The mortgage war is back on with banks making more cuts to fixed home loan rates and one offering a record low 3.55 per cent over one year.

From today Kiwibank has cut its one year rate by 24 basis points to 3.55 per cent and its two year rate by 14 basis points to 3.65 per cent.

According to the Kiwibank rate is now the lowest amongst the major banks with ANZ, BNZ and Westpac all offering 3.69 per cent fixed over one year.

Its rate is also the lowest over two years with ASB the nearest major