6 June 2023
The RBA continues to address the nation’s inflation challenge with today’s 0.25% increase in the cash rate target, to 4.10%.
The latest inflation figures showed an increase to 6.8% in April, up from 6.3% the previous month, indicating the cost-of-living challenge faced by Australian households.
The ABA encourages those bank customers who are concerned about their financial situation to shop around to find the most suitable deal for their individual needs. Competition in the banking sector is strong and record levels of mortgage refinancing continues.
Banks strongly encourage any customers experiencing financial difficulty to reach out to access bank support services and to do so as early as possible.
Bank support teams are also proactively communicating with those customers at risk. Banks can assist customers by restructuring loans, offering interest only payments, extending the term of a loan and offering payment deferrals.
Australians have record levels of savings sitting in deposit and offset accounts while arrears remain at low levels. In April 2023 the value of household deposits on the books of ADIs grew for the 23rd month in a row, to $1.373 trillion.
Figure 1: Deposits held with ADIs, March 2019 – April 2023, $m
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In conjunction with the Australian Financial Complaints Authority (AFCA), the ABA is pleased to announce the appointment of former ASIC Commissioner Mr Sean Hughes as the next Chair of the Banking Code Compliance Committee (BCCC). Mr Hughes served as a Commissioner at ASIC from 2018 to 2023 and brings deep expertise in financial services… Read more »
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Australian banks are rolling out disaster support to customers affected by the current bushfires in Victoria. ABA CEO Simon Birmingham said banks were continuing to monitor the evolving situation across Victoria and are on standby to assist impacted customers. “This is an extremely challenging time for many Victorian communities, households and businesses,” Mr Birmingham said. “There are now special arrangements in place for those who may need additional financial assistance from their bank in the coming days, weeks and months. “Banks have highly… Read more »