Support for home loan customers
CBA will make payments to support customers who have been granted a six month deferral to offset interest on interest costs during the six month deferral period.
This follows the announcement on 20 March 2020, that CBA will make repayment deferrals available for all home loan customers that request support.
Group Executive Retail Banking Services, Angus Sullivan, said the Bank is committed to supporting Australian households that have been financially affected by the coronavirus.
“When a home loan repayment is deferred for six months, interest is calculated and added to the loan balance each month which can result in customers paying interest on interest each month.
“To support more Australians, we will make a one-time payment to all customers who are receiving a home loan deferral because of the coronavirus.
“This means for an average loan of $350,000, CBA will be refunding approximately $45 to offset the effect of interest on interest over the six month period. Customer payments will vary based on their loan amount and interest rate.”