Australian banks are stepping up to help customers struggling with loan repayments and higher cost of living challenges.
ABA CEO Simon Birmingham said banks stand ready with practical support measures to help customers and businesses get through this tough time.
"Banks know many of their customers are making tough financial decisions right now as a result of interest rate increases, the rising cost of fuel, and supply chain disruptions," Mr Birmingham said.
"Our message to all customers is that you don't have to tough it out on your own - contact your bank.
"Australia's banks have specialist teams ready to support small businesses, farmers and communities across the country struggling with cost pressures, or supply chain disruptions as a result of global conflict.
"The best support for customers will differ from case to case, which is why it's important to contact your bank early."
Depending on individual circumstances, temporary assistance may include:
- Moving a customer to interest-only payments for a period.
- Deferring payments temporarily.
- Reducing or waiving fees for customers in hardship.
- Restructuring the length of a loan to lower monthly repayments.
- Providing flexible access to savings and term deposit products to support short term cash flow needs.
- Emergency credit limit increases or temporary overdrafts.
Today the Australian Banking Association has launched a campaign encouraging those struggling with cost challenges titled 'Don't tough it out on your own - banking support when it matters most.'
"Australia's banks are here to help households, businesses and farmers navigate this challenging time," Mr Birmingham said.
"In tough financial times those impacted may require temporary help such as access to credit to help with cash flow, or they may need to put a different repayment arrangement in place. Every customer's situation is different. From years of experience banks know how to help customers get through a difficult patch.
