In response to the COVID-19 pandemic, our partner Commonwealth Bank automatically deferred repayments on eligible BetterBusiness Loans and Equipment Loans (Chattel Mortgage) for qualifying customers with total commercial lending limits with CommBank of up to $5 million.
Despite the worst being over and the curve being flattened, many businesses are still doing it tough and there is a long road to recovery. To that end, CommBank is automatically extending the deferral period for a further three months for repayments due between 1 July 2020 and 30 September 2020. This includes repayments of principal and interest, and of interest-only.
There is an infographic to explain what this deferral could mean on their website.
From 1 October 2020, revised repayments will commence and direct debits will be reinstated. We will communicate these exact arrangements with customers around the end of their deferral period.
How have customers been notified?
All customers with the above loans have been sent an email from CommBank to their email address on file. If no email address was available, the customer was notified by post. Notifications were also placed in major newspapers across Australia.
For customers who previously opted out of the first auto deferral, they will not receive the extension. Customers who did not receive this automatic deferral can still apply for our normal Emergency Assistance Package if they require support.
For more information, they should contact their Commonwealth Bank Relationship Manager or the Business Financial Assistance team on 13 26 07, available 24/7.
What do customers need to do?
Eligible customers do not need to do anything if they wish to extend payment deferrals for another 3 months, it is automatic.
Any customers wanting to opt out (that is, continue to pay interest and loan repayments) must only do so by responding by email to the email address contained in the eDM and letter sent to them before 22 June 2020.
Further information can be found at commbank.com.au/coronavirus.