Current rates

 
6 month fixed
 
1 year fixed
 *
2 year fixed
 *
3 year fixed
 
4 year fixed
 
5 year fixed

* Min 20% equity. The standard 2 year rate is 6.09% p.a, the standard 3 year rate is 6.29% p.a.

How it works

You sign up to pay a set interest rate for a fixed amount of time.

  • Your repayments depend on the amount and term of your loan, and the interest rate you’re paying.
  • Even if interest rates go up, you’ll continue to pay your fixed rate until the end of the term. But remember it goes the other way too - if interest rates start dropping, or if your circumstances change, you’ll still be locked into the fixed rate and payments until your chosen term ends.
  • If you structure your loan with different parts on different terms, each part will have a different repayment plan.

It costs $100 each time you fix some or all of your loan, and you may have to pay a fixed rate break cost if you break the fixed term early.

Making extra repayments

You can make extra payments in any year of a fixed term loan of up to 5% of the loan amount at the start of the fixed term.

You can do this by:

  • increasing your regular repayments, or
  • making lump sum payments.

If you pay off more than 5% extra, you could be charged a lump sum repayment fee, and potentially also a fixed rate break cost.

If you want the option to make extra repayments, you might be better to keep part of your loan on a variable rate — you can make extra repayments on this part whenever you like.

To make an extra payment or change your regular payments, call 0800 000 654, 8am to 6pm Monday to Friday.

When the fixed term is up

When the fixed term is up, you can:

  • re-fix that part of your loan at the current interest rates
  • change that part of your loan to variable or offset.

If you don’t do anything, the fixed part will automatically roll onto the variable interest rate when the term is up.

Breaking a fixed rate term

If you want to break a fixed rate loan before the term is up, you might have to pay a break cost. This includes:

  • breaking your term to take advantage of a better interest rate
  • paying off your loan early
  • making extra repayments over the 5% limit.
More about break costs

Best for people who:

  • budget with certainty about what their repayments will be
  • have regular income or want to pay their loan off faster but within the 5% limit
  • want to reduce the risk or impact of rising interest rates
What next?
Consider teaming up your fixed rate with a variable rate or offset mortgage. Or if you’re ready to apply, click here.

Displayed interest rates subject to change. Kiwibank’s lending criteria, terms and conditions and fees apply.