Although this is a challenging time of restrictions, the great news is that there is a broad spectrum of support available for those whose income has been affected by COVID-19. We have put together a list of COVID-19 Lender Relief Policies, itemised by lender, policy (both personal and business lending) and links to request assistance. We are strongly encouraging our clients to get in to touch with their lenders and have a chat about what assistance may be available to them.
*text is direct from the bank policy pages
1. Commonwealth Bank of Australia (CBA)
Personal Lending Click here to request assistance
Home loan customers requesting financial assistance during this time will be able to defer their repayments, with interest capitalised, for up to six months. For the duration of the support period no repayments are required.
However, during this time, interest and charges will add to the loan balance. At the end of the support period, your loan balance will be recalculated (to include interest and charges added to the balance during the support period) and your loan term will be extended so that your repayments stay the same as they were prior to the commencement of the deferral.
Business Lending
*No need to get in touch directly, will communicate directly with eligible customers
Automatically deferring Business Loan and Asset Finance Equipment Loan principal and interest repayments for eligible small business customers with total lending limits with CBA up to $3 million in April, May and June 2020. We’ll contact customers from May onwards to confirm whether they need a further three-month deferral in line with the ABA loan deferral arrangements. We’ve opted-in all eligible small business customers to have their loan repayments automatically deferred for April, May and June 2020
2. National Australia Bank (NAB)
Personal Lending Click here to request assistance
Pause home loan repayments for up to six months, if experiencing financial challenges, including a three-month checkpoint.
Business Lending Click here to request assistance
Defer principal and interest for up to six months on a range of business loans, including floating and variable rates, and equipment finance loans, if experiencing financial difficulty. Receive a 200-basis point rate cut on new loans effective March 30. Receive an additional 100-basis point reduction on variable rates for small business loans, effective March 30.
3. AMP
Personal Lending Click here to request assistance or call 13 30 30
AMP Bank is offering to pause home loan repayments for clients experiencing financial pressure resulting from COVID-19. This means you can request to pause home loan repayments for up to three months with the option to extend for a further three months, if you are experiencing ongoing financial challenges as a result of COVID-19.
4. ANZ
Personal Lending Click here to request assistance
Request a deferral of home loan repayments for up to six-months, with a review at three-months, with interest capitalised.
Decrease variable interest home loan rates in Australia by 0.15% p.a., effective from 27th March 2020. Introduction of a two-year fixed rate of 2.19% p.a. for owner occupiers paying principal and interest.
Business Lending Click here to request a call back
All impacted customers can request a six-month payment deferral on loan repayments for term loans, with interest capitalised. Making available temporary increases in overdraft facilities for 12 months.
Decrease variable interest small business loan rates in Australia by 0.25% p.a., effective from 27th March 2020. A reduction by 0.80% p.a. to a new two and three-year fixed rate of 2.59% p.a. for secured small business loans up to $1 million3, effective 3rd April 2020.
5. Macquarie
Personal Lending Click here to request assistance
All Macquarie Personal Banking clients who are experiencing financial difficulty can immediately defer their repayments for six months. This applies to all home loans, car loans and credit card clients.
For our home loan customers, we’re cutting fixed rates for new home loans by 0.25% p.a. for 1, 2 and 3-year loan terms, with rates as low as 2.39% p.a. Our variable home loan customers continue to receive our lowest rates ever, which have reduced by 0.85% in the past 12 months.
Business Lending – Please contact Macquarie on 1800 620 673
All Macquarie Business Banking clients who are experiencing financial difficulty can immediately defer their repayments for six months. This applies to all commercial loans and overdraft clients.
We are offering a 1.00% interest rate cut for small to medium sized businesses accessing equity in their homes for new loans, with no payment due for the first six months. A 1.00% interest rate cut for our Smarter Business Loan customers and 0.25% interest rate cut for our other existing variable rate small business customers. A further 1.00% interest rate cut for new commercial vehicle lending, in addition to rate cuts of up to 0.25% announced earlier this month.
6. Westpac
Personal Lending Click here for assistance
Westpac customers who have lost their job or suffered loss of income as a result of COVID-19 can contact us for three months deferral on their home loan mortgage repayments, with extension for a further three months available after review. Fixed rate loans decreasing to 2.29% pa.
Business Lending Click here to request assistance
We have made a 200-basis point reduction on overdrafts for new and existing customers.
We have made a 100-basis point interest rate reduction for small business cash-based loans.
Small business customers with business balances less than $3m experiencing cash flow issues as a result of COVID-19 can defer principal and interest repayments of business term loans and equipment finance for six months.
7. St.George
Personal Lending Click here to request assistance
St George customers who have lost their job or suffered loss of income as a result of COVID-19 can contact us for three months deferral on their home loan mortgage repayments, with extension for a further three months available after review. Fixed rate loans decreasing to 2.29% pa.
Business Lending Click here to request assistance
We have made a 200-basis point reduction on overdrafts for new and existing customers.
We have made a 100-basis point interest rate reduction for small business cash-based loans.
Small business customers with business balances less than $3m experiencing cash flow issues as a result of COVID-19 can defer principal and interest repayments of business term loans and equipment finance for six months.
8. Suncorp
Personal Lending Click here to request assistance
A deferral of repayments for all home loans, for a period of up to six months (interest will be capitalised). Conversion from principal and interest repayment structure to interest only for a period of time for their home loan. Dropping fixed rate home loans to 2.29% on two year fixed and 2.49% on three-year fixed to support existing customers who want certainty.
Business Lending Click here to request assistance
Offering a six-month deferral of principal and interest repayments for small businesses affected by COVID-19. Reducing the interest rate for existing Business Essentials variable loans (fully secured) to a maximum rate of 3.69% p.a. for residentially secured lending and a maximum rate of 3.99% p.a. for commercially secured lending.
9. PLAN Lend
Personal Lending
Click here to access the latest contact information for COVID relief with PLAN Lend
Eligible customers may request a pause on their home loan repayments for up to six months, with a three-month checkpoint. Access to redraw will be revoked for customers during the repayment pause. We’re further reducing our variable home loan rates by 0.10% p.a. for both new and existing loans.
10. ME Bank
Personal Lending
*Please contact ME Bank directly on 13 15 63 (Option 4) to request assistance
For home loan customers impacted by COVID-19 and the current economic uncertainty, ME has introduced a repayment pause for home loan customers. Customers do not need to make repayments for up to six months, with a review at three months. Interest and charges will continue to accrue during the repayment pause. This will apply to all home loans except construction loans. We will review construction loans on a case by case basis due to the complication around with ongoing funding.
11. ING
Personal Lending
*Please contact ING directly on 133 464 to request assistance
You can contact us for a three-month payment pause on your ING home loan repayments. An extension for a further three months (total 6 months) may also be available on request and is subject to financial assessment. A payment pause means you will not be required to make any repayments during the time frame however interest and fees will continue to accrue on your loan. This means at the end of the payment pause period your loan balance will be higher, and your minimum repayments will increase slightly so that your loan can still be paid within your loan term.
Business Lending
*Please contact ING directly on 133 464 to request assistance
Eligible ING small business customers who need relief can request a repayment pause on their ING commercial loans for up to six months, with interest capitalised. You will not be required to make any repayments during a payment pause period, however, interest and fees continue to accrue on your loan. This means at the end of the payment pause period your loan balance will be higher, and your minimum repayments will increase so that your loan can still be paid within your loan term. To be eligible to request the repayment pause, a small business must currently hold less than $3 million in commercial lending with ING.
12. Bankwest
Personal Lending
*Customers will be able to apply for a deferral of home loan repayments through an online registration process, which is currently under development and will be made available as soon as possible. In the meantime, please call 1300 134 107.
Bankwest is providing support to home loan customers who may need assistance at this time with an option to defer home loan repayments for six months. Interest will be capitalised, and the remaining term will be extended to maintain a similar repayment to today. Bankwest will apply a 0.60% p.a. interest rate reduction to the Complete Fixed Home Loan Package for owner occupiers paying principal and interest. The reduced three-year fixed rate will be 2.33% p.a.
Business Lending
*Small Business customers should call 13 70 00 to enquire about our support measures, and relationship-managed business customers should contact their relationship manager for more information.
BankWest is supporting small business by offering to defer loan repayments on business loans and home loans held by small business customers for six months for customers in need of support. BankWest is also supporting the Government’s Coronavirus SME Guarantee Scheme, eligible businesses can access unsecured business loans of up to $250,000 for three years at historically low rates.
We hope you have found this list helpful, our brokers are part of your support team and we are here to help you, reach out and have a chat at your earliest convenience.
Launch Finance is based in Western Australia and services clients nationally. Our offices are located in Perth and Mandurah, contact us on (08) 9367 4222 or [email protected] and we will put you in touch with one of our expert brokers in your area. If you are a current Launch client, we recommend you call your broker directly on their mobile, the most up to date details for our team can be found here.