ANZ and Westpac moved in New Zealand on Thursday to reduce their new lending to non-resident investors, following similar moves by their parents in Australia who are worried about the veracity of income statements from overseas.Westpac said it had stopped lending to non-resident investors with overseas income and that it had also reduced its loan-to-valuation ratio limit for New Zealand citizens and permanent residents with overseas income to 70 per cent from 85 per cent."In line with our responsible lending practices and on-going review of lending criteria in a fast moving market, we have tightened policies in relation to lending and foreign income for non-residents," a Westpac spokeswoman was quoted as saying. "Verification of foreign applications is essential to meeting our lending criteria and obligations, but is operationally difficult in these cases. The tightening of policy reduces risk and will contribute to further strengthen our home lending portfolio with customers who we have a deep and long-term banking relationship with," she said.ANZ also tightened their criteria for lending to non-residents on Thursday. ANZ said it had stopped lending to non-residents owning rental property and had stopped no-interest lending to non-residents. Non-residents buying a property to live in could still borrow from ANZ, but would only be able to buy existing properties and could not borrow for bare land for to buy apartments off the plan.Non-resident investors are allowed to buy both existing and new properties in New Zealand, and also do not have to pay stamp duty, land tax or capital gains tax. New Zealand does not keep accurate records on the percentage of properties bought by non-residents, but various surveys range from three per cent to 39 per cent in Auckland. "We are making these changes to ensure that ANZ is appropriately positioned in the current housing environment, taking into account supply pressure in certain areas," an ANZ spokesman said.