Standard & Poor's has raised Heartland New Zealand's credit rating by two notches, to BBB- with a negative outlook.
The new rating follows the successful acquisition of PGG Wrightson Finance by Heartland Building Society.
Heartland says it held $496 million of liquidity consisting of cash, liquid assets and unused funding lines at the end of October.
It says that is almost $200 million more than the minimum level of liquidity required under its trust deed.
Heartland says its retail deposit base is more bank-like, and October was a record month for new fund inflows.
