In a bid to give small businesses across Australia a much needed Christmas boost, Commonwealth Bank is offering a zero interest business loan and just one simple fee² paid over the life of the loan.
The Business Boost Loan* can provide small businesses with fast access to cash as well as peace of mind, with certainty around repayments and an upfront three month repayment holiday to provide extra support in the lead up to Christmas.
The two-year unsecured loan is available to eligible existing CBA customers via the bank’s self-service and innovative digital lending platform, BizExpress Online. Customers can complete the application online, receive a real-time credit decision and fast access to funds. A one-off simple fee² is added to the total loan amount and repaid over the life of the loan.
CBA Group Executive Business Banking, Mike Vacy-Lyle, said eligible business customers may be able to borrow up to $100,000 through the new loan offering.
“Business want simplicity and certainty during what has been a very challenging period. We’ve worked to deliver a unique offering that will provide just that, with no hidden costs, no variable rates, and in fact, no interest rate at all,” Mr Vacy Lyle said.
“We’re giving businesses fast access to cash to help boost their reopening plans. The various restrictions associated with COVID-19 meant many small businesses struggled to generate much revenue over the past few months, and these businesses now need to be able to re-stock and re-hire. Meanwhile, other businesses are looking at expanding or capitalising on pent up customer demand.
“One example of how this meets customer needs, is the gym owner who accessed our zero interest loan to help them manage a quieter holiday period while preparing for a busier New Year. They told us they had previously been hesitant to take out a loan with a variable interest rate, but felt reassured with the Business Boost loan as they know exactly what they need to pay over the loan period and don’t need to make their first repayment until March 2022 when business will be more consistent.”
As part of the SME Recovery Loan Scheme, the Business Boost Loan is designed to support business customers who have been adversely economically affected by the pandemic and who want to borrow a set amount over a two year loan term.
More than 21,000 Australian businesses have received more than $2.2 billion in funding support made available through the Commonwealth Bank’s Government-backed SME Guarantee Loan Scheme to help them manage the impacts of the pandemic and as the economy reopens to support business resurgence.
