Updated: Mar 27, 2020
The Australian battle with the coronavirus has left many businesses and services forced to close including mortgage payments.
At least 1 million Australians are facing unemployment as a result of the crisis.
During this stressful time, it has many wondering what the banks are doing when it comes to home loans.
If you're with Commonwealth
You will be able to defer home loan repayments for up to six months
Interest will be capitalised
Interest and charges will be added to your loan balance
Your loan balance will be recalculated at the end of the support period
Your loan term will be extended so repayments stay the same as they were before you started the deferral
If you're with Westpac
You will be able to defer repayments for three months
A three-month extension is available after review
This option is for people who have lost their job or income as a result of coronavirus
Deferred interest will be capitalised, so your repayments will increase for the remainder of your loan term
If you're with NAB
You will be able to defer your repayments for up to six months
There will be a three-month checkpoint with the bank
You are eligible if you are a home loan customer aﬀected by coronavirus
This applies for owner-occupiers, investors or those on a principal and interest or interest only repayment schedule
You will still be able to redraw during the repayment pause
If you're with ANZ
You may be able to put your repayments on hold for six months
Interest will be capitalised
The bank will check in with you after three months
How do I pause my repayments and what to provide?
For CBA customers
The process comes under the Hardship Request section of the website.
You will need to log into your Netbank account and answer five questions about what you need help with.
The bank will then call you within seven business days to discuss your options.
You may be asked to declare you have been impacted by coronavirus.
For Westpac customers
Tap the home loan repayment pause button and follow the instructions.
You are currently looking at each request on a case-by-case basis rather than imposing blanket requirements.
You will need to fill out this coronavirus (covid-19) support package form or call 13 22 65 for support (although you may be waiting for a while if you do decide to call due to a high volume of calls).
A pause will be applied if it's requested.
You will need to call the bank, but due to a high volume of requests, you may need to request it calls you back. Head to ANZ page and tap "Pause your repayments" button and follow the directions.
If you have been up to date with your repayments, you will most likely be eligible.
For the latest advice, information and resources, go to https://www.abc.net.au/news/2020-03-26/are-banks-freezing-mortgages-banks-putting-payments-on-hold/12090642
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