Not so much fun now: Home loan company warned over billboards posing as election ads

New Zealand Home Loans, owned by Kiwibank’s parent company, erected billboards in public parks across Auckland without council permission.

“Did someone say party?” read the new billboards which have popped up in public parks and reserves in Auckland. They’re installed in areas reserved for election hoardings, and look much like the parties’ efforts, with a large photo of a man in a brown suit and a T-Shirt emblazoned with the block letters “FUN”. 

But on closer inspection, the ads aren’t for any registered political party, but promote home loans. “Have a mortgage & a life with NZHL” reads the tagline at the bottom. 

The fake election billboards are part of an advertising campaign by mortgage and insurance advisory firm New Zealand Home Loans (NZHL), which is wholly owned by government-run Kiwi Group Capital, the parent company of Kiwibank. 

Kiwibank has drawn international attention in recent weeks for issuing takedown notices to some social media users who joked about how attractive they found its sheep mascot, Buck. After installing these faux-election signs, Kiwi Group Capital’s home loan company could soon be receiving a takedown notice of its own. 

NZHL’s campaign centres around a character who personifies “fun”. Auckland Council, however, doesn’t think it’s so funny. “The council has not given approval for their display at any of the reported locations,” Auckland Council compliance officer James Watson told The Spinoff. 

“The signs appear to be commercial advertising erected in council-controlled public places and are being assessed for compliance.”

“We have made contact with NZHL and will continue our communication with them to ensure compliance. Any further action will be determined following our site visit and assessment of the signs.”

Janelle Ericksen, NZHL’s head of marketing contradicted this, saying the company has “not been contacted directly by Auckland Council” but confirmed that “NZHL did not pay any permit fees or seek permission from Auckland Council for these sites".

“NZHL is not a political party. The billboards use a play on the word "party" and form part of a wider marketing campaign,” Ericksen said. 

Auckland Council bylaws allow candidates and parties to erect hoardings in 278 council-owned locations across the city during the nine-week election period, but this permission does not extend to private businesses advertising financial products. Commercial advertising is generally banned in all public parks.

If the signs are found to breach the council’s Signs Bylaw, Auckland Council can remove them at the owner’s expense and prosecute, with fines of up to $20,000.