Month: May 2022

NZBA chief executive Roger Beaumont said these mortgage holders likely kept their repayments the same while interest rates fell to record lows.

Roger Beaumont, New Zealand Bankers’ Association chief executive, said about 44% of people with a home loan were ahead on their repayments “likely because as interest rates have declined over the last few years, they may have retained their repayments at the same level.”

According to the New Zealand Bankers’ Association, about 56,000 new home loans were taken out between July and December last year at an average size of $407,000.

“Depending on their loan, others may have increased their repayments further to get ahead and repay their loan more quickly. This shows good financial capability among people with home loans. It also means they’re quite well placed in an environment of rising interest rates.”

The New Zealand Bankers’ Association has released its latest half-yearly Banking Insights, covering the six months to the end of December 2021, using information collected and aggregated from NZBA’s 10 main retail member banks.

Banks are in very early stage talks with the Government about potentially providing investment funding through a Business Growth Fund announced in Thursday’s Budget to support small and medium sized enterprises, the New Zealand Bankers’ Association says.

“Discussions with some banks on a potential Business Growth Fund are at a very early stage. No agreements or commitments to participate have yet been reached.”

‘Not good enough’ is the summation of the Bankers’ Association when it comes to the Government’s tweaks on the CCCFA. Chief executive Roger Beaumont joined Mike Hosking.