Supporting members impacted by Covid-19
Our members have experienced financial difficulties as a result of the COVID-19 pandemic, and we want you to know that there are many options available if you’ve had your income reduced or are facing uncertainty during this time.
Members with home loans, personal loans, business loans, credit cards and CUA Health Insurance have access to a range of options for assistance and support.
Financial Assistance Packages
Financial Assistance Packages are available to members who have had their income impacted by COVID-19.
These can vary depending on your circumstances and the product(s) you have with us, however members with home loans, personal loans and businesses can apply for a Financial Assistance Package.
Members with CUA Credit Cards and CUA Health Insurance also have a range of options for financial relief.
Home loan relief can be provided for up to four months, while for credit cards and personal loans it can be offered for up to three months at a time.
Do you have insurance?
You may have insurance cover for events of illness or involuntary unemployment. This could be through an income protection policy, a policy linked to your superannuation, or you may have purchased loan repayment insurance.
If you purchased loan repayment insurance with your CUA loan, contact the Credicorp claims team on (07) 3552 4289 to see whether you’re eligible to make a claim.
Home loan assistance
You can apply to defer your home loan repayments for up to four months if you are experiencing financial hardship.*
If you’re ahead on your repayments, consider redrawing those extra repayments fee-free to support you during this time.
Other ways we can assist:
- Reducing your home loan repayments to the minimum amount
- Lowering fixed home loan rates**
- Switching to Interest Only repayments for up to 12 months***
*Please note that if you defer your home loan payments, interest will continue to be added to your loan balance and your loan balance will progressively increase. You can still access and redraw any additional funds or additional payments you’ve made while your repayments are on pause, however you should be aware that all else being equal, the total amount of interest you will pay for the life of the loan, will increase slightly overall.
To help keep your repayments as similar as possible (when the assistance period finishes) and to discuss your options further, please contact the Financial Services Team on 1800 110 440 and select option 2 for the Financial Assistance Team.
**Members wishing to terminate an existing fixed rate contract may be subject to applicable fees and charges.
***An increase of interest rate may apply, as the rates for Interest Only loans could be higher than Principal and Interest Rates. Our current interest rates for Interest Only products are available on our website.
To discuss your financial assistance options, you can contact us on 1800 110 440.
Redraw extra home loan repayments
Are you ahead of your scheduled home loan repayments? If so, then you can consider redrawing those extra repayments fee-free to assist during this time.
Unlike much of the industry, we allow redraw from our fixed rate loans. Redraw is available via CUA Online Banking or via your local branch. Contact us on 133 282 for more information.
If you have the available funds, redrawing may be a better option for you than pausing your repayments. A redraw also helps you avoid additional payments and interest that arises out of deferring or extending the length of your home loan.
Personal loan assistance
Repayment relief and other assistance options are available for members on request and are reviewed on a case-by-case basis. As an example, we can waive late fees for personal loan repayments.
Are you ahead of your scheduled loan payments?
Many CUA members are currently ahead of their scheduled personal loan repayments. If you are one of these members, and are on a product that supports redraw, then you could consider redrawing those extra repayments fee-free to support you during this time.
If you wish to discuss your financial assistance options further, please call us on 1800 110 440 and select option 2 for the Financial Assistance Team.
Please note: If you defer or reduce your loan payments, interest will continue to be added to your loan balance and your loan balance will progressively increase. To help keep your repayments as similar as possible (when the assistance period finishes) and to discuss your options further, please call us on 1800 110 440 and select option 2 for the Financial Assistance Team.
Support for small businesses
Repayment relief is available for members with small business loans. We can also extend your loan term by the same length of time to ease the pressure and minimise the increase to your repayments when you start to make them again.
Members with credit cards
We can help in a number of ways, including waiving late fees on credit card repayments. Other assistance options (including repayment relief) may also be available for members with incomes affected by COVID-19 on request and will be reviewed on a case-by-case basis.
Members with CUA Health Insurance
CUA Health policy-holders who are experiencing financial difficulty or a loss of income as a result of COVID-19 can suspend their policy and premium payments for three months.
You can suspend your policy payments by calling CUA Health on 1300 499 260.
If you require hospital treatment during the period of the suspension, please contact CUA Health and we will work with you to reactivate your policy.
For the duration of the COVID-19 pandemic, CUA Health will cover members for all in-hospital COVID-19 treatment irrespective of their level of hospital cover, provided they have held the CUA Health Policy for at least two months.
CUA Health will also pay benefits for phone or video consultations provided by a range of allied health practitioners until 31 March 2021. This includes services for psychology, speech pathology, dietetic advice (including nutritionists), physiotherapy, occupational therapy, exercise physiology, podiatry and counselling. These benefits will be available where your Extras policy already covers this type of service, provided you have served any applicable waiting period.
For more information, or to discuss your options, please call CUA Health on 1300 499 260.
What does a Financial Assistance Package do to my credit report?
The Repayment History Indicator is a month by month report showing whether you’ve made your payments on time. If your account is not overdue when an application is processed, your Repayment History Indicator will continue to report your account is up to date.
If your account is already in arrears, CUA will need to continue to report the outcome. If you are behind on your payments and have any concerns, please contact us on 1800 110 440 and select option 2 for the Financial Assistance Team.
What does a Financial Assistance Package do to my repayments?
Once you are approved, you will receive a letter detailing your new repayment amount and the date your payments will recommence.
It is important to understand that your minimum repayment amount after the repayment deferral (sometimes called a “repayment holiday”) ends will be different to before you applied. This is because during a repayment deferral, interest continues to be added to your loan balance and therefore your loan balance will progressively increase.
Your repayments are then recalculated on the loan balance at the end of the deferral period to ensure you still repay your loan over the approved term. You may be able to apply for an extension on your loan term; however, you should be aware that this will affect the total amount of interest you will pay for the life of the loan.
If you need more information or wish to discuss your options, please 1800 110 440 and select option 2 for the Financial Assistance Team.
What happens when my Financial Assistance Package is about to expire?
You will receive a letter with the date your repayments resume and the revised repayment amount.
You may also want to set up an automatic transfer to re-start your payments on the date specified.
What if I am unable to restart my repayments?
If you’re unable to recommence your repayments, please call us on 133 282 to discuss further support options.
We recommend restarting your loan repayments as soon as possible – even if it's only reduced repayments. This will help you save on interest in the long term
How to apply for assistance
Our Financial Assistance Package application is meant to give us as much information about your financial situation as possible, because the better we understand your circumstances, the better we can assist you with options.
You will need
- Your personal details, including CUA member number and account numbers
- Your income details
- Details of your monthly expenses
- Details of what you own
- Details of what you owe
1. Apply online
2. We’ll contact you
Within 21 days to assess your request and provide you with an outcome or request further information, if needed.
More support resources
Free, independent financial counselling, has multiple sections on Covid-19 support.
The Australian Government’s Department of Social Services has a list of COVID-19 support services and resources.
Conditions apply. This is general information and does not take into account your objectives, financial situation or needs. Consider the appropriateness of the information before acting on it.