ASB supports Kiwi businesses by pledging to maintain the interest rate on its most common small business loan

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ASB supports Kiwi businesses by pledging to maintain the interest rate on its most current small business loan for the rest of the year

ASB has today committed to maintain its base commercial interest rate until the end of 2021.

The Reserve Bank of New Zealand today announced its decision to increase the official exchange rate (OCR) by 0.25%, but the ASB has stepped in to help New Zealand’s small business community get through this difficult period.

Tim Deane, Executive Director of Corporate Banking Services at ASB, said: “We are keenly aware that small business owners across the country are facing challenges right now and every little financial relief is helping them to survive. ‘get out. “

“Although the increase in OCR puts pressure on our financing costs, we will not pass this cost on to our commercial base rate which is used to rate the loans most commonly used by our small business clients. We hope that this commitment will bring a little piece of peace of mind to small businesses in these very uncertain times. “

Mr Deane says that for our small business clients who are using a variable home loan to support their business operations, there is also good news on this front today, with the ASB variable home loan rate remaining unchanged at 4. 45%.

“Times are extremely tough for small businesses, but ASB is used to providing financial and non-financial support.

“Last year we dominated the market by reducing merchant fees and in September we completely removed merchant fees for contactless debit card transactions for qualifying small businesses to help them with their transactions. via COVID-19 alert levels 3 and 4.

“Last year, we also helped boost 100 small businesses with our Borrow The All Blacks campaign and provided grants through our business support partnership with TVNZ. “

Over the past month, we’ve hosted a series of Backing Business: Mental Health and Wellness sessions to give all Kiwi business owners the opportunity to learn practical tips and tools to help them, their employees. and their families, through this period.

Mr Deane says New Zealand businesses need certainty right now before anything else. “We’re happy to be able to offer some peace of mind until the end of the year to help business owners remove one of the variables from their short-term planning.

“At the end of the day, we’re here to help. We continue to encourage all businesses – or personal customers – who are concerned about their situation to contact us to discuss the many ways we can support them. “

© Scoop Media

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