BC Bank Becomes The First In Canada To Scrap Interest On Credit Cards For 6 Months
This applies to loan deferrals too!
It can be tough to make bill payments, especially during the pandemic. Thankfully, local banks are helping out. Vancity bank is scrapping credit card interest for up to six months if COVID-19 has cost you income.
They're also temporarily pressing pause on payments for the same time.
Vancity told Narcity that customers who have lost their jobs or their income over the pandemic should give them a call — they might just get up to six months of payment deferrals, as well as interest-free loans and credit cards.
The deferrals won't have compound interest attached, they said. Any interest gathered over the freeze will be based entirely on the original amount owed before the deferral.
"Having access to credit for things like online grocery buying is vital for many families," said Vancity.
According to their release, around 4,000 people have called in already and almost all of them were approved.
To prepare for a spike in calls, the bank is putting more staff on their phone lines. In order to request a payment deferral or a cut in credit card interest rates, they're taking calls 24/7.
If you're anxious about visiting the bank or running tight on cash, you'll be happy to know that on Wednesday, March 18, their bank also got rid of a bunch of charges for card carriers like ATM and Interac e-Transfer fees.
Canada's six major banks rolled out credit card interest reductions that — while not 0% — were still surely appreciated.
The Bank of Montreal, TD Bank, Royal Bank, National Bank of Canada, and CIBC all announced some form of help, from lowering credit card interest rates to 10.99% for BMO and CIBC to cutting interest rates by 50% for TD Bank.
The government also pitched in cash for those in need. Earlier, B.C. announced they're giving$1,000 each, tax-free.
Meanwhile, the Canada Emergency Response Benefit has reportedlyissuing cash to some individuals.
Dealing with the pandemic is already hard enough. At least now, some people won't have to worry about credit card interest on top of it all!