NatWest and Royal Bank of Scotland mortgage customers affected by coronavirus could defer their loan repayments for up to three months if they are in financial difficulty, it has been announced today.
RBS/NatWest said customers' situations will be looked at on a 'case-by-case' basis and various potential options will be matched to them.
While there is no single 'blanket provision', the help that customers could be offered if their finances are in difficulty includes requesting mortgage and loan repayment deferrals for up to three months.
Customers hit by coronavirus could also apply for increased temporary credit card limit and may be able to close fixed savings accounts to access cash with no early closure charge.
This comes afterItaly - which is now on lockdown - said mortgage payments would be suspended.
RBS said it would also waive early closure charges on fixed savings accounts and offer refunds on credit card cash advance fees so affected customers can access cash without penalty
Banks step up to help businesses and customersin the wake of coronavirus outbreak's economic impact
Banks have been forced to step up and provide assistance to small businesses and customers as coronavirus wreaks havoc on the economic market.
Which banks have issued guidance, and what is their stance onCovid-19?
Royal Bank of Scotland:
RBS has pledged to defer mortgage and loan repayments for up to three months for customers impacted by coronavirus.
It will also waive early closure charges on fixed savings accounts and offer refunds on credit card cash advance fees so affected customers can access cash without penalty.
RBS customers can apply for increased temporary credit card limits and request an increased cash withdrawal limit of up to 500 pounds to help them manage disruption.
Lloyds:
Lloyds Banking Group has offered £2bn of new funding for small firms, which won't come with any arrangement fee, to help their cashflows cope with the virus.
Natwest:
Natwest also said it would pledge £5bn of funding to support small and medium-sized businesses across the UK amid disruption caused by coronavirus.
The banks said funding will be used to provide loan repayment holidays of up to six months, as well as temporary emergency loans with no fees.
It will will also grant overdrafts of extensions of existing overdraft limits, as well credit limits of up to £500,000 to support cashflow.
Barclays has potential measures for business customers, including 12 month capital repayment holidays on existing loans over £25,000 and increasing overdraft facilities.
Santander said it would look at each customer's situation.
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Those struggling to cope may also request an increased debit card cash withdrawal limit of up to £500.
A spokesman for the banks, which are in the same group, said: 'We are monitoring the potential impact of coronavirus across all our customers to ensure we can support them appropriately through any period of disruption.
'We have a strong track record in working with our customers who are affected by disruption outside of their control.
'We understand that there may be circ*mstances where a personal customer may fall into financial difficulty as a result of the impacts of coronavirus, for instance, loss of income.
'We will look to understand each customer's situation on a case-by-case basis and can offer a number of options to help them manage their finances. We would encourage any customer experiencing financial difficulty to get in touch with us.'
Barclays said it will also remove penalty charges so people can access fixed savings accounts early for those impacted by coronavirus and enable customers to apply for a temporary increase on their credit card limit.
A statement from Barclays said: 'Any customers suffering hardship as a result of Covid-19 can contact our specialist support colleagues if they are experiencing problems making repayments to their mortgage, overdraft, personal loans or credit cards.
'These customers can also access their fixed savings accounts early without paying any penalty charges.'
Barclays also has a range of potential measures for business customers, including 12 month capital repayment holidays on existing loans over £25,000 and increasing overdraft facilities.
Santander also said it would look at each customer's situation and explore ways to support them depending on their specific circ*mstances.
The bank's support for customers includes the option to potentially defer or reduce repayments that are due.
A Santander spokeswoman said: 'Santander has a team of experts on hand to support customers who have been impacted by the coronavirus.
'Anyone who has been affected can talk to us on 0800 9 123 123.'
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Last week, trade association UK Finance said banks, building societies and credit card providers understand that some customers may be worried about the effect that contracting the coronavirus could have on their finances, for example due to a fall in income or because of unexpected expenses or bills to pay.
UK Finance said support could include offering or increasing an overdraft or allowing repayment relief for loan or mortgage repayments. It said asking for help early is key.
Italy suspends mortgage payments in the wake of coronavirus outbreak's economic impact
Payments on mortgages will be suspended across the whole of Italy after the coronavirus outbreak, the country's deputy economy minister said today.
'Yes, that will be the case, for individuals and households,' Laura Castelli said in an interview with Radio Anch'io, when asked about the possibility.
Italy's banking lobby ABI has said that lenders representing 90 per cent of total banking assets would offer debt moratoriums to small firms and households grappling with the economic fallout.
The news comes as Italy announced that it had doubled the amount it plans to spend on tackling its coronavirus outbreak to £6.5billion and is raising this year's deficit goal to 2.5 per cent of national output from the current 2.2 per cent target.
Speaking to La Repubblica, prime minister Conte yesterday vowed a course of 'massive shock therapy' to aid the Italian economy after much of its industrial and business heartland was shut down.
The Milan stock market, which was already down some 17 per cent since the outbreak in northern Italy, plunged at Monday's opening, with the blue chip FTMIB index down 11 per cent.
Matching similar calls from France, Conte said strict European Union borrowing limits should be loosened to allow more room for manoeuvre, and that the flexibility envisaged by the EU's budget rules should be used 'in full'.
'Europe cannot think of confronting an extraordinary situation with ordinary measures,' he said.
The European Commission told Italy on Saturday that its planned extra spending in response to the outbreak would not be counted in measuring its compliance with EU budget rules.
'The economic measures in the works will be vigorous, commensurate to current needs, but temporary,' the economy ministry said, adding that Italy remained committed to reducing its debt as soon as possible.
