COVID-19: NAB continues to provide loans in support of SMEs

By Georgia Wilson
Following the extension of the COVID-19 SME loan guarantee scheme, the National Australia Bank (NAB) continues its support of SMEs in the region...

Following the announcement made by the new Federal Government support measures back in March, NAB CEO Ross McEwan commented that, “NAB strongly supported and advocated for the establishment of this scheme. We will now work with the Government to implement these measures as quickly as possible and help ensure everything that can be done is being done to support Australians through this.”  

McEwan further added that “these new measures complement a sweeping package of initiatives NAB announced on Friday to support our customers. This is an extremely difficult time but we will get through this together and NAB will support our customers in any way we can.”

The national Australia Bank (NAB) package for customers include the ability to:

  • Defer principal and interest for up to six months on a range of business loans and equipment finance loans
  • Receive a 200-basis point rate cut on new loans and all overdrafts on QuickBiz
  • An additional 100-basis point reduction on variable rates for small business loans
  • Access to up to US$65bn of additional secured limits to pre-assessed customers, in addition to US$7bn currently available for fast assessment
  • Access to up to US$9bn in additional limits for unsecured lending for existing customers 
  • Defer business credit card repayments

“This pandemic has hit at the heart of Australian business – great businesses right across this country are overnight finding themselves with zero cashflow. With the Government’s Coronavirus SME Guarantee Scheme, NAB is able to support even more businesses and ensure they are set for recovery when we get through this,” commented NAB Chief Customer Experience Officer Rachel Slade .

In addition the the business scheme, personal customers will also have the ability to:

  • Pause home loan repayments for up to six months, including a three-month checkpoint
  • Access a 10-month term deposit rate of 1.75% p.a. 
  • Access to fixed home loan rates of 2.39% p.a. for 1 year, 2.29% p.a. for 2 and 3 years and 2.79% p.a. for 5 years 
  • First home buyers can access a rate of 2.19% p.a., fixed for two years
  • Access to more than US$20bn in redraw and more than US$30bn in offset
  • Reduce repayments on variable rate loans

In a recent announcement made by the NAB the organisation has again welcomed the latest announcement from the Government detailing the extension of the COVID-19 SME Loan Guarantee Scheme.

“We welcome the Government’s expansion of the SME Loan Guarantee Scheme. The changes will make it available to more businesses, for longer, to help them rebuild – and support Australia’s recovery,” commented NAB CEO Ross McEwan.

Since the start of the Scheme back in march by the government, NAB has been actively participating, and has approved over 5,000 loans since the launch.

To find out more about how the National Australian Bank (NAB) has been participating in the government SME Scheme, click here!

Or for more information on how NAB is supporting customer challenges associated with the COVID-19 pandemic, click here!

For more information on business topics in Asia Pacific, Australia and New Zealand, please take a look at the latest edition of Business Chief APAC.

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