Head of Commercial Broker Third Party, Angelo Manos, says “COVID has taught us all the importance of adaptability and that if we all adapt, we can innovate to further support you and the customer. We made it a priority for our bankers to individually contact affected ANZ business customers quickly to understand their situation.”
Outside of ANZ’s COVID-19 financial support packages, ANZ has implemented policy changes which may help small business customers:
ANZ Business Loan Term of up to 30 years:
Effective June 2020, ANZhas extended the maximum loan term available to eligible customers on an ANZ Business Loan of less than $1 million to up to 30 years, when secured by suitable commercial property.
This may give eligible customers additional choice as to their loan term and an alternative to using residential property as security for their loan.
ANZ Business Loan Interest-Only Repayment Term of up to 10 years:
Eligible customers may also be able to access an interest-only repayment term of up to 10 years on an ANZ Business Loan of less than $1 million with a term of 20 years or more, when secured by suitable commercial property.
ANZ has been a trusted financial partner of Australian businesses for almost 200 years, Manos says, and it has stood by businesses and the community through some difficult times. This period is no different.
“Many Bankers have been through many crises such as the Asian financial crisis, Russian Bond crisis, the Y2K crisis and the GFC. This latest one is just another shock.”
Brokers will continue to play an important role in the finance economy
In response to changes in the JobKeeper subsidy post September, he says that during these times brokers should stay close to their customers, in particular those who they identify as vulnerable.
“Lines of communication must remain open because the diversity of individual customer requirements is quite varied. We must have an element of curiosity about what’s available out there to find alternate solutions.”
However, Manos emphasises that we shouldn’t forget that most brokers are small business too and, like all small businesses during this period they’re likely to have been affected.
“It’s a bit like the mechanic with an oil leak in their car, they’re always so busy fixing other people's cars they forget to look at their own.”
“We need a strong, vibrant and viable broker community to help ensure that the banking system remains healthy.”
“Brokers help ensure that we have competition and a wider set of options for their client base outside the direct channel.”
“Brokers should find the time to pause and figure out their affairs. Understand whether they need support and seek it if need be.”
Manos notes that banks are here to help support small business through this time, and that includes continuing to support a strong broker community.
The future of the broker industry
When considering what lies ahead for brokers and the banking industry, Manos called out the emerging feeling of COVID fatigue.
“It’s really important we continue to treat each individual customer situation with urgency and care.”
“There has been a flight to advice and enquiries to brokers, advisors, accountants etc. will continue to increase over this time.”
Manos urges all brokers to continue to stay close to their customers and work with their lender BDMs and stay up to date with changes as they arise.
“We need to work together to ensure that we respond quickly, and work to avoid an individual crisis. That’s better than dealing with it after September when our options may be more limited.”