Next wave of banks announce COVID-19 packages

by Madison Utley26 Mar 2020

Following the suit of the major banks last week, second-tier lenders have steadily been announcing significant COVID-19 support packages of their own to provide for small business and home loan customers financially struggling as a result of the pandemic.

ING

ING Australia has encouraged customers facing difficulties to reach out for assistance with their home, personal or commercial loans.

Customers may be eligible for:

  • Repayment deferrals of up to 6 months on commercial loans for small business customers
  • A 3- to 6-month pause on home loans and personal loan repayments
  • A 3- to 6-month payment pause on credit cards
  • Record low fixed rates for home loan borrowers
  • Higher term deposit rates for savers
  • A cut of 0.35% to rates for existing commercial variable loans (under $3m), effective from 9 April

New fixed home loan rates, including a record low 2.09% p.a. two-year owner occupied will also be effective from today, 26 March 2020.

AMP

AMP Bank’s support package also includes a pause on home loan repayments for clients experiencing financial pressure, for three months with the option to extend for a further three months.

It also includes:

  • A range of new fixed rates for existing owner occupied and investment clients, including a 2.39% p.a. fixed rate for the 2-year Professional Package owner occupier P&I product
  • Fee waivers for home loan clients in financial hardship
  • A waiver of the monthly account keeping fee for everyday and savings account holders, from 30 March 2020 until 1 October 2020
  • Access to a 1.80% p.a. term deposit rate across all available terms from 6 to 18 months

MyState

MyState Bank will reduce lending rates for fixed rate home loans from 31 March 2020 by up to 0.80%. The fixed rate home loan for 1-, 2-, and 3-year loan terms with an LVR of less than 80% will drop to 2.39%.

These rates will also be available for eligible borrowers under the First Home Loan Deposit Scheme.

MyState’s support package includes:

  • Up to six months of deferred home, personal or commercial loan payments
  • Early access to Christmas Accounts without penalty
  • An increased maximum threshold on MyState’s high interest Bonus Saver Accounts from $150,000 to $250,000
  • The redraw of any amount (from $1) on home and personal loans, with fee-free redraws in-branch or through the Customer Care team as well as online
  • Early access to Term Deposit Accounts for business customers