Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our opinions or reviews. Learn how we make money.

Co-operative Bank home loans

Struggling to save a 20% deposit? Co-operative Bank may be able to help you get into your first home.


The only bank in New Zealand to share its profits with its customers, Co-operative Bank shared $2.1 million to over 115,000 Kiwis in 2019. While fairly small compared to other national banks, Co-operative prides itself on having excellent customer satisfaction, with the ‘right amount of human touch’ as a digital business.

When it comes to home loans, this bank has options to suit whether you are buying your first home, building a new home or investing in property. If you haven’t been able to save a 20% deposit just yet, Co-operative may be able to approve a loan with a low equity interest rate premium.

Home loans offered by Co-operative

  • Fixed home loans. With loan terms of up to 30 years and interest rates ranging from 3.49% for 6 months to 3.99% for 4 years, a fixed-rate loan locks in your payment schedule for a time period chosen by you. This means that you can have certainty around what your payments are going to be so you can have more control over your finances.
  • Floating home loans. If you’d like more flexibility with when you make extra repayments, a floating home loan allows you to make deposits when you like without penalty. Your interest rate could start at 5.15% p.a., but may go up or down over your loan term depending on what is happening in the market.
  • Revolving credit home loans. Similar to an overdraft, a revolving credit home loan is used as an everyday account where you have your salary credited and pay expenses all from one account. While there is no fixed repayment schedule and you can withdraw funds up to your credit limit, you do need to meet a minimum monthly repayment. Interest is charged at 5.15% and based on the balance in your account.
  • First home loans. Co-operative Bank provides a low-deposit mortgage option for people wanting to buy their first home. If you have at least a 10% deposit, meet the eligibility criteria and want to borrow less than the maximum amount, you could be able to get into your new home sooner than you think. Interest rates in this situation range from 5.49% for 1-year fixed and 7.15% for floating.

Features and benefits

  • Structure to suit. Rather than having a fixed or floating home loan, you can combine the two to get the best of both worlds. You can also combine a fixed-rate home loan with a revolving credit home loan.
  • Extra repayments. On a fixed-rate loan, it’s possible to make extra repayments of up to 5% of the balance each year without being charged early repayment fees. There are no penalties for making early repayments on a floating home loan.
  • Loan protection insurance. For peace of mind in case something unexpected happens and you can’t meet your repayments, Co-operative Bank provides loan protection insurance.

How do I apply?

If you feel comfortable with the rates and terms on offer from Co-operative Bank, make sure that you meet the eligibility criteria and have the required documentation. To start your application, you can either phone 0800 554 554, visit your local branch, or make an appointment with a Mobile Mortgage Manager who can come to your home or office at a time that suits.

To be eligible for a Co-operative Bank home loan, you need to be at least 18 years of age, have a regular income and meet the standard lending criteria.

Documents required

During the application process you’ll be asked to provide the following:

  • Photo ID. A current New Zealand Driver’s Licence or passport
  • Proof of address. A recent utility or phone bill showing your name and address.
  • Proof of income. A letter from your employer confirming your salary or recent payslips.
  • Bank statements. Two months’ of statements for your everyday banking account.

Read more on this topic

  • Revolving credit mortgages If you’re looking to reduce interest charges yet have access to credit when you need it, a revolving credit mortgage is worth considering.
  • Bad credit home loans Find out how you can get your bad credit home loan application approved by a lender.
  • Low doc home loans guide Low doc home loans allow you to get a mortgage if you're self-employed to buy the home or investment of your dreams.
  • Mortgage repayment holidays If you've been struggling to pay your mortgage due to financial hardship you may be able to apply to your lender for a mortgage repayment holiday.
  • How much can I borrow calculator Get an estimate of how much you can borrow and be better prepared for your home loan search.
  • The Homestar rating explained Want to know more about the Homestar rating? We find out how it works and how you can get a Homestar rating for your home or building project.
  • How to save for a house deposit Finder's clear, helpful guide to saving up for a home loan deposit. Savings advice and finance options.
  • 5 year fixed rate home loans A competitive five year fixed rate home loan will see your repayments stay the same for a large chunk of your home loan.
  • 3 year fixed rate home loans A fixed-rate home loan can offer you stability and peace of mind. Find out if a three-year fixed rate home loan is right for you.
  • 2 year fixed rate home loans Enjoy the stability of knowing your repayments won’t change for two years.
Go to site