Free NZ mortgage tool
Offset mortgage calculator NZ
See how much interest and time your savings could knock off your home loan when they sit in an offset account.
Last reviewed
Indicative only
Your offset
Your repayment stays the same. Savings in the offset reduce the balance you pay interest on.
Offset is usually on the floating rate.
Savings plus your everyday account balance on average.
Interest saved
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Your numbers
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Assumes the offset balance stays the same for the life of the loan and the rate doesn’t change. Offset products and rates vary by lender.
Is an offset worth it?
An offset portion is usually charged at the bank’s floating rate, which is often higher than fixed rates. It pays off when your average balance is big enough to outweigh that gap.
Most people split the loan: most of it fixed for a lower rate, and a smaller offset portion sized to match their savings. See fixed or floating and getting the best from your home loan.
Want to go faster still? Try the pay off your mortgage early calculator.
Common questions
What is an offset mortgage?
An offset account links your savings or everyday account to your home loan. You don’t earn interest on the savings, but you don’t pay interest on that part of the loan either.
Which NZ banks offer offset home loans?
Several main banks and some smaller lenders offer offset or similar products, each with its own rules on how many accounts can be linked. Ask us which suit your setup.
Is offset better than paying the loan down?
Paying down saves the same interest, but offset keeps the money available if you need it. The trade-off is usually a higher floating rate on the offset portion.