Hiring drive targets faster turnaround on mortgage applications
ASB has launched a major hiring initiative, adding 80 new homeownership specialists to its mortgage processing teams.
The move is aimed at significantly reducing turnaround times on mortgage applications—from weeks to just days.
The bank says the new hires will support both its internal home loan division and the mortgage adviser channel, ahead of an anticipated surge in refinancing activity, RNZ reported.
Eighty per cent of Kiwi homeowners expected to refix in 2025
ASB cited internal forecasts showing that 80% of New Zealand homeowners are expected to refix their home loans within the next year, prompting a need for greater operational capacity.
“We are seeing elevated demand for our home loans. By growing our teams and enhancing our refinance process, we’ll be able to turn around applications faster, both for our customers and the mortgage advisers we work with, while continuing to deliver great service,” said Adam Boyd, executive general manager of personal banking at ASB.
Falling interest rates prompt longer fixing terms
Boyd noted that ASB was already seeing a shift in customer behaviour as interest rates soften, RNZ reported.
“As a result of falling rates, we expect 55% of our home loan customers will have locked in rates under six percent by December this year, compared to 40% in March 2025,” he said.
Simplified refinance process for faster lending decisions
In addition to expanding its team, ASB is working to simplify its refinance process, allowing borrowers switching from other banks to get lending decisions more quickly and easily.
The bank has also introduced new systems for adviser-submitted applications to ensure they meet quality standards, which helps speed up processing times, RNZ reported.
Industry reaction: A win for competition and consumers
Mortgage advisers have long voiced frustration over lengthy bank processing times, which have impacted client experience and competition.
The Finance and Mortgage Advisers Association of New Zealand (FAMNZ) echoed these concerns, calling delays for adviser-submitted loans “unacceptable” and warning that banks were disadvantaging both consumers and brokers.
David Cunningham, chief executive of mortgage advice firm Squirrel, welcomed the move and its potential to raise standards across the sector.
“It would be positive for the whole sector because other banks were likely to also add staff, so they did not lose market share to ASB’s increased capacity,” Cunningham said. “It was part of the bank’s move to get its processing times back to days rather than weeks.”
He said faster processing would also improve bank competition, making it easier for advisers to compare offers for their clients and help them secure better outcomes.
