The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.
An Australian father has expressed his frustration over his bank's handling of his financial hardship arrangements, describing persistent calls to his spouse about unpaid mortgage bills as intimidating and unnecessary.
These events have led to a considerable downgrade of his credit rating, challenging his ability to seek better financial options.
Speaking on the condition of anonymity, Brian* shared his story, highlighting particular incidents caused by Bankwest that left a significant mark on their financial health. In desperate times,Brian arranged to pay an additional $1100 monthly to catch up on his mortgage, but the bank still reported missed payments, tumbling his credit score severely.
The resulting bad credit has stalledBrian's opportunities to refinance to more favorable terms. "This case demonstrates a larger tendency among banks,"Brian stated, "to complicate customer transitions to more affordable rates, which I see as a form of predatory banking."
Compared to his experience with HSBC,Brian noted that while he has similar hardship accommodations for another property with them, they have never marked a payment as missed. This inconsistency amplified his distress regarding Bankwest's practices.
Back in March, an unexpected call from Bankwest to his wife regarding an $8000 outstanding debt left the family in anxiety, as his wife feared losing their home. The emotional impact was profound, as she was not the one familiar with their financial dealings.
Efforts to resolve the issue were met with an unfortunate incident where they received a letter from Bankwest declining a request for financial aid-a request whichBrian insists they never submitted. "It just added to the whirlwind of confusion," he said.
Brian's experience is further compounded by the launch of a complaint with the Australian Financial Complaints Authority (AFCA). Although the complaint acknowledged Brian had enough notice on the impact of his credit report, the abrupt nature of the call was deemed inappropriate. Bankwest was advised to consider compensating $1000 for the distress caused by the call.
A Bankwest representative, in response to requests for comments, emphasized their adherence to financial regulations and the emphasis placed on explaining the implications of hardship arrangements. "Our goal is always to communicate clearly with customers," they stated, outlining safeguards for customers considering various financial options.
This shell of events shuttered Melbourne’s landscape further with Bankwest closing its only branch in the city, leaving personal consultations out of reach, and forcing reliance on remote communication lines.
Reviewing other analysis such as the report by Jeremy Piper in NCA NewsWire, and based on insights in Sarah Sharples' expose in News.com.au, customers like Brian are testing the industry’s harmony with customer welfare policies during economic volatility.
Brian's case serves as a reminder of the ripple effects of financial behaviors and policies on everyday lives, underscoring the persistent struggle for transparency and fair treatment in banking.
Published:Saturday, 26th Oct 2024 Source: Paige Estritori
Please Note: If this information affects you, seek advice from a licensed professional.
The Australian Prudential Regulation Authority (APRA) has announced a significant policy change aimed at mitigating emerging risks in the housing market. Effective February 2026, APRA will impose a cap on high debt-to-income (DTI) home loans, limiting banks to issuing no more than 20% of new home loans with DTI ratios of six times or higher. This measure applies to both owner-occupier and investor loans, excluding new housing developments. - read more
The Commonwealth Bank of Australia (CBA), the nation's largest lender, has recently voiced concerns regarding the escalating demand for home loans, suggesting that this surge may be contributing to unsustainable property price increases. CEO Matt Comyn highlighted that while the bank benefits from the current housing credit boom, a more moderate growth rate would better support long-term financial stability and housing affordability. - read more
In November 2025, Australia's housing market experienced a 1% month-on-month increase in home prices, bringing the national median value to A$888,941. This follows a 1.1% rise in October, indicating a persistent upward trend in property values. The growth was particularly pronounced in mid-sized state capitals, with Perth leading at a 2.4% increase. Sydney and Melbourne saw more modest gains of 0.5% and 0.3%, respectively. - read more
Australia's residential property market is on the brink of reaching a historic valuation of $12 trillion, marking a significant milestone in the nation's real estate sector. Recent data from the Australian Bureau of Statistics (ABS) indicates that the total value of Australia's 11.41 million homes increased by 2.7% in the September quarter, adding $317 billion to the market's worth. This surge brings the average price of residential dwellings to $1,045,400, reflecting the robust growth in property values across the country. - read more
In the third quarter of 2025, Australian property buyers borrowed an unprecedented $98 billion, marking a significant surge in housing finance. This substantial increase, primarily driven by investors, has raised concerns among economists about potential regulatory interventions to curb the rapid growth. - read more
Buying a home is one of the most significant financial commitments you will make in your lifetime. Without a solid savings plan, you may find it challenging to gather the necessary funds for a home deposit. This can delay your home-buying journey and add unnecessary stress to an already high-stakes process. - read more
Welcome first-time home buyers! Embarking on the journey to purchase your first home can be both exciting and overwhelming. One of the crucial steps in this process is understanding and obtaining home loan pre-approval. - read more
Welcome to our comprehensive guide on home loan refinancing. Whether you're a first-time homeowner or a seasoned property investor, understanding the ins and outs of refinancing can save you a significant amount of money and anxiety. - read more
Welcome to our comprehensive guide on navigating the complexities of investment property financing. In Australia, property investment has long been regarded as a favoured strategy for wealth creation and financial security. However, this path comes with its unique set of challenges and risks that must be carefully managed to ensure a successful investment journey. - read more
Buying your first home can be one of the most thrilling experiences of your life. The excitement of searching for the perfect place, imagining yourself in different spaces, and the opportunity to create a home you can truly call your own can be incredibly rewarding. - read more
Need Help Finding a Home Loan?
Get your free home loan eligibility assessment and compare offers tailored
specifically to your circumstances.
All finance quotes are provided free (via our secure server) and without
obligation. We respect your
privacy.
"Mastering Home Loans: Navigating the Australian Mortgage Market"
