BANKING RELIEF MEASURES

We have collated the relief measures available for the some of the regular financial institutions our clients use, with useful links to the relevant information on the banks' own website.

If you need assistance negotiating with your bank our preparing cash flow forecasts please contact the team and we will be happy to assist.

Please use CTRL + F to quickly search for your bank.

COMMONWEALTH BANK (CBA)

The CBA's response includes:

• 1% interest rate reduction for all existing cash-linked small business loans
• 0.7% interest rate reduction in one, two and three year fixed home loan rates for owner occupiers paying principal and interest to 2.29% p.a.
• 0.6% increase in 12-month term deposits to 1.70% p.a.
• Changes to home loan repayments, which the bank says will release up to $3.6 bn in cash for Australian households



CEO Matt Comyn said: "Small businesses will benefit from an interest rate reduction of 100 bps on all business loans linked to the cash rate. This is in addition to a range of measures announced last week which are available for businesses facing difficulty including waiving merchant fees, waiving redraw fees, waiving early redraw fees on business term deposit accounts, and deferring repayments on vehicle and equipment finance loans,"

FOR SMALL BUSINESSES

• Reducing rates on business loans by 100 bps. This is in addition to the 25 bps reduction announced on 3rd March, and will come into effect on 3 April
• Supporting the RBA's new term funding facility, which incentivises lending to businesses.
• Continuing to offer a range of measures to provide further assistance to customers facing financial hardship, including
• Waiving merchant terminal fees
• Waiving redraw fees
• Waiving early redraw fees on business term deposit accounts (including Farm Management Deposit accounts)
• Waiving establishment fees and excess interest on Temporary Excess products
• Deferring repayments on vehicle and equipment finance loans, and providing tailored restructuring options that meet individual customer needs

FOR PERSONAL CUSTOMERS

• Increasing 12 month term deposit rates by 60 bps to 1.70% p.a. This allows all Australians – and especially older Australians who rely on their savings income – to earn a guaranteed return which is 1.45% above the cash rate. This offer is available for all eligible new and existing CBA personal* customers, available from the 20th March 2020 on balances from $5,000 to $2 million, for a limited time only.
• Offering a 2.29% p.a. fixed rate home loan for one, two and three years – our lowest advertised rate ever – allowing owner occupier customers on principal and interest repayments with a Wealth Package to lock in certainty of these historically low interest rates, from 30 March.
• Reducing repayments for all variable principal and interest home loan accounts to the minimum required from 1 May to release up to $3.6bn of additional cash flow for Australian households. Customers who wish to retain their existing repayments will have the ability to opt out from 1 May.
• Increasing eligibility criteria for personal overdrafts, available online or through the CommBank App, helping customers access emergency funds.

WESTPAC (WBC)

FOR SMALL BUSINESSES

• Unsecured three-year term loan up to $250,000 for eligible new and existing customers with turnover of less than $50m,.
• 400 basis point reduction on unsecured lending term loan for new and existing customers.
• 200 basis point reduction on overdrafts for new and existing customers..
• 100 basis point interest reduction for small business cash-based loans.
• Repayment relief for small business customers who need help to manage their cashflow can defer principal and interest repayments of business term loans for up to six months.
• Merchant terminal rental fee refunds for up to three months.
• No establishment fees for equipment finance loans until the end of June 2020.
• Additional help already available to small business customers impacted by recent disasters
• Deferred payments for Business credit cards for a period of at least three months
• Fee free redraw
• Restructuring and consolidating loans
• Termination of a term deposit without the interest rate adjustment

FOR HOME LOAN CUSTOMERS

• Reduced Fixed Home Loan Rates: A 2.29% p.a. fixed rate home loan for one, two and three years for owner occupied customers on principal and interest repayments with a Premier Advantage Package, effective Friday 27 March.
• Repayment relief for home loan customers: Westpac customers who have lost their job or suffered loss of income as a result of COVID-19 should contact the bank for three months deferral on their home loan mortgage repayments with extension for a further three months available after review.
  

FOR DEPOSIT AND TRANSACTION ACCOUNT CUSTOMERS

• Term Deposit special offer of 1.7% p.a. interest for 12 months for all Australians: special rate with interest paid monthly to provide customers with a higher return on their savings (up to $500,000 per customer). Available online and in-branch.
• For Australians aged 65 years and over the rate will be 2% p.a. for eight months (up to $500,000 per customer). Effective Friday 27 March. Customers can choose to have interest paid monthly to provide them with regular income.

 https://www.westpac.com.au/business-banking/small-business-relief.html

ANZ

NATIONAL AUSTRALIA BANK (NAB)

BUSINESS CUSTOMERS

will be able to:

• Defer principal and interest for up to six months on a range of business loans including floating and variable rates, and equipment finance loans
• Receive a 200-basis point rate cut on QuickBiz loans and overdrafts, effective March 30
• Receive an additional 100-basis point reduction on variable rates for small business loans, effective March 30. This is on top of a 25-bps reduction earlier this month
• Access up to $65 billion of additional secured limits to pre-assessed customers, with $7 billion currently available for fast assessment process
• Access up to $9 billion in additional limits for unsecured lending for existing customers via QuickBiz and
• Defer business credit card repayments
• Request merchant terminal (including HICAPS) fees are waived for up to 6 months.

NAB HOME LOAN CUSTOMERS

will be able to:

• Defer home loan repayments for up to six months, including a three-month checkpoint with the bank. For a customer with a typical home loan of $400,000, this will mean access to an additional $11,006 over six months, or $1,834 per month.

 https://www.nab.com.au/personal/customer-support/covid19-help

BANK SA

SUPPORT FOR SMALL BUSINESSES

• Unsecured three-year term loan up to $250,000 for eligible new and existing customers with turnover of less than $50M, as part of the Federal Government's latest economic support measures that guarantees 50 per cent of new loans issued by eligible lenders to small and medium size businesses. Effective Monday 23 March 2020, credit criteria applies.
• 400 basis point reduction on unsecured lending term loan for new and existing customers, effective Monday 23 March 2020.
• 200 basis point reduction on overdrafts for new and existing customers, effective Monday 6 April 2020.
• 100 basis points interest rate reduction for small business cash-based loans, effective Monday 6 April 2020.
• Repayment relief for small business customers: BankSA small business customers who need help to manage their cash flow can defer principal and interest repayments of business term loans for six months. Merchant terminal rental fee refunds for up to three months.
• Helping small and medium businesses take advantage of the increased instant asset write-off and accelerated depreciation provisions in the Federal Government stimulus package with no establishment fees for equipment finance loans until the end of June 2020.

SUPPORT FOR HOME LOAN CUSTOMERS

• Reduced Fixed Home Loan Rates: A 2.29% p.a. fixed rate home loan for one, two and three years for owner occupied customers on principal and interest repayments with Advantage Package, effective Friday 27 March 2020.
• Repayment relief for home loan customers: BankSA customers who have lost their job or suffered loss of income as a result of COVID-19 should contact us for three months deferral on their home loan mortgage repayments with extension for a further three months available after review. 
•  $1 Billion in home lending commitment: BankSA pledges to play its part to keep the property market and economy moving by supporting more South Australians with their home ownership needs.

SUPPORT FOR DEPOSIT AND TRANSACTION ACCOUNT CUSTOMERS

Term Deposit special offer of 1.7% p.a. interest for 12 months for all South Australians with interest paid monthly to provide customers a higher return on their savings (up to $500,000 per customer). For South Australians aged 65 years and over the rate will be 2% p.a. for eight months (up to $500,000 per customer). Rates effective Friday 27 March 2020. Customers can choose to have interest paid monthly to provide them with regular income.

https://www.banksa.com.au/about/community-support/disaster-relief/covid-19

RURAL BANK

LENDING ACCOUNTS

 You may apply for the following assistance from Rural Bank:

• defer principal payments of your agribusiness term loans for three months;
• waive the establishment fee for restructuring agribusiness
• defer annual or limit reviews by up to three months.

These measures will be assessed by Rural Bank on a case-by-case basis and made available where we believe you can meet changes to your financial arrangements without incurring further financial difficulty. Where applicable, any external costs, such as registration for new security, will continue to apply.

DEPOSIT ACCOUNTS

You may apply to Rural Bank to waive break costs for early withdrawal of funds from your Term Deposit or Fixed Rate Farm Management Deposit (FMD) by completing a Financial Hardship Declaration Form. Please note: early withdrawal of fixed rate FMD funds may have taxation implications – you should consult your financial adviser. Banking staff at your local branch can assist with this request or you can call Rural Bank direct.

https://www.ruralbank.com.au/covid-19

RABOBANK

MEDFIN

Medfin customers will be able to:

• Defer payments for up to six months on a range of business loans including goodwill, property and term loans.
• Defer payments for up to six months on Asset Finance facilities.
• Healthcare businesses needing fast access to cash can apply for Medfin's Med-e.credit over the phone.
• Medfin customers with an existing Med-e credit facility can draw up to the approved limit, or apply for an increased limit.

https://www.medfin.com.au/customersupport/covid19-help/