Mortgage holders who defer their loan repayments during the coronavirus crisis will no longer need to pay back the interest.

On Tuesday, Commonwealth Bank CEO Matt Comyn told Alan Jones for those borrowers who opt to defer repayments for the next six months, interest will continue to accrue, however they would be provided an extension on the loan.

After a further off-air discussion, the Commonwealth Bank has now agreed to make a one-time payment to all home loan customers, to offset the effect of interest-on-interest over the six month period.

The bank will also be automatically refunding late fees and interest for credit card customers who missed their March repayment.

“To Matt Comyn’s great credit, he listened,” Alan applauded the Commonwealth Bank CEO.

“Well done.”

Click PLAY below to hear Alan’s comments in full

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