BANKS EXTEND LOAN DEFERRALS & SUPPORT COMMERCIAL LANDLORDS
On Monday 30th March 2020, it was announced that Australia’s 4 big banks will extend the deferral of business loans to six months.
Businesses with total business loan facilities of up to $10 million will now be able to defer repayments for loans attached to their business for six months.
For commercial property landlords, you will need to provide an undertaking to the bank that for the period of the deferral, you will not terminate leases or evict current tenants for rent arrears as a result of COVID19. Further, the tenant must have advised you that its business is affected by COVID-19. Please note, the interest will be capitalised so either the term of the loan will be extended or repayments will be increased after the deferral period.
To take advantage of this deferral, and for more details, you will need to contact your bank.