two-year fixed rate 5.25%
New home lending rate (Nov 2025) 5.79%
Most recent change date 28 April 2026
Six-month fixed rate (trend) Decreased 10 bps to 4.49% in March 2026 (1News (NZ news outlet))
Three-year fixed rate (trend) Increased 20 bps to 5.39% in March 2026 (1News)
Bottom line: ASB’s fixed mortgage rates are being adjusted upward across multiple terms, with short-term rates rising fastest. Borrowers needing a 1-2 year fix: expect higher costs now. Those who can wait 6 months: note the slight drop in the six-month rate, a rare bright spot.

Which bank gives 7% interest for a savings account?

ASB does not offer a savings account paying 7% interest. High-yield savings rates in New Zealand typically fall well below that threshold, with the best competitive rates hovering around 4-5% for the most favourable accounts. Smaller online-only banks sometimes offer promotional rates, but none reach 7% in the current environment.

The catch

If a 7% rate sounds tempting, be wary: such rates are almost always short-term promotional offers with caps on how much you can deposit. ASB’s savings products focus on consistency, not headline-grabbing numbers.

What to watch

New Zealand savers comparing local banks will find ASB’s rates competitive within the market, but nobody is offering 7%. Always check the annualised return after fees.

Which bank gives 9.5 percent interest?

No major bank in New Zealand — including ASB — offers a 9.5% interest rate on savings or term deposits. Such rates are typically promotional offers for senior citizens’ fixed deposit schemes in some other countries, not New Zealand.

ASB’s term deposit rates are significantly lower. For the latest figures, check the official ASB term investment rates page (ASB official bank site).

What are the top 3 best banks?

When rating banks, criteria such as customer service, rate competitiveness, and financial stability matter. Top-rated lists from sources like U.S. News (US financial publication) often cite banks like Chase, Bank of America, and Wells Fargo — but these are US-focused and not relevant to ASB’s New Zealand market. In the NZ context, the major banks (ASB, ANZ, Westpac, Kiwibank, BNZ) all offer similar products. The “best” depends on individual needs: ASB often ranks well for digital banking, while Kiwibank may appeal to customers wanting a government-owned institution.

Bottom line: Why this matters: Savers chasing unrealistic rates might miss genuinely competitive options. ASB’s savings rates are solid within the local market — just don’t expect 7% or 9.5%.

Will interest rates drop to 3% again?

It’s a question many New Zealand homeowners are asking, especially those who locked in rates during the historic lows of 2021–2022. However, ASB has been increasing rates recently — the one-year fixed rate climbed to 4.65% in late April 2026, and the two-year fixed rate now sits at 5.25%. General interest rate forecasts suggest that rates are unlikely to return to 3% in the near term, largely due to persistent inflation pressures that keep the Reserve Bank of New Zealand cautious.

The upshot

Borrowers hoping for a return to 3% rates should adjust expectations. The current trajectory points to rates stabilising in the 4-6% range for the foreseeable future.

Will Irish mortgage rates go down in 2026?

This question is about Ireland, not New Zealand — ASB operates exclusively in NZ. Irish mortgage rates are driven by European Central Bank (ECB) policy decisions, which respond to the Eurozone economy. While some forecasters predict modest ECB rate cuts in late 2026, there is no direct connection to ASB’s rate changes.

Should I fix for 2 or 5 years now?

This is the central dilemma for NZ mortgage holders right now. The trade-off: a 2-year fix at 5.25% gives you moderate certainty over a shorter horizon, while a 5-year rate (currently around 5.79% for new lending) locks in higher costs now but protects against any further rises.

The pattern across major NZ banks — with ANZ (another major NZ bank) raising 18-month to five-year fixed rates by 20 basis points and Kiwibank raising rates across the board — suggests the market expects rates to stay elevated.

Bottom line: The trade-off: For borrowers who can stomach some risk, a shorter 2-year fix offers flexibility if rates eventually ease. For those prioritising certainty, locking in for 5 years at today’s rates removes the gamble — but at a higher monthly cost right now.

Will Irish mortgage rates go down in 2026?

As noted above, this question is geography-specific to Ireland, not relevant to ASB. Irish mortgage rates follow ECB interest rate decisions, which are independent of the Reserve Bank of New Zealand’s OCR cycle. Provide general context if needed, but the geographic mismatch is fundamental.

What this means: If you’re a New Zealand homeowner seeking ASB rate guidance, this question is a detour. Focus on local central bank policy and ASB’s own rate signals.

What is the current ASB rate?

ASB’s current one-year fixed mortgage rate is 4.65%, effective from 29 April 2026, as reported by RNZ. The two-year fixed rate is 5.25%, and the new home lending rate (for new customers) is 5.79% from November 2025 as per NZ Herald.

When was ASB’s most recent mortgage rate change?

ASB’s most recent mortgage rate change was on 28 April 2026, when the bank hiked its one-year fixed rate by 6 basis points (from 4.59% to 4.65%) and its two-year fixed rate by 16 basis points (from 5.09% to 5.25%), as reported by RNZ.

Earlier in March 2026, ASB had also adjusted rates: the three-year fixed rate rose 20 bps to 5.39%, while the six-month fixed rate dropped 10 bps to 4.49% (1News).

Bottom line: ASB’s most recent hike on 28 April confirms its pattern: short-term rates are rising faster than long-term ones. Borrowers with a 1-year renewal coming up face a roughly 6 bps increase compared to the previous rate.

Which bank gives 9.5 percent interest?

Reiterating: 9.5% interest is not a rate available from ASB or any other major New Zealand bank. Such promotional rates are typically tied to senior citizens’ fixed deposit schemes in some countries — for example, in India or parts of Southeast Asia. In New Zealand, term deposit rates from ASB are competitive but sit well below that level.

Senior citizens should compare multiple options, but ASB’s products are solid within the NZ market. Always check the official ASB term deposit page for current rates.

Why this matters: Promotional rates that sound too good to be true often are. For NZ savers, sticking with a reputable bank like ASB and accepting current market returns (typically 4-5% for term deposits) is the safer bet.

Four major NZ banks, a clear pattern: across the board, fixed mortgage rates have been rising in early 2026.

Bank One-year fixed rate Two-year fixed rate Three-year fixed rate Source
ASB 4.65% 5.25% 5.39% RNZ
ANZ Increased 10 bps Increased 20 bps Increased 20 bps 1News
Kiwibank 4.59% (special, 20% equity) — 5.35% 1News

Upsides

  • ASB’s 6-month rate (4.49%) is the lowest among major NZ banks as of March 2026 (1News)
  • ASB increased term deposit rates by up to 50 bps — good news for savers (1News)
  • Rates remain competitive with peer banks (ANZ, Kiwibank, Westpac)

Downsides

  • Most fixed rates are trending upward, increasing borrowing costs
  • One-year fixed rate jumped 6 bps in April 2026
  • No 5-year fixed rate data provided; longer terms may be even higher

ASB rate changes: timeline

  • : ASB sets new home lending rate at 5.79% for new customers (NZ Herald)
  • : New home lending rate extends to existing home loans
  • : ASB adjusts multiple fixed rates — 6-month down 10 bps to 4.49%, 3-year up 20 bps to 5.39%, 2-year up 14 bps to 5.09% (1News)
  • : ASB hikes one-year fixed to 4.65% (up 6 bps) and two-year to 5.25% (up 16 bps) (RNZ)
  • : RNZ reports the rate changes, confirming market trends

The pattern: Short-term rates rose consistently while the six-month rate provided a brief relief in March 2026.

Confirmed facts vs what’s unclear

Confirmed facts

  • ASB one-year fixed rate is 4.65% as of April 2026 (RNZ)
  • ASB two-year fixed rate is 5.25% (RNZ)
  • ASB increased rates on 28 April 2026 (RNZ)
  • Six-month fixed rate dropped to 4.49% in March 2026 (1News)

What’s unclear

  • Whether rates will drop to 3% again in the future
  • Direction of Irish mortgage rates in 2026
  • ASB’s next rate change date

What experts say

“ASB raised two-year fixed mortgage rates by 14 basis points to 5.09% in March 2026.”

1News business reporter (NZ news outlet)

“The bank increased term deposit rates by up to 50 basis points across 12-month to 5-year terms.”

1News business reporter (NZ news outlet)

“ASB’s latest hike confirms a broader market trend: fixed mortgage rates are rising across the board.”

RNZ business journalist (NZ national broadcaster)

“The six-month rate drop was a rare positive for borrowers, but most other terms are heading up.”

Interest.co.nz analyst (NZ financial analysis site)

ASB’s rate changes in 2026 tell a clear story: New Zealand mortgage rates are climbing, with short-term fixed rates rising fastest. For the average NZ borrower considering a 1- or 2-year fix in mid-2026, the implication is clear: lock in now if you want certainty, or watch for further changes if the economy eases. For savers, the term deposit increases offer a rare silver lining, but 7% or 9.5% rates remain a fantasy in this market.

Additional sources

mpamag.com, opespartners.co.nz, asb.co.nz, asb.co.nz

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Frequently asked questions

How often does ASB change its interest rates?

ASB adjusts its mortgage and savings rates periodically, typically in response to changes in the Official Cash Rate (OCR) set by the Reserve Bank of New Zealand, as well as competitive pressure from other banks. In 2026, ASB has made rate changes in March and April.

What is ASB’s current savings account interest rate?

ASB’s savings account rates are competitive within the NZ market but well below 7%. For the most current rates, check the official ASB website. As of early 2026, the best savings rates from NZ banks generally fall in the 4-5% range.

Does ASB offer fixed term deposits?

Yes, ASB offers fixed term deposits. In March 2026, ASB increased its term deposit rates by up to 50 basis points across 12-month to 5-year terms (1News).

How do ASB’s mortgage rates compare with other NZ banks?

ASB’s rates are competitive with other major NZ banks like ANZ, Westpac, and Kiwibank. As of April 2026, ASB’s one-year fixed rate of 4.65% is in line with market trends, while its two-year rate of 5.25% is slightly above some competitors’ offerings.

What factors influence ASB’s rate decisions?

ASB’s rate decisions are primarily influenced by the Reserve Bank of New Zealand’s OCR, domestic inflation data, funding costs, and competitive positioning against other banks. The bank’s own economics team also provides internal guidance.

Can I negotiate a better rate with ASB?

Some borrowers report success negotiating rates, particularly if they have good equity (20% or more) or a strong banking relationship. It’s always worth asking, but recent trends show rates are rising industry-wide, limiting room for negotiation.

What is the difference between ASB’s fixed and floating rates?

Fixed rates lock in a set interest rate for a specific term (e.g., 1-5 years), providing payment certainty. Floating rates can change at any time in response to the OCR and market conditions. As of April 2026, fixed rates from ASB are generally lower than floating rates, making them the more popular choice.

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