Queensland Senator Susan McDonald has called for all banks to grant deferment on loan repayments for businesses and homeowners affected by floods.
Senator McDonald said flood victims needed time to re-establish their cash flow and prioritise payments to staff and local creditors without the added burden of meeting loan repayments.
The LNP’s spokesperson for Northern Australia has contacted major financiers asking them to consider pausing loan repayments and extending loan terms for home and business owners desperately trying to get back on their feet.
“This offer has been made previously to distressed businesses following disasters. Some people have lost everything and need to keep their jobs. By deferring loans for three to six months, employers can ensure these jobs remain,” Senator McDonald said.
“Some banks are offering loan deferment options for customers but this needs to be an industry-wide policy and it needs to be adequate to ensure businesses stay open and jobs preserved so this important region recovers as quickly as possible.
“Business owners have contacted me in great distress at having lost much of their traditional Christmas trade.”