The start of BNZ Savings

For much of New Zealand’s financial history, Kiwis held their savings in the government operated Post Office Savings Bank.

Although BNZ records note that in earlier years trading banks held ‘comparable funds’ through their fixed deposits systems, it was far from the competitive market we know today.

In 1930, the total of funds held on fixed deposit by trading banks was £30 million, compared with £49 million held at the Post Office Savings Bank.

Later, following the Second World War, tight government restrictions prevented the trading banks from offering competitive interest rates and fixed deposits lost their appeal.

All this was about to change.

In 1954, Royal Commission findings stated New Zealanders should be encouraged to save. The government took this call to action and relaxed regulations, passing the Private Savings Bank Act 1964.

BNZ quickly established the Bank of New Zealand Savings Bank, opening 1^st October 1964, to strong support.

In the years that followed creative new products tapped into popular desires and ambitions of New Zealanders. The marketing of these products has left a valuable record of how New Zealanders wants and needs, have evolved over time.