Heartland Building Society says Standard & Poor's has affirmed the lender's BBB- credit rating but amended its outlook from stable to negative.
The lender says the rating gives it certainty to proceed with its application for bank registration, and the planned acquisition of PGG Wrightson Finance.
However, while affirming the credit rating, Standard & Poor's amended Heartland's outlook from stable to negative.
It indicated a change in outlook would depend on an improvement in Heartland's earnings and a lessening of its exposure to property development loans.