NAB will provide the option to extend existing six-month loan deferrals for business and home loan customers affected by COVID-19, by up to four months ending no later than 31 March 2021 – on a case-by-case basis.
NAB CEO Ross McEwan said Australians continued to endure an unprecedented crisis, which was having a varied impact across Australian states, communities and industries.
“The recent news of increased COVID-19 detection has brought additional uncertainty to many businesses, individuals and families. Many are doing it tough – and banks play a critical role in providing support,” Mr McEwan said.
“NAB is already checking-in with customers on deferment, to better understand their individual circumstances and to determine the best arrangement for them.
“While a significant portion of businesses and homeowners that we have spoken to have started their repayments again, there are clearly still many customers who may need support for a bit longer.
“Bankers will speak with customers about their individual circumstances and the options appropriate for them which may include loan restructure, determining alternative fund sources, hardship assistance or further deferral for up to four months.
“The deferral has provided some much-needed relief, but we are encouraging customers who can begin repayments to do so as soon as they can. It is in the customers’ interest to repay debt sooner.”
Mr McEwan said the range of options had been made available following discussions with APRA and the Australian Banking Association.
“We’re working closely with regulators, the government and industry to support our customers to the other side of this crisis,” Mr McEwan said.
“A consistent approach across the industry provides clarity for customers and is needed at a time when the pandemic continues to impact businesses and everyday Australians.
The option to extend a deferral period for up to four months will be assessed on an individual customer basis and will be considered only when the current deferral is expiring.
Updates on how NAB is supporting customers through the challenges associated with the coronavirus pandemic are available at nab.com.au/coronavirus.