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Evidence · Home lending

The questions and original answers

Explore every question and captured response in the home-lending study, including answers asked nationally and from four cities.

questions
193
captured answers
1,094
AI platforms
4
collected
11 October 2026

01

Every question, with its answers

Each question was written as a voter would ask it and went to all four assistants. Some were also asked from a town. Open a question to read every answer to it in full.

Showing 20 of 193 questions

Show all 193

02

The tables behind the study

Every figure on the study page comes from these tables. They are CSV files, which open in any spreadsheet.

  • Question catalogue

    questions.csv

    One row per question.

    Question ID, borrower, exact question, group and collected answers

    193rows

    Download question catalogue (CSV)

  • Answers

    answers.csv

    One row per answer, with its full text.

    Answer ID, question ID, borrower, assistant, city, words, coded recommendations, showed a link and full text

    1,094rows

    Download answers (CSV)

  • Sources by answer

    sources.csv

    One row for each website recorded as a source of an answer.

    Answer ID, question ID, assistant, city, website and publisher type

    4,574rows

    Download sources by answer (CSV)

  • Checks against official sources

    checks.csv

    One row per statement checked.

    Check, answer ID, assistant, what the answer said, verdict, what the source says, source and date

    4rows

    Download checks against official sources (CSV)

  • Recommendation coding

    recommendation-coding.csv

    One row per coded national loan-choice or support answer.

    Answer ID, question ID, borrower, assistant, question group, recommended lenders and supporting passages

    360rows

    Download recommendation coding (CSV)

  • Platform comparisons

    platform-recommendation-counts.csv

    One row per platform, lender and question group.

    Matched panel, recommended answers, denominator and supporting answer IDs

    105rows

    Download platform comparisons (CSV)

  • City comparisons

    city-recommendation-counts.csv

    One row per city, lender and question group.

    Matched panel, recommended answers, denominator and supporting answer IDs

    112rows

    Download city comparisons (CSV)

Use these tables to trace findings back to the original questions and answers. The full text of each answer is also on this page, under its question.

03

Read in full and checked

Some answers were read in detail or checked against official sources. Those appear on the study page, beside the findings they support.

ChatGPT · National

I'm about to accept a new fixed rate on my home loan. What should I check about repayments, extra payments and fees before I lock it in?

Before you lock in a new fixed home loan rate in New Zealand, focus on three things: whether the repayments fit your budget, how much extra you can pay without a penalty, and what it could cost to change your plans before the fixed term ends.

A low fixed rate isn't necessarily the best deal if it restricts your ability to pay down the mortgage or comes with expensive exit conditions. Here's the checklist I'd work through with your bank or mortgage adviser.

1. Check your repayments

  • Get the exact repayment amount. Ask for the dollar amount at your proposed rate, loan balance, remaining mortgage term and chosen payment frequency.
  • Check the repayment frequency. Compare weekly, fortnightly and monthly payments, and confirm how the bank calculates interest and applies repayments.
  • Stress-test your budget. Allow for rates, insurance, maintenance, everyday costs and unexpected expenses. Keep a buffer rather than budgeting right up to your maximum.
  • Check the effect of the fixed term. A lower payment during the fixed period doesn't necessarily mean a lower total mortgage cost. Ask what happens when the term ends and the loan needs to be refixed.
  • Compare the total cost, not just the rate. Ask for the interest and fees payable over the period you're comparing.

A useful question to ask is: “What would my repayments be if the rate were 1 percentage point higher when I next refix?” This helps you plan for a future rate change. How to find a good deal on your mortgage » SortedTypes of mortgages in New Zealand, and how to choose » Sorted

2. Check the rules for extra payments

This is one of the most important parts of a fixed-rate mortgage in NZ. You can often make some extra payments, but the limits and conditions depend on your lender and loan agreement.

Increasing regular repayments

Ask whether you can increase your weekly, fortnightly or monthly payment, by how much, and whether there's a limit on how often you can change it.

Making lump-sum payments

Confirm the maximum extra amount allowed each year, whether the allowance resets annually or on the anniversary of the fixed term, and what happens if you exceed it.

Avoiding early repayment charges

Ask whether an extra payment outside the allowance triggers a break fee, how that fee is calculated, and whether you can get a quote before paying.

Using savings or a bonus

If you expect a work bonus, inheritance or other lump sum, ask whether it is better to hold the money until refixing or direct it to a floating portion of your mortgage.

Sorted recommends checking the specific overpayment limits with your lender before committing. A split loan, with part fixed and part floating, may offer more flexibility if you want to make substantial extra repayments. How to manage your mortgage and pay off your home loan early » SortedTypes of mortgages in New Zealand, and how to choose » Sorted

3. Check every fee and exit condition

Before accepting, ask the bank to confirm these in writing.

Fee or condition What to check
Break fee What could you pay if you sell, refinance or change rates before the fixed term ends?
Extra repayment fee Does going over the permitted extra-payment limit trigger a fee?
Cashback clawback If you received a cash contribution, how long must you stay with the bank before you can leave without repaying some or all of it?
Rate-lock fee If you've locked in a rate before your existing term ends, what happens if you change your mind or need to change the arrangement?
Administration and restructuring fees Are there charges to split, combine or change loan accounts, or alter the loan structure?
Other costs Are there any application, legal, discharge or adviser fees?

Break fees can be substantial because they may reflect the lender's lost interest income. They depend on the contract and circumstances when you make the change. Cashback offers can also have separate repayment conditions. Early repayment chargesMortgages and home loansCompare BNZ home loan rates

Important: Ask for an estimate of the break fee under different scenarios, but understand that an estimate today may not be the amount charged if you break the loan later.

4. Check the fixed term and your flexibility

Before you commit, consider what might change in your life during the fixed period.

  • Planning to sell or move? Consider whether the fixed term ends before you expect to move, or whether your mortgage can be transferred to another property.
  • Expecting a pay rise or bonus? Make sure the extra-payment rules suit your plans.
  • Want to pay off the loan faster? Compare a fully fixed loan with splitting the mortgage between fixed and floating portions.
  • Want to fix for longer? Weigh repayment certainty against the possibility that you'll want to change your loan before the term ends.
  • What happens at expiry? Confirm when the new rate starts, when the first repayment at that rate is due, and what rate applies if you don't arrange another fixed term.

These are not just administrative details: the best structure depends on how much flexibility you need and how long you expect to keep the loan. Types of mortgages in New Zealand, and how to choose » SortedHow to find a good deal on your mortgage » Sorted

5. Get these answers before you press “Accept”

You can send your bank or mortgage adviser this message.

Writing

Before I confirm my new fixed home loan rate, could you please confirm the following in writing?

  1. What will my exact repayments be, and what is the total interest cost over the fixed term?
  2. How much can I increase my regular repayments without a penalty?
  3. What is my annual allowance for lump-sum repayments, and when does it reset?
  4. What break fees could apply if I sell, refinance, refix early or make extra repayments above the allowance?
  5. Are there any rate-lock, administration, restructuring or other fees?
  6. If I received cashback, when does the clawback period end, and how much might I need to repay if I switch banks?
  7. What happens when the fixed term ends, and can I change my repayment amount then without a fee?
  8. Could you show me any alternative fixed terms or a split fixed/floating option that might suit my circumstances?

Please also confirm the rate, fixed-term start and end dates, repayment amount and all applicable conditions before I accept.

My recommendation

Prioritise three things: affordable repayments, a clear extra-payment allowance, and an understanding of the cost of exiting early. If you expect to make sizeable additional payments, don't assume a low fixed rate is the cheapest option overall.

For further guidance, the NZ government's Consumer Protection mortgage guide and Sorted's guide to managing a mortgage are useful references.

If you tell me which bank you're with, the fixed term you're considering (for example, one or two years), and whether you want to make extra repayments, I can help you narrow this down to the specific conditions worth checking in your offer.

Ask anything

ChatGPT can make mistakes. Check important info.

Captured 11 October 2026

Gemini · National

I'm about to accept a new fixed rate on my home loan. What should I check about repayments, extra payments and fees before I lock it in?

Locking in a new fixed rate home loan in New Zealand is a major commitment. Before you sign or click accept, you need to look closely at how your bank handles flexibility, caps on extra payments, and the rules around breaking your term.

The essential details to check in your loan agreement include:

1. Extra Payment Allowances & Caps

Most NZ lenders place restrictions on how much extra money you can pump into a fixed-rate loan to pay it down faster.

  • Overpayment Limits: Check your specific contract threshold. Many major banks allow you to increase your regular payments by a certain margin or make unscheduled lump-sum payments up to a specific limit per year (often around 5% of the initial loan balance or a set dollar cap like $10,000) without penalty.
  • The Penalty for Exceeding Limits: If you receive a large cash windfall (like an inheritance, bonus, or the sale of an asset) and pay more than the allowed threshold, you will trigger an early repayment charge.

2. Repayment Flexibility and Splitting

  • Splitting Your Mortgage: Consider whether you are fixing 100% of the loan or splitting it. A common strategy in NZ is to split a mortgage into different fixed tranches (e.g., a 1-year and a 3-year fixed rate) or keep a portion on a floating rate or revolving credit facility. Keeping a floating or revolving portion gives you a safe harbor to make unlimited extra repayments without triggering break fees.
  • Changing Payment Frequencies: Check if your bank allows you to switch your payment frequency (e.g., from monthly to fortnightly) during the fixed term. Fortnightly payments mean you end up making the equivalent of 13 monthly payments a year instead of 12, which trims years off your mortgage.

3. Break Fees and Early Repayment Adjustments (ERAs)

If your life circumstances change—such as needing to sell your house, refinance with a different bank, or pay off the loan early—you will face a break fee.

  • How It's Calculated: In New Zealand, break fees are based on the difference between the wholesale interest swap rate at the time you fixed and the wholesale swap rate for the remaining duration of your term, multiplied by your remaining loan balance and time left.
  • When They Cost Nothing: If current market wholesale rates are higher or equal to the rate you locked in, the bank suffers no financial loss, meaning your break fee will generally be zero. However, if wholesale rates have dropped significantly since you locked in, your break fee could be substantial.

4. Hidden Fees and Cash Contribution "Clawbacks"

  • Establishment or Setup Fees: Check if the bank is charging an administrative or application fee to process your new fixed rate (though many waive this if you are simply re-fixing directly with them).
  • Cash Contribution Recoupment (Clawback): If your bank gave you a cash back incentive (cash contribution) when you originally took out or restructured the mortgage, check the terms. Most NZ banks enforce a "clawback period" (frequently 3 years). If you break the loan or refinance with another lender within that window, you may have to pay a pro-rata portion of that cash back back to the bank.

Recommended Action Plan

  1. Request the Fine Print: Ask your lender or broker for the exact Facility Agreement or standard terms regarding overpayment limits and break fee clauses.
  2. Weigh Fixed vs. Floating Mix: If you plan on paying down substantial extra cash over the coming year, ask to keep a portion of your loan floating or on a revolving credit facility.
  3. Match the Term to Your Plans: If you think you might sell your home or move within the next 12 to 24 months, avoid locking into a long-term fix (like 4 or 5 years) to minimize potential break fee exposure.

Are you planning to split your home loan into different fixed terms, or are you looking to fix the entire balance at once?

Ask Gemini

Gemini is AI and can make mistakes.

Captured 11 October 2026

Google AI Mode · National

I'm about to accept a new fixed rate on my home loan. What should I check about repayments, extra payments and fees before I lock it in?

Locking in a fixed rate gives you certainty over your budgeting, but it also locks you into specific rules that can restrict your financial flexibility. Before you sign off with your lender, it pays to check these key areas:

  • Extra Repayment Limits: Most New Zealand banks allow a limited amount of extra payments on a fixed-rate loan without penalty (often capped at a specific dollar amount or a percentage of the principal per year, such as $10,000 or 5%). Check the exact annual threshold your bank permits so you can still chip away at the principal.

  • Repayment Frequency Options: Confirm whether you can set your repayments to weekly, fortnightly, or monthly. Aligning your payments with your pay cycle (e.g., fortnightly) often results in making the equivalent of 13 months of payments in a 12-month year, helping you pay off the principal faster.

  • Ability to Increase Regular Payments: Check if your lender allows you to increase your regular scheduled fixed payments above the minimum required amount without triggering early repayment rules, or if you are strictly capped at the agreed contractual payment.

  • Break Fees and Early Repayment Costs: Ask how the bank calculates early repayment recovery or break costs (often called economic costs). If interest rates drop in the future, or if you need to sell your property, break fees can apply if you pay off the loan early or break the term. You can see how these are estimated using tools like the Interest.co.nz Mortgage Break Fee Calculator. Breaking your fixed rate home loan | Westpac NZCompare home loan rates & fees - Kiwibank

  • Portability (Moving the Loan): Check if the fixed rate is "portable." If you decide to sell your home and buy another during your fixed term, you want to know if you can transfer your existing fixed mortgage to the new property without paying break fees. [Westpac]

  • Restructuring and Splitting: Consider whether splitting your total mortgage into multiple portions (e.g., part fixed and part floating, or fixed across different term lengths like 1-year and 2-year splits) gives you a better balance of rate security and flexibility to make lump-sum payments on the floating portion.

  • Transition at Term End: Confirm what happens automatically when the fixed term expires. Most banks roll the balance onto their standard floating/variable rate if you don’t actively re-fix or select a new term, which is usually higher than fixed alternatives. [TSB New Zealand]

If you'd like, let me know:

  • Which bank or lender you are using
  • Whether you anticipate receiving any lump sums (like an inheritance, bonus, or sale of an asset) during this term

I can help you figure out the best split strategy or what specific limits to look out for.

Ask anything

Captured 11 October 2026

AI Overviews · National

I'm about to accept a new fixed rate on my home loan. What should I check about repayments, extra payments and fees before I lock it in?

AI Overview

Before locking in a fixed rate on your home loan in New Zealand , you must clarify your bank’s strict rules regarding repayment flexibility, extra payment limits, and potential early break fees. Fixed-rate agreements are legally binding contracts; changing them mid-term can be heavily penalized, so understanding your boundaries upfront will save you thousands of dollars.

1. Extra Payments & Lump Sum Limits

Most NZ banks allow you to pay off a little extra while on a fixed term, but they impose strict caps. You need to ask:

  • The annual lump-sum limit: Many major NZ banks allow you to pay an extra 5% to 10% of your original loan balance per year without penalty. Confirm if your bank calculates this limit per calendar year or per anniversary year of the fixed term.

  • Regular repayment increases: Can you permanently increase your regular monthly or fortnightly payment? Some banks let you raise your minimum repayment by up to $20–$50 a week online without a fee, while others count any increase directly toward your annual extra payment percentage cap.

2. Repayment Frequency Options

Aligning your mortgage structure with your cash flow keeps budgeting simple and reduces total interest costs over time.

  • Frequency alignment: Ensure the bank can match your repayments to your income cycle (weekly, fortnightly, or monthly).

  • The "Interest Hack": If you get paid fortnightly, switching to fortnightly repayments (paying exactly half the monthly amount every two weeks) results in 26 half-payments a year. This effectively equals 13 full monthly payments , shaving years off your loan term entirely for free.

3. Early Break Fees & Penalties

If interest rates drop significantly in NZ or you need to sell your property, breaking your fixed term early can trigger an Early Repayment Adjustment (ERA) fee.

  • The Break Fee formula: Banks calculate ERAs using a complex mathematical formula based on wholesale market interest rates (specifically, differences in anti-competitive swap rates). If market rates have fallen since you locked in your rate, your break fee could cost thousands. If market rates have risen, the break fee is often $0 (plus a minor administration fee).

  • Loan portability: Ask if the fixed rate is "portable" if you sell your house and buy a new one mid-term. Some lenders allow you to transfer the current fixed rate and remaining balance to your new property to avoid a break fee.

4. Splitting Your Loan (Tranches)

You do not have to put your entire home loan on a single fixed term.

  • The Multi-Tranche Strategy: Consider splitting your loan into two or three pieces (e.g., locking one portion for 1 year, another for 3 years, and keeping a small portion floating or on a revolving credit / offset account).

  • Why do this? This prevents your entire mortgage from rolling over at a potentially high interest rate all at once. The floating or offset portion also gives you an unrestricted bucket to make unlimited extra payments without ever triggering a break fee.

To help tailor this strategy, could you share:

  • The approximate total size of your loan?
  • Your fixed-term horizon goals (e.g., looking at a short 1-year fix or a longer 3-to-5 year lock)?
  • Whether you anticipate any windfalls, bonuses, or property sales during the fixed period?

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Captured 11 October 2026