COVID-19 Frequently Asked Questions
Looking for answers relating to the COVID-19 pandemic and how RateSetter is responding to its impacts? You’ll find them here.
We recognise the difficulty many are facing due to the evolving nature of the COVID-19 pandemic and associated lockdowns for businesses around the country. We’re here to help.
What is financial hardship?
There are a number of reasons why you could be finding it difficult to make repayments on your loan. These circumstances include (and are not limited to):
- Losing your job
- Illness or injury
- Family violence
- Natural disaster
- A downturn in your business
Depending on your financial situation and how long you think you may be impacted before you are able to return to your regular repayments, we have a few different options which may assist you. Below are some of the ways we may be able to help:
- Adjusting your repayment dates
- A period of reduced repayments
If you believe that you only need to adjust your repayment dates for the next 1-2 repayments, please let us know by email or phone and we can quickly amend your repayment dates.
However, if you believe that your situation requires more assistance we are able to discuss other financial hardship options.
Banks are offering 6-month loan repayment deferment. Can RateSetter do the same?
RateSetter is not a bank and cannot offer that arrangement. However, we can provide a solution for temporary changes to your loan repayments depending on your individual circumstances. Please contact us so we can learn more and tailor a solution to suit you.
Additionally, you may be able to contact your bank for opportunities to defer your existing financial obligations with them. You can find out more about your bank’s hardship assistance here. In particular, if you hold a mortgage with a bank, you may be able to defer your mortgage repayments by up to 12 months.
Is there any other support available?
The Australian Federal Government has announced a range of stimulus measures which may help you make repayments on their loans.
These initiatives include:
- Temporary early release of superannuation: The Government is allowing individuals affected by the Coronavirus to access up to $10,000 of their superannuation in 2019-20 and a further $10,000 in 2020-21. Individuals will not need to pay tax on amounts released and the money they withdraw will not affect Centrelink or Veterans’ Affairs payments.
- Temporarily reducing superannuation minimum drawdown rates: The Government is temporarily reducing superannuation minimum drawdown requirements for account-based pensions and similar products by 50 per cent for 2019-20 and 2020-21. This measure will benefit retirees holding these products by reducing the need to sell investment assets to fund minimum drawdown requirements.
- Income support for individuals: Over the next six months, the Government is temporarily expanding eligibility to income support payments and establishing a new, time-limited Coronavirus supplement to be paid at a rate of $550 per fortnight. This will be paid to both existing and new recipients of JobSeeker Payment, Youth Allowance Jobseeker, Parenting Payment, Farm Household Allowance and Special Benefit.
- Payments to support households: The Government is providing two separate $750 payments to social security, veteran and other income support recipients and eligible concession cardholders. The first payment will be made from 31 March 2020 and the second payment will be made from 13 July 2020. Around half of those that benefit are pensioners. This payment will help to support confidence and domestic demand in the economy. The second payment will not be made to those eligible for the Coronavirus supplement.
I have recently applied for a loan. Will my loan application be delayed as a result of COVID-19?
We do not anticipate any significant impact on the time it takes a borrower to apply or receive a decision about their loan application, or on the service level, we provide to our partners. Our credit team continues to function at full capacity.
How have RateSetter’s business operations been impacted by the COVID-19 pandemic?
We have a business continuity plan for situations such as these, and we’re following this plan. Among other things, we have:
- Adopted work-from-home arrangements for our Sydney and Adelaide-based staff to help protect our customers, partners and employees;
- Brought many business processing functions onshore to ensure our quality customer service is uninterrupted; and
- Conducted thorough reviews of information security arrangements to ensure our customers’ and partners’ data remains secure.
Our entirely online loan application process means customers can complete the application process without having to visit a branch or wait for a call centre to make contact.
How do RateSetter borrowers apply for hardship?
Our financial hardship program provides temporary assistance to borrowers that are experiencing some kind of financial hardship, including where this is due to COVID-19. We need to get a good understanding of your circumstances in order to see how best we may be able to assist during this time and any requests are currently being expedited.
We acknowledge the impacts of COVID-19 for many Australians and will work with you to find a mutually workable solution on a case by case basis.
Enter your details below and our team will be in touch to discuss your hardship options. You may be asked to complete a hardship form and should regularly check your email for contact from us