Our COVID-19 support for home owners

If you’re a home loan customer who’s in need of support due to COVID-19, you can ask us to defer your home loan repayments for six months without impacting your credit rating.

Deferring your home loan repayments

You can register online to defer your home loan repayments for six months. This means you won’t need to make any home loan repayments during the six-month period.

It’s important to note that, by deferring your repayments, the interest will be capitalised. This means that the interest you’d have normally paid during the deferred period continues to accrue and is added to your outstanding home loan balance, to be paid after the deferred period. In turn, it means your outstanding balance will increase, and you’ll pay more interest over the life of the loan.

After the deferral period, to help keep your repayments as similar as possible to what you’re currently paying, we’ll extend your loan term as required.

Taking advantage of this repayment deferral will not impact your credit rating or appear on your credit file during the deferral period.

For more information about deferring your repayments, please see our FAQs.

If you need additional support and are experiencing further financial hardship, please contact us to discuss the support options available and what they mean for individual circumstances.

The option to defer is available in Bankwest Online Banking and the Bankwest App.

In Bankwest Online Banking:

  • Go to 'Self service' > ‘COVID-19 support'
  • Before you start the process, make sure your contact and address details are up to date under 'My details & security'.


If you need help setting up online banking, take a look at our set up guide.

In the Bankwest App:

  • Go to ‘Products & offers’ > ‘COVID-19 support’
  • Before you start the process, make sure your contact and address details are up to date by going to ‘Settings’ in the main menu and selecting ‘Contact info’.

Other ways to help you keep on track with your home loan

Redrawing extra home loan repayments you’ve made

If you’ve made any extra repayments towards your home loan, that money has built up in surplus – and you could redraw those extra repayments for free.

If you have a variable rate home loan, you can redraw your extra repayments using the Bankwest App or Bankwest Online Banking – here’s how.

You can also use our Home Loan Access Request Form with our variable rate home loans and fixed rate home loans. Note that a minimum withdrawal amount of $1000 applies.

Keep in mind that redrawing your extra repayments will mean those surplus funds will no longer be reducing the interest on your home loan.
 

Reducing your home loan repayments to the minimum amount

If you’re currently paying more than the minimum amount, you can reduce your repayments to the minimum. You can change your scheduled payments in Bankwest Online Banking, however if you have a periodical payment set up, you’ll need to contact us on 13 17 19.

Before you request a deferral

FAQs

1

What is interest capitalisation?

If you defer your home loan repayments, the interest will be capitalised. This means that the interest you’d have normally paid during the deferred period continues to accrue and is added to your outstanding home loan balance, to be paid after the deferred period. In turn, it means your outstanding balance will increase, and you’ll pay more interest over the life of the loan.

As an example, if you borrowed $300,000 with 20 years remaining at 3.5%, you would pay an additional $8,674 in interest and have your loan extended by 13 months. The actual cost to you will depend on your own individual circumstances.

2

Who’s eligible and do I need to provide evidence that I’ve been affected by COVID-19?

All customers can apply to have their repayments deferred regardless of the type of home loan they have. This includes construction loans. All repayment types are eligible - interest only, variable and fixed rate loans.

Customers with surplus funds in their home loan can apply without affecting their surplus balance. If for any reason we can’t make this change, we will call you to discuss alternative options.

Also, we’re not asking our customers to provide formal evidence that they’ve been affected by COVID-19. If you’re impacted, we’ll ask you to confirm that COVID-19 has affected your financial wellbeing.

3

Will deferring my repayments impact my credit rating?

Taking advantage of this repayment deferral will not impact your credit rating or appear on your credit file during the deferral period.

4

Will my home loan term extend if I defer my repayments?

To maintain similar existing minimum monthly repayments after the deferral period, your loan term will be extended.

5

How long will this six-month repayment deferral be available?

Supporting our customers during this period is our number one priority. Any changes to the deferral of home loan repayments (including when it may end) will be published on this website.

After you request a deferral

FAQs

1

How long will it take to process my request?

Given the unprecedented volumes, it’s taking longer than usual to process home loan deferral requests. We understand the urgency of your application and we’re working hard to respond as quickly as possible.

As soon as your deferral is applied, we’ll send you an SMS and we’ll also post a confirmation letter to you.

2

My repayment deferral is approved but interest is appearing on my account. Why?

Our SMS is your confirmation that your six-month deferral has started.

Each time your monthly interest is calculated, we’ll increase your loan limit to ensure no repayment is required each month. This may take 24 hours, so don’t worry when the debit interest appears in your transaction listing. You’re not required to repay this during your deferral period.

3

When does the repayment deferral start?

Our SMS is your confirmation that your six month deferral has started.

You’ll need to pay any interest charged before your deferral was approved, so please check your statements or online banking and - of course - if you're experiencing difficulty, please contact us.

During the deferral period

FAQs

1

Will I need to make any repayments during the six-month deferral period?

No, you aren’t required to make any repayments during the six-month deferral period. You can choose to continue making repayments - however, the interest deferral is locked in for six months. Any extra repayments will appear as surplus in your loan account and will reduce the balance you pay interest on over the six months.

2

Can I start paying my loan again during the six-month deferral period?

You can continue to make repayments - however, the interest deferral is locked in for six months. Any extra repayments will appear as surplus in your loan account and will reduce the balance you pay interest on over the six months.

3

What happens if interest rates change during my deferral period?

Interest on a variable rate loan will continue to be charged at the applicable daily interest rate, which can change from time to time.

4

Can I cancel my deferral?

Yes, you can submit a request to end your home loan repayment deferral via Bankwest Online Banking (tap 'Ask us' in the menu to start a secure conversation) or by calling us on 13 17 19.

After the deferral period

FAQs

1

What happens to my repayments at the end of my deferral period?

Your home loan repayments will start again after the six-month deferral period, and your repayments will be adjusted accordingly.

We’ll extend your loan term by the months required to make sure repayments will remain similar to ones you’re currently paying.

If, at the end of your deferral period, you continue to have difficulty making your repayments, you can talk through your options with us.

2

What if I’m unable to make my home loan repayments after the six-month period?

We’ll continue to monitor how COVID-19 is affecting our customers’ financial wellbeing and will work to support you through any financial difficulty.

If you need further support after this period, please contact Bankwest to discuss the support options available and what they mean for individual circumstances.

How can we help?

You can message us in the Bankwest App or online banking or call us – were here 24/7.