Mr Fluffy contamination: Banks offering support to ACT asbestos victims
Five banks have offered support for Canberrans dealing with Mr Fluffy asbestos contamination in their homes, including flexible loan arrangements, fee waivers and a range of other measures.
It comes in response to a plea from ACT Chief Minister Katy Gallagher, who approached the banks last month asking for a "compassionate and responsive approach" for homeowners facing the prospect of refinancing as part of the deadly loose-fill asbestos remediation program.
So far Members Equity Bank, Beyond Bank, National Australia Bank, Commonwealth Bank and Teachers Mutual Bank have offered support.
The banks' approaches differ and homeowners have been advised to discuss the options available with their individual banks.
Ms Gallagher said all banks were putting in place Mr Fluffy relationship managers to offer special support.
"Some of these banks have agreed to put in place hardship and relief support similar to that accessed at times of natural disasters," she said.
"Others will help homeowners' service two loans rather than take on bridging finance when purchasing a new home."
Other banks asked to get on board
The ACT Government's asbestos response taskforce will send out a formal letter to homeowners next week, outlining buyback conditions and their eligibility, that can be presented to their bank.
"The Asbestos Response Taskforce is continuing its discussions with other banks on ways in which they can assist and I look forward to advising of more financial institutions coming on board to support the community," Ms Gallagher said.
"I encourage other banks to get onboard and do their part to support these homeowners at this difficult time."
The Chief Minister said so far more than 490 homeowners have opted in to the buyback and demolition scheme and home valuations were now underway.
"More than 50 relocation assistance grants have been paid as homeowners permanently relocate and to date $2.4 million has been provided to support homeowners through assistance as well as asbestos assessments of their houses," she said.
Bill to help finance buyback scheme to be introduced on Tuesday
The ACT Government plans to buy and then demolish about 1,000 houses contaminated with Mr Fluffy asbestos insulation, using a scheme that will be underpinned with a $1 billion loan from the Federal Government.
Tomorrow a bill will be introduced to the ACT Legislative Assembly to cover the territory's contribution.
"That will be an appropriation bill in the order of $750 million to finance the buyback scheme," Ms Gallagher said.
The final cost to the government is expected to be about $300 million, after it recoups money from the sale of cleared blocks purchased from Mr Fluffy owners.
