Mortgage Interest Rates/Accom Supplement
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Category: General Chat
Forum Name: General Chat
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URL: https://www.ohbaby.co.nz/forum/forum_posts.asp?TID=17368
Printed Date: 05 October 2025 at 9:15am
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Topic: Mortgage Interest Rates/Accom Supplement
Posted By: kebakat
Subject: Mortgage Interest Rates/Accom Supplement
Date Posted: 19 May 2008 at 11:12am
Our fixed term for our interest rate expires at the end of next month 
We will go with fixed rather than floating because floating is just sooooo expensive... BUT.. How long should I fix it for? (what has everyone else done) I'd hate to fix it for ages and then have interest rates drop a fair bit. I've used BNZ's calculator and now I have to find another $100 out of our budget to cover the increase 
And I just wondered about the accomodation supplement. If we go by DH's fortnightly pay (before tax) we are eligible. BUT.. if I take his yearly salary and then add on an approx amount for how much he might get for bonus's and then figure out how much that would average out to fornightly we aren't eligible... does his quarterly bonus ' count? (I'm guessing everyone will say yes) |
Replies:
Posted By: CuriousG
Date Posted: 19 May 2008 at 11:19am
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Is the accom supplement from Winz or from IRD? If its Winz, you dont have to pay anything back do you if they overpay you as such?
And are his quarterly bonus's actually guaranteed? I would ring Winz and ask them. ------------- http://lilypie.com"> 
http://lilypie.com"> 
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Posted By: KH25
Date Posted: 19 May 2008 at 11:20am
Hmmm not sure about the accom. supplement. As for interest rates - they have dropped slightly in the last couple of weeks. And they are "predicted" to drop a bit next year sometime. I discussed this with our bank manager a few weeks ago as we are just about to start building so won't need a mortgage until November. Her advice was to fix for maybe 1 or 2 years and then the rates *should* be a bit lower  ------------- Kelly, mum to DD, 19Jun06 (26wks 1lb15oz) DS1, 24Oct10 (32wks 4lb11oz) and DS2, 31Dec11 (32wks, 4lb11) http://lilypie.com"> 
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Posted By: kebakat
Date Posted: 19 May 2008 at 11:21am
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I *think* it's IRD since I did the calc's on the WFF website.
They are guaranteed a bonus but the size isn't guaranteed. We have to totally guess that amount. It goes on how much money the branch makes in that quarter and then they get some amount which relates to that figure. |
Posted By: CuriousG
Date Posted: 19 May 2008 at 11:23am
I ended up paying back over $600 when I had Char because our income was variable. It sucks, you need the money at the time so why can't you just have it? I mean, I pay mega tax but the time I need help, I am denied it (or have to pay it back in this case). And yet there are so many people out there doing nothing and getting my tax. Dont get me started... 
I would ring and ask if you are eligible and go from there. Better to be safe than sorry. ------------- http://lilypie.com">
http://lilypie.com">
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Posted By: minik8e
Date Posted: 19 May 2008 at 11:34am
| I don't know about the accom supplement thing, but we fixed our mtge in February for 3 years. We were slightly lucky that we got in just before they rose again. Hopefully, according to most people, in 3 years the rates should have dropped a fair bit...most people are saying around 2 years is a good time. |
Posted By: peachy
Date Posted: 19 May 2008 at 11:51am
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Ours comes up for renewal in November, at this stage we are planning to only fix for 1 year with how things are looking. ------------- http://lilypie.com">  http://lilypie.com">
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Posted By: Roksana
Date Posted: 19 May 2008 at 12:09pm
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Mine is coming up on 30/05. I am fixing it back up for two years...praying real hard that after 2 years it comes back down and doesnt go back up!!
I think with BNZ its 9.29 for two years. You can also lock the rate ...from what I hear it is going back up again!! ------------- http://lilypie.com"> 
http://lilypie.com"> 
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Posted By: peanut butter
Date Posted: 19 May 2008 at 12:19pm
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we have to refix in October...as if much will be happening around then with the election and all so I guess we will see whats happening. I imagine 2 yrs is what we will do as I cant see dramatic changes happening over 2 yrs.
Go through a mortgage broker and they may be able to get you a lower rate! |
Posted By: shaz
Date Posted: 19 May 2008 at 12:24pm
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Kiwibank is currently doing 8.99% if you are borrowing less than 80% of your house value so they are coming down. And they pretty much pay all the fee's etc apart from the discharge of your other Mortgage.
(no I don't work for them just been shopping aoround because we need to re fix ours too)  ------------- Mum to Natasha Aroha 9/12/1995, Alexandra Makareta Waimarie 22/4/1998 and....Alyssa Frances Hopaea 18/03/2007 
[/url] |
Posted By: kebakat
Date Posted: 19 May 2008 at 12:32pm
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Yeah I just saw that, we own about 40% of our house value so that's pretty cool.
I'm going to talk to my bank and see if they can match the interest rates of other banks, if not I may have to talk DH into switching banks for it. BNZ looks like the highest I've found so far grrr
(this is assuming its easy to switch - I don't know hardly anything about mortgages  )
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Posted By: peanut butter
Date Posted: 19 May 2008 at 12:33pm
| its really easy to swtich. most banks are gagging for your business! |
Posted By: emz
Date Posted: 19 May 2008 at 12:39pm
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I've heard 2 years too, luckily we got our mortgage last year and fixed it for 3 so fingers crossed rates will be back down by then. Sucks aye Stacey!
As for the accomm supplement, I don't understand how when we contribute something like 70-80% of our income to our mortgage we still don't qualify for supplement? I'd like to know how exactly they work it out. |
Posted By: Shorty
Date Posted: 19 May 2008 at 12:43pm
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We just swtiched banks, from ANZ to NZHL. We didn't have to do a thing Our NZHL rep did it all. It is a good time to do it when you are due to re sign....
We found the rates are always negotiable (sp?) we were always able to get ANZ to match whatever the others banks were doing....so definately worth a discussion with your personal banker. NZHL work with Kiwibank so they also have some great rates. Sorry can't help with the accom. Supplement. |
Posted By: kebakat
Date Posted: 19 May 2008 at 12:48pm
| I rang kiwibank and they were very interested in having our business. It will be an interesting discussion when I meet with our personal banker at BNZ |
Posted By: Maya
Date Posted: 19 May 2008 at 12:54pm
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Emz - Entitlement to Accomodation Supp is based on total household income. Once you are entitled, they work it out based on a percentage of your accomodation costs, the percentage varies based on whether you are boarding, renting or have a mortgage. And the max. amount payable varies depending on where you live, eg. Aucklanders have a higher maximum amount to reflect the fact that accomodation costs here are higher. -------------  Maya Grace (28/02/03)
 (02/01/06)
The Gremlins:Sienna Marie & Mercedes Kailah (14/10/06)
Lil miss:Chiara Louise Chloe (09/07/08)
Her ladyship:Rosalia Sophie Anais (18/06/12)
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Posted By: fire_engine
Date Posted: 19 May 2008 at 4:10pm
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I heard Gareth Morgan on TV3 and he said fix 1 to 1 and 1/2 years if possible, cos they should come down in that time. From what I've seen, there's no huge advantage to fixing for longer (used to be up to a percentage difference if you were 2 years vs 5 years). We renegotiate in March (come down interest rates!) and will fix for 2 years probably. ------------- Mum to two wee boys |
Posted By: emz
Date Posted: 19 May 2008 at 4:27pm
| Thanks Emma! *toddles off to play with the calculator online to see what the threshold is* |
Posted By: kebakat
Date Posted: 19 May 2008 at 4:36pm
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We have decided that unless BNZ can match kiwibank we are going to switch to kiwibank cause it's sooooo much better interest rate wise. But to get that good interest rate you have to fix for 2 yrs.
I'm going to have to work up the motivation to try and get through to IRD tomorrow about the accommodation supplement |
Posted By: Peanut
Date Posted: 19 May 2008 at 4:43pm
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Accomodation Supplement is done thru WINZ so you have to ring them. Can't remember the number but it is on the WFF website.
They are really helpful on the phone and its worth ringing even if you don't think you qualify or the calculator tells you that you don't. As I didn't and rang and actually do qualify for a little bit! -------------  
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Posted By: T_Rex
Date Posted: 19 May 2008 at 5:16pm
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Just a word of warning Stacey, we switched to Kiwibank in Palmy when we moved into this place (National wouldn't match their rate) because the rate was so much lower. It some ways it has been great, because we save heaps on interest, BUT once you've actually signed up, Kiwibank have appalling customer service and everything is just so HARD compared to what it was with national. Just a million little things that they seem to be sooo hopeless at. And make sure that you get the 'extras' they promise you in writing before you sign up.
Basically, you get what you pay for! Certainly when our term expires we will do our best to get another bank to come close to their rate just so we can ditch them and avoid the hassle! ------------- http://lilypie.com">  http://lilypie.com">
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Posted By: kebakat
Date Posted: 19 May 2008 at 5:37pm
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I'll bear that in mind thanks!
We will keep all our other banking with BNZ as we love what they can do for us there. It's just that what I worked out this avo with BNZ we would be looking at approx $100 increase in fortnightly payments. With kiwibank its $50 which is easier to find on a tight budget! |
Posted By: mummy_becks
Date Posted: 19 May 2008 at 5:49pm
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Accom Supplement is done through WINZ and all you have to provide is income, rates, mortgage, insurance and something else which I can't remember. I wouldn't worry about the bonus and just give them a couple of DH's payslips to show them the income. As for banks I have heard that Kiwibank in Palmy is really bad for customer service. Hopefully BNZ will come to the party here as I think they are wonderful. ------------- I was a puree feeder, forward facing, cot sleeping, pram pushing kind of Mum... and my kids survived! |
Posted By: busymum
Date Posted: 19 May 2008 at 6:02pm
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You can go to a mortgage broker for advice, we did, the current advice is no more than 2 1/2 yrs ------------- |
Posted By: kebakat
Date Posted: 19 May 2008 at 6:15pm
| I really don't think that BNZ will drop their rate of 9.45% which is the highest I've found, to the lowest I've found of 8.99%. That's a big jump |
Posted By: mummy_becks
Date Posted: 19 May 2008 at 6:18pm
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Can you get their 9.29% one they have at the moment seeing as you have all your banking there including CC and insurance. ------------- I was a puree feeder, forward facing, cot sleeping, pram pushing kind of Mum... and my kids survived! |