NAB to stop late fees and reduce minimum monthly repayments for 1.6 million credit card customers
NAB will waive late payment fees and reduce minimum monthly payments on all credit cards for at least the next three months as part of new measures supporting customers dealing with the impact of coronavirus.
Customers using NAB’s lowest rate credit card (‘NAB Low Rate Classic Card’) will also receive a reduction of 100 basis points in the interest rate charged.
Personal loan customers can also request a reduction in their minimum repayments to $100 a month for up-to 6 months on an opt-in basis from April 17, via nab.com.au/coronavirus
“Our customers need help now. That’s why we’re acting fast to support them,” NAB Chief Customer Experience Officer Rachel Slade said.
“These new measures will provide further relief to Australians over the coming months as we all come to terms with circumstances we have never experienced before.
“We recognise that for some customers meeting financial obligations may be difficult at this time. Where possible we strongly encourage customers to reduce their debts as much as they can to limit interest payments over the long-term.
“If customers need financial support we are here to help and want to hear from them.”
The rate cut, fee waiver and reduction of minimum monthly payments to credit cards will be automatically applied to existing and new accounts from the effective dates listed below, and do not require customers to contact NAB to activate.
The additional support measures are:
- A reduction in the minimum monthly payment on all NAB credit cards from between 2.0% and 2.5% to 0.5% of the closing balance or $5 (whichever is greater), effective 27 April, for at least the next three months. Customers should still pay what they can to minimise interest.
- Waiver of the $15 late payment fee for all NAB credit card customers for at least the next three months, effective 3 April. Customers still need to make a minimum payment to ensure they can continue to use their card. NAB has 1.6 million consumer and business credit card customers.
- An interest rate reduction on the personal NAB Low Rate Classic Card of 100bps, effective 27 April for new cards. For existing customers, the rate reduction takes effect from the opening date of their next statement of account from 27 April.
- Allowing customers to apply for a reduction in the minimum monthly repayment on personal loans to $100 per month, effective from 17 April, for up to six months (if minimum repayment is weekly or fortnightly, the reduction will be calculated to be equal to $100 per month.)
NAB has so far received requests from more than 50,000 personal and business customers wanting access to its COVID-19 relief packages, such as the deferral of home loan and business loan repayments for up to six months and the introduction of an unsecured business support loan up to $250,000. Details on earlier support measures can be found here and here, and updates on how we are supporting customers through challenges associated with COVID-19 are available at nab.com.au/coronavirus.
How customers can receive support:
Given significantly higher call volumes at this time, where possible, we recommend customers seeking support to submit a request online. Additionally, most NAB branches remain open and customers facing financial challenges can call our Customer Care teams on:
- Personal – 1300 683 106 (Monday to Friday 8am-8pm AEST/AEDT; and Saturday 9am-1pm AEST/AEDT)
- Business – 1300 769 650 (Monday to Friday 8am-6pm AEST/AEDT)