BNZ has become the latest bank to lower its two and three-year home loan rates.
On Thursday the bank cut its special two-year rate from 7.05 percent to 6.89 percent and its three-year rate from 6.85 percent to 6.79 percent.
The standard two-year rate meanwhile dropped from 7.65 percent to 7.49 percent and from 7.45 percent to 7.39 percent for three years.
It comes after ANZ dropped its rates earlier in the week for its two and three-year rates as well.
On Tuesday the bank cut its two-year rate to a special of 6.89 percent and the three-year to 6.75 percent.
Kiwibank's two-year special rate meanwhile is 7.05 percent and its three-year rate is 6.89 percent.
ASB's two-year special rate is the same while its three-year rate is 6.85 percent.
TSB's two-year special rate meanwhile is 7.09 percent and its three-year rate is also 6.85 percent.
It comes as wholesale rates have dropped sharply this month but economists warn banks are largely holding off on drops because of the Reserve Bank of New Zealand's grim outlook.
Earlier in the week independent economist Tony Alexander said banks are likely holding off because the RBNZ has been clear it would prefer mortgage rates didn't drop significantly.
It comes as the central bank battles to lower New Zealand's stubbornly high inflation mainly through high interest rates.
