Powered by momentummedia
nestegg logo
Powered by momentummedia
nestegg logo
nestegg logo

 

 

Borrow

Big four bank launches protection for home owners

  • February 24 2020
  • Share

Borrow

Big four bank launches protection for home owners

By Cameron Micallef
February 24 2020
The Commonwealth Bank of Australia

Big four bank launches protection for home owners

author image
  • February 24 2020
  • Share
The Commonwealth Bank of Australia

A major bank has launched Home Loan Compassionate Care, which provides up to 12 months of mortgage payment support to customers if their spouse or dependant passes away or is diagnosed with a terminal illness.

The Commonwealth Bank has launched these protections following a study produced by the bank, which showed the financial stress Australians would face if a loved one passed away.

Angus Sullivan, group executive, retail banking, said this is a way for the bank to support its members during a difficult time. 

“If something were to happen, the last thing you should have to worry about is your home loan,” Mr Sullivan said.

CBA’s research also revealed that over half of Australians have not had a conversation with their spouse or dependants about how they would meet ongoing home loan repayments if something were to happen.

Advertisement
Advertisement

The research also uncovered that nearly half (45 per cent) of respondents would need financial assistance to cover mortgage repayments, with that number increasing to 55 per cent if home owners have children under the age of 18, and was highest among those aged under 30 (67 per cent).

Of those who said they would need financial assistance, two-fifths said they would look to family or friends when asked where they would turn for support to cover their ongoing mortgage repayments. 

The research also showed that while women were more likely to turn to their bank to discuss what options are available to them, men tend to rely on insurance or other banks or financiers for assistance.

“We know that mortgage repayments are the single biggest financial commitment for Australian home owners, so when the unthinkable happens we’ll support our customers by making their home loan repayments for around 12 months at no cost,” Mr Sullivan concluded.

Big four bank launches protection for home owners
The Commonwealth Bank of Australia
nestegg logo

Forward this article to a friend. Follow us on Linkedin. Join us on Facebook. Find us on Twitter for the latest updates
Rate the article

About the author

author image

Cameron is a journalist for Momentum Media's nestegg and Smart Property Investment. He enjoys giving Aussies practical financial tips and tricks to help grow their wealth and achieve financial independence. As a self-confessed finance nerd, Cameron enjoys chatting with industry experts and commentators to leverage their insights to grow your portfolio.

Join the nestegg community

We Translate Complicated Financial Jargon Into Easy-To-Understand Information For Australians

Your email address will be shared with nestegg and subject to our Privacy Policy

About the author

Cameron is a journalist for Momentum Media's nestegg and Smart Property Investment. He enjoys giving Aussies practical financial tips and tricks to help grow their wealth and achieve financial independence. As a self-confessed finance nerd, Cameron enjoys chatting with industry experts and commentators to leverage their insights to grow your portfolio.

Join The Nest Egg community

We Translate Complicated Financial Jargon Into Easy-To-Understand Information For Australians

Your email address will be shared with nestegg and subject to our Privacy Policy

From the web

Recommended by Spike Native Network

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.