Kiwibank says its one-year fixed mortgage rate special, the lowest in the market, has attracted an unprecedented level of interest.
The bank says it has approved $150 million worth of loans since it announced the special rate of 4.99% three weeks ago.
Kiwibank has cut fixed mortgage rates by between 0.25% and 0.4% and extended its market-beating one-year fixed rate.
It has extended its one-year fixed rate special of 4.99% for a limited time. The rate is the lowest in the market but Kiwibank spokesperson, Bruce Thompson, says the special requires a 30% deposit.
He says the bank is taking advantage of recent falls in its borrowing costs in local money market and from deposits.
The changes bring the bank's other fixed rates in line with many of the big Australian-owned banks.
Many of those banks cut their rates last week after borrowing costs on the local money market fell to record lows.