ANZ Kiribati is offering loan repayment deferrals for up to six months for ANZ customers financially affected by Covid-19.
Loan repayment deferrals mean that qualifying customers will not make principal and interest payments on their loans for up to six months, although interest will continue to be charged to the loan.
They are part of a range of other measures designed to support ANZ customers in hardship and are in addition to fee removal and interest rate reductions already implemented by ANZ.
ANZ Kiribati Country Head Gregory Edwards said the economic downturn is becoming more acute for Kiribati and other Pacific countries due to Covid-19.
“Covid-19 restrictions are financially impacting thousands of homeowners, personal borrowers and businesses in the Pacific, and for many the ability to maintain their home loan is a major concern,” said Mr Edwards. “This is going to significantly help Kiribati people and the broader economy to manage over the long term through the pandemic.”
ANZ Regional Executive for the Pacific Tessa Price cautioned customers to look at the range of relief options available, as a deferral might not be the right solution for everyone.
“Loan repayment deferrals are designed to help our customers reduce their outgoings by temporarily stopping their loan repayments.”
“Loan deferrals will extend the life of the loan and add to the overall cost, so we’ll be talking to customers to ensure a loan deferral is the best option for them, and that other options might better meet their needs.”
“We ask that our customers be patient with us as we work through the high number of calls and applications coming through.”
Hardship options for ANZ Kiribati customers include*:
- Loan restructures to extend the maturity date of a term loan and reduce payments;
- Interest only loans for up to six months;
- Temporary working capital facilities;
- Term loan repayment deferrals for six months upon application, with interest accumulating.
*Note: the measures applied depend on the individual circumstances
- Fee removals and interest rate reductions for ANZ Kiribati customers already offered by ANZ*: A reduction of 0.50% per annum on all local currency overdrafts for commercial customers (effective 6 April);
- A reduction of 0.50% per annum on all local currency variable term loans for commercial customers (effective 1 May);
- A reduction of 0.50% per annum on all local currency variable home loans and personal loans (effective 1 May);
- Removal of monthly loan administration charges for term loans for both retail and commercial customers (effective 1 May);
- A waiver on loan restructuring fees for commercial customers on a case-by-case basis;
A reduction in repayment amounts for commercial customers in line with the reduced interest rates
