NAB expands coronavirus support to credit card and personal loan customers
NAB is extending its coronavirus relief package to credit card and personal loan customers, as shutdowns across Australia place millions of jobs on the line and leave many strapped for cash.
From today, the big bank will waive its $15 late payment fee on all plastics for at least the next three months.
From April 27, NAB will also lower the minimum monthly repayment threshold for all of its 1.6 million credit card customers for at least three months. This reduction will either be $5, or between 2.0% and 2.5% to 0.5% of the closing balance, depending on which number is larger.
Plus, it will slash interest rates on the NAB Low Rate Card by a huge 100 basis points. This move will bring the purchase rate down to 12.99% p.a., and become available to new and existing cardholders from April 27.
As for NAB’s personal loan customers, they’ll be able to access reduced minimum repayments for up to 6 months, effective April 17. But unlike the big bank’s credit card support which will be automatically applied, they’ll have to opt in by sending a request over at nab.com.au/coronavirus.
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NAB’s announcement comes a day after CommBank said it will ramp up financial aid for its home loan and credit card customers.
“These new measures will provide further relief to Australians over the coming months as we all come to terms with circumstances we have never experienced before,” NAB Chief Customer Experience Officer, Rachel Slade said in a statement released today.
“We recognised that for some customers meeting financial obligations may be difficult at this time. Where possible we strongly encourage customers to reduce their debts as much as they can to limit interest payments over the long term.”
What other COVID-19 relief is NAB offering?
Since the emergency RBA cut in late March, NAB has been rolling out a host of product changes to help personal customers and small businesses in need.
The big bank slashed fixed home loan rates by 60 basis points across its one, two, three and five year terms.
To provide some relief to savers hurt by plummeting rates, its 10 month term deposit rate also rose by 85 basis points to 1.75%.
Meanwhile for small businesses, NAB has shaved 100 basis points off its variable rate business loans, and 200 basis points off its QuickBiz loans and overdrafts. In addition, it is offering business customers the option to defer loan and credit card repayments.
“This support will provide cash flow relief so they [businesses] can stay open, and keep people in jobs,” NAB CEO Ross McEwan said in a statement following the latest RBA cut.
Your next steps
To find out how other lenders are helping their customers doing it tough, read our guide to Australian banks’ emergency coronavirus relief packages.
Or if you’re looking to ditch your plastic debt faster, consider switching to a balance transfer credit card which comes with a 0% interest rate for an introductory period. This can give you some breathing space to pay off your balance.
Scroll down below for a list of balance transfer offers, or jump over to our balance transfer credit card comparison table for even more options.
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