Can I put my mortgage payments on hold? Let’s take a look at the big four

For more detailed information on how to access these changes see the linked ABC article –
https://www.abc.net.au/news/2020-03-26/are-banks-freezing-mortgages-banks-putting-payments-on-hold/12090642

Information source: abc.net.au

With many businesses and services forced to close under the latest Federal Government restrictions to try to curb the spread of coronavirus, many Australians are feeling the pinch when it comes to finances. Especially those with a mortgage. At least 1 million Australians are facing unemployment as a result of the crisis. It has many wondering what the banks are doing when it comes to home loans. Will mortgages be put on hold? The big four banks have all announced that their customers will be able to pause mortgage payments.

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

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

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 won’t be able to redraw during the repayment pause

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

For more detailed information on how to access these changes see the linked ABC article –
https://www.abc.net.au/news/2020-03-26/are-banks-freezing-mortgages-banks-putting-payments-on-hold/12090642

Information source: abc.net.au

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