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COVID-19 Options, Support and Feedback for BNZ Clients

Home loan repayment support options

Changing your repayments

If you’re currently paying more than the minimum repayment amount on your home loan, you might be able to reduce your current repayments.

Interest only payments

You may be eligible to apply for interest only payments on your home loan for up to 12 months. This means your repayments would reduce to cover just the interest incurred on your home loan during the interest only period. However, your repayments are likely to be higher at the end of the interest only period and you may pay more interest over the life of the loan. 

Repayment deferral (mortgage holiday)

You could be eligible to apply for a home loan repayment deferral for up to six months (including a three-month checkpoint). Once confirmed, the principal and interest repayments will stop immediately. 

Deferment of all repayments should be considered carefully, as interest will continue to accrue during the time payments are not being made, and added to the amount outstanding. Interest will be charged in the usual way. The amount outstanding and regular repayments may be higher at the end of the repayment deferral period and more interest may be paid over the life of the loan.

Will this end up costing me more in the long term?

On all of these options you may pay more interest over the lifetime of your loan as the loan term is longer, you will be paying interest for longer or your loan has got larger due to the repayment deferral.

What if my fixed rate expires while I’m on repayment deferral or interest only?

With BNZ, if you have a mortgage deferral of any type approved and currently attached to a Home Loan, you can apply to rollover the fixed rate if it expires during that period. Reach out to My Mortgage and we can do your refix as normal.

How can you apply?

If you are interested in any of the options, feel free to reach out to the My Mortgage team and we'd be happy to discuss them with you and, if you are an existing My Mortgage client, we can submit your application on your behalf.

Alternatively, if you're not an existing My Mortgage client, you can go to the BNZ website and request a callback and one of the BNZ team will come back to you within 5 days and get your adjustments put in place.