Steps to lower mortgage stress
Get support and helpful guidance to assess your current circumstances or apply for financial hardship assistance if needed.
Important Have you missed a payment or worried you can't pay? Apply online for financial hardship assistance or call Westpac Assist on 1800 067 497. |
We’re here for you
Money uncertainty can affect the emotional and physical wellbeing of any homeowner. We’re here to help you find some financial breathing space.
Whatever your situation - the rising cost of living or something else - the sooner you talk with us, the sooner we can help.
Having a conversation with us won’t affect your credit report or your ability to borrow in the future.
If you do set up a financial hardship arrangement - as long as you meet the revised repayments – it will only appear on your credit report for one year after the arrangement ends.
Step 1: manage your current situation
Loan affordability
Have changes in your financial situation impacted your repayments? Take a moment to review your budget and decide what you can comfortably afford.
Planning ahead
Think about the short and long-term.
According to the National Debt Helpline your home loan is usually your biggest, most expensive and highest priority debt... they also recommend talking to your lender as soon as possible to discuss your options.
Talk with a free Financial Counsellor
The National Debt Helpline offers you free, independent advice from a Financial Counsellor to help you get back on your feet. It’s a non-judgemental, not-for-profit service, with dedicated people in each state. They’ll work with you to understand your circumstances, advocate for you and help with any next steps.
Your Financial Counsellor can also mediate between you and your lender on options like changing to an Interest Only term, repayment plans, and can even apply for a financial hardship arrangement on your behalf. Simply contact the National Debt Helpline on 1800 007 007, from anywhere in Australia.
Step 2: review some options
Financial hardship assistance
The sooner you tell us, the sooner we can help you get back on your feet. A tailored arrangement may include, but not limited to:
- Flexible payment arrangements
- Short-term deferral or repayment reduction
- Extending your loan term.
Apply online now or call Westpac Assist on 1800 067 497 (Mon-Fri 8:30am-8:00pm, Sat 9:30am-6pm, Sydney time). Eligibility criteria apply.
Resources
Assistance & Credit Reporting (PDF 1MB)
What to expect: financial hardship (PDF 51KB)
Book an appointment with a lender to explore these options.
Depending on your situation, and whether you meet certain criteria, you may be able to:
- Lower your repayments to the minimum amount by switching back to monthly repayments or reducing any extra repayments1.
- Pay Interest Only on your home loan for 1-5 years (1-10 years if you're investing).
- Use your redraw2 funds:
- For short term cash flow, you can redraw (withdraw) your ‘available’ funds (additional payments you’ve made into your home loan), but you’ll pay more interest later. And you’ll need to ensure you can still pay the minimum each month.
- Or instead of withdrawing your available funds, you could use these funds to make a lump sum payment to reduce your loan limit. This could help you save interest over the life of your loan.
- Extend your loan term.
- Consolidate other debts, like a car or personal loan, into a lower home loan interest rate.
Once you’ve had the discussion with your lender, if these options aren’t suitable, they may refer you to our Westpac Assist team.
Step 3: applying for financial hardship
If you’re finding it hard to meet your home loan repayments, the sooner you reach out, the sooner one of our friendly Westpac Assist team members can help.
Unable to apply online? Call Assist
1800 067 497
Mon-Fri 8:30am-8:00pm,
Sat 9:30am-6pm, Sydney time
Frequently asked questions
Life’s unpredictable. If you’re feeling the pinch and unable to meet your financial commitments, the sooner you tell us, the sooner we can help.
- Apply online for financial hardship, or call the Westpac Assist team on 1800 067 497.
Eligibility criteria apply.
With a financial hardship arrangement, you may be able to reduce your repayments by extending your loan term. Our Westpac Assist team will support the right outcome for you.
Bear in mind, whenever you repay less, you may end up paying more interest over the life of your loan.
A financial hardship arrangement will appear on your credit report, but it should not impact your credit score – as long as you meet your revised repayments under the arrangement.
The reasons for your financial hardship arrangement will not be included in the credit report. And financial hardship information only stays on a credit report for 12 months: after 12 months the fact that you entered into a hardship arrangement will no longer be visible on your credit report.
In our experience, the sooner customers talk with one of our friendly experts about their options, the better off they are in the long run and the more likely they are to keep their home.
- To discuss your hardship options, you can call the Westpac Assist Team on 1800 067 497. You can also call the National Debt Helpline on 1800 007 007 from anywhere in Australia.
Our promise to you
Our service promise includes a dedicated Customer Advocacy team to ensure you’re listened to in a fair way, and that help is at the heart of everything we do.
It's when someone manipulates your financial decision-making or misuses or controls your money, financial resources, property or assets without your knowledge or consent.
Financial abuse can:
- Happen to anyone
- Come from someone you hardly know, like a professional employed to help you – or someone you’ve known all your life, like a family member
- Be a gradual change, where someone initially managing your money responsibly begins to take advantage.
There are no circumstances in which financial abuse is acceptable, so if you think this might be happening to you, don’t be afraid to get help.
Things you should know
This information is general in nature and has been prepared without taking your personal objectives, circumstances and needs into account. You should consider the appropriateness of the information to your own circumstances and, if necessary, seek appropriate professional advice.
1Changing repayment amount or frequency: Cannot be performed on an interest-only loan. However, you may make extra repayments. For more details on interest-only home loans.
2Redraw facility: if you have 'available funds' (you've made extra home loan repayments) and you've activated your redraw facility, you're free to redraw them with no redraw fee. Up to $100k will be available to redraw from your variable loan online or over the phone each day (unlimited in-branch). For fixed loans you can redraw up to your prepayment threshold during your fixed term. Read our Home Loan Redraw Authority form (PDF 66KB) for full details.
Loan repayment options: Conditions apply for the options listed.
- Reduced loan repayments: It is important to understand that at the end of the reduced repayment period, the repayment amount will increase to adjust for the reduced repayments. This ensures that the loan is still repaid within its original term. Read the disclosure documents for your selected product or service before deciding if this option is right for you.
- Switching to interest-only repayments: It is important to understand that interest rates for loans with interest-only repayments are higher. Your repayments will increase at the end of the interest-only period as the amount you’ve borrowed will need to be paid back in a shorter timeframe. This also means you’ll pay more interest over the life of the loan on interest-only repayments than if you’d opted to continue paying principal and interest.