Business

CBA says NZ banks competing aggressively on home loan margins

Commonwealth Bank's chief says some New Zealand banks are willing to offer mortgages with very tight profit margins amid rising swap rates.

Skinny McBuntu

Commonwealth Bank of Australia executives have attributed lower income at its New Zealand subsidiary ASB to rising swap rates and intense competition in the home lending market. The bank's leadership noted that some NZ banks are willing to originate home loans at very low levels of margin, pointing to competitive pressure affecting profitability in the sector.

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interest.co.nz

CEO of ASB's parent CBA says some NZ banks 'happy to originate' home loans 'at very low levels of margin'

Commonwealth Bank of Australia bosses say rising swap rates and competition hit ASB's second half-year income

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