Home loans support information
Already on a COVID-19 Home Loan support package?
- If you are currently on a support package, you can find out more information about your options by visiting our Home Loan Support Package Options page.
Visit the home loan support package page
If you've lost your job or suffered loss of income (including rental income) as a result of COVID- 19, you can apply to defer mortgage repayments.
- To apply for a deferral, you will need to be registered for online banking, log into online banking and complete the COVID- 19 support package application.
- Note that your loan repayments will be higher after your deferral period. The deferred interest will be capitalised and any deferred principal repayments will need to be paid off during the remainder of your loan term.
- If you have a Variable Rate loan making Principal and Interest repayments, you can use our COVID- 19 Home Loan repayment deferral calculator as a guide to help understand what your repayments could be after your deferral period.
What happens after you apply?
- After you have applied for a COVID- 19 Home Loan support package, we will contact you by phone to discuss your current circumstances and the options available to you
- If you are approved for a COVID- 19 Home Loan support package, your deferral period will commence once your application has been processed.
- If you have a repayment due in the meantime, you have the option to:
- Suspend your direct debit by calling us 131 900
- Amend the frequency. For example, changing from weekly or fortnightly to monthly via Online Banking
FAQs: Switching to Interest Only
Switching to interest only will mean your repayments are temporarily lower during the interest only period. This is because you are only required to pay the interest portion of your repayments rather than both the principal and interest.
You can check your current interest rate, your repayment amount and due date in Westpac Live online banking.
At the end of your interest only period, your repayments will:
- Switch back to principal and interest.
- Increase – this is because your principal will now need to be paid back in a shorter timeframe. Therefore, your repayments will be higher than if you’d stayed on principal and interest from the outset. The longer the interest only period, the higher the jump in repayments will be.
Interest rates for loans with interest only repayments are higher
To see a full list of our interest rates, visit our interest rates page.
To find out if you are eligible to switch your repayments to interest only repayments call us on 132 558.
If you are an owner occupier, you may be approved for an interest only term between 1 and 5 years.
If you are an investor, you may be approved for an interest only term between 1 and 10 years.
You also have other products?
Things you should know
Break costs on prepayments and switching: Customers can make total prepayments of up to $15,000 (cumulative) for loans fixed prior to 21 March 2009, $25,000 (cumulative) for loans fixed between 21 March 2009 and 16 March 2012 or $30,000 (cumulative) for loans fixed on or after 17 March 2012, without costs or fees applying. Prepayments exceeding this threshold may incur a break cost and administration fee.
If at any time before the end of a fixed rate period you switch to another product, interest rate (fixed or variable) or repayment type, then a break cost and administration fee may apply.