Westpac is the latest bank to trim its mortgage rates today amid competition from rival lenders.

The bank joined BNZ and ASB in lowering its special 18-month fixed home loan rate to 4.45%.

Westpac also trimmed its two- and three-year special mortgage rates to a market-leading 4.45% and 4.75%, respectively.

Its six-month special home loan rate dropped 10 basis points (bps) to 4.89%.

Sarah Hearn, Westpac NZ managing director of product, sustainability and marketing, said its two-year fixed special home loan rate had dropped by 1.20% over the past year.

“This is the third time this month we’ve cut our two-year advertised special home loan rate.

“We’re working hard to offer great rates and options to help homeowners keep more money in their back pockets.”

Westpac is also trimming some of its term deposit rates by between 5bps and 30bps.

“We also know savers will be watching falling rates closely. We encourage customers to use our Savings and Investment Chooser Tool or talk to us if they have any questions about their savings options,” Hearn said.

“We’ve held our 32-day Notice Saver rate unchanged at 3.00% per annum through the last two Official Cash Rate cuts, and have improved the digital experience for customers so they can now apply for a new Notice Saver account online.”

Yesterday, BNZ cut its six-month term rate by 10bps to 4.79%. Its new two-year rate is 4.49%, its three-year rate is 4.79% and its four-year rate is 4.99%.

BNZ lowered its five-year rate by 40bps to 4.99%.

On Monday, ASB cut its six-month rate to 4.85%.

Its two-year rate was cut to 4.49% while its three-year rate dropped to 4.79%.