ANZ Fiji Launch Loan Replacement Deferrals

ANZ Fiji is now offering loan repayment deferrals of up to six months for Pacific customers who are financially affected by coronavirus (COVID-19). ANZ Fiji said in a statement the decision was made in tandem with the Fijian Government announcement.

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 regional executive for the Pacific Tessa Price said the economic downturn was becoming more acute for Fiji and other Pacific countries because of the impact of coronavirus.

“COVID-19 restrictions are financially impacting thousands of home owners, personal borrowers and businesses in the Pacific, and for many the ability to maintain their home loan is a major concern,” said Ms Price.

A word of caution

Ms 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.”

Stretching help

ANZ Fiji country head Saud Minam said the measures would help ANZ’s Fijian customers manage over a longer period.

“This is going to significantly help Fijian people and the broader economy to manage over the long term through the pandemic,” said Mr Minam.

Fiji request exceed 1100

“ANZ received more than 1100 requests for hardship assistance in the first week since the Fijian Government announcement.

“We’ve already contacted more than 270 of these applications and will increase our contact with customers this week.”

“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 Fiji 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. ANZ Bank said measures applied depended on the individual circumstances. From May 1, 2020, ANZ Bank will offer the following fee removals and interest rate reductions for Fiji customers:

■ A reduction of 0.50 per cent per annum on all local currency overdrafts for commercial customers, effective April 6.

■ A reduction of 0.50 per cent per annum on all local currency variable term loans for commercial customers effective May 1.

■ A reduction of 0.50 per cent per annum on all local currency variable home loans and personal loans, effective May 1.

■ Removal of monthly loan administration charges for term loans for both retail and commercial customers effective May1.

■ 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.