12/05/2026
Your bank set your interest rate. Did you negotiate it? 👀
Most small business owners don't and the Reserve Bank just confirmed this week that on average, Kiwi small businesses are paying higher rates than their Australian counterparts. That gap doesn't close itself. Here are five questions worth picking up the phone for this week 👇
1️⃣ What rate am I on and how was it set?
You'd be surprised how many business owners don't actually know their rate off the top of their head. Banks price by risk, your industry, your security, your financials. Understanding how your rate was calculated is the starting point for everything else.
2️⃣ How does my rate compare to similar businesses?
The RBNZ flagged this week that pricing transparency is poor. Banks aren't making it easy to compare. Ask the question anyway. If your bank can't or won't answer it, that tells you something too.
3️⃣ What would it take to get a better rate?
There are usually levers. Stronger financials, additional security, a longer banking relationship, or simply asking. Most business owners never ask. The ones who do are often surprised by the answer.
4️⃣ Is my loan structure (fixed or floating) still right for me right now?
With inflation running hot and the Reserve Bank signalling rates could head up, the structure that made sense 12 months ago might not make sense today. This is worth a proper conversation, not a set and forget.
5️⃣ When did I last actually review this?
If the answer is 'when I signed the paperwork' that's your sign. An annual loan review should be as routine as doing your tax return. In this environment, it might be worth doing it twice a year.
Set and forget is an expensive habit right now. If you'd like a hand preparing for that conversation with your bank, the MBP team is always here to help.
