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ME Lead 1
Want to change back your redraw limit?
Want to change back your redraw limit?
Dedicated redraw change back hotline 1300 308 357
To request to change back your redraw, discuss the impacts of redrawing on your repayments or other options, please call ME on our dedicated hotline on 1300 308 357 Monday to Friday 8am-8pm, or Saturday 9am-5pm (AEST/AEDT)
ME Lead 1
We're sorry.
We're sorry.
In April 2020, we made a change to the redraw feature on one of our older home loan products and this has impacted some customers.
While this change was made with the best of intentions, we acknowledge that we should have communicated with our customers better and earlier.
Because of this we have compiled a list of commonly asked questions to help explain the situation more clearly and give more information to our customers who have been directly affected by the redraw changes.
A message to customers from our CEO Jamie McPhee
ME Accordian Lead
ME Accordian
What happened?
In April, the bank made changes to some older home loan products which resulted in around 4 per cent of customers having their redraw limit reduced. But in response to customer feedback, ME is changing back redraw limits for any customer who requests it. If you've been impacted, you would have received a letter in the mail.
ME Accordian
Has ME apologised?
Yes. We are deeply sorry. We were trying to do the right thing but we went about it the wrong way. Our priority now is to help, support and service our customers. We recognise that we need to do better. We can and we will.
ME Accordian
How are customers being contacted about the redraw change back?
We have contacted all impacted customers by email, secure message, letter and phone calls to let them know they can request a redraw change back.
ME Accordian
How easy is it to request my redraw be changed backed?
You can request to change back your redraw by contacting us on our hotline 1300 308 357.
ME Accordian
Why isn’t the redraw change back automatic?
One of the key learnings for ME is the importance of personalised responses and consulting our customers. We don't want to make the mistake of one response for everyone again. So we’ve contacted all impacted customers directly about this so they can decide what's best for them.
ME Accordian
Why did you make the change in the first place?
Redraw limits were adjusted for the sole reason of protecting some customers from the risk of redrawing too much money, which could have inadvertently put them behind their home loan repayment schedule. But we messed up in the way we went about this change. We should have worked harder to explain a complex product and process simply so that redraw limits were better understood.
ME Accordian
Will my redraw be changed again in the future?
We promise to get in touch with you first if we ever need to discuss redraws again, to protect customers from financial hardship.
ME Accordian
Did you remove money from customers’ accounts?
At no point did the bank ‘remove funds from customer accounts’ or ‘transfer’ any customer funds. We made the decision to adjust the redraw of customers after analysis showed a group of customers on this older home loan product were at risk of going above their scheduled home loan balance, if they were to activate the full redraw facility. If these customers had redrawn the full available amount, this would leave them open to paying additional interest on their home loan; being at risk of not meeting their scheduled repayments; and hardship at the end of the loan term.