Commonwealth Bank (CBA) is offering a zero-interest business loan and one simple fee paid over the life of the loan, designed to bring some Christmas cheer to small businesses.

The Business Boost Loan provides fast access to cash as well as certainty around repayments and an upfront three month repayment holiday to provide extra support in the lead up to Christmas.   

The two-year unsecured loan is available to eligible existing CBA customers via the bank’s self-service digital lending platform, BizExpress Online. Customers can complete the application online, receive a real-time credit decision and fast access to funds. A one-off simple fee is added to the total loan amount and repaid over the life of the loan.

CBA group executive business banking, Mike Vacy-Lyle said eligible business customers may be able to borrow up to $100,000 through the new loan offering.

“Business want simplicity and certainty during what has been a challenging period. We’ve worked to deliver a unique offering that will provide just that, with no hidden costs, no variable rates, and in fact, no interest rate at all,” Vacy Lyle said.

“We’re giving businesses fast access to cash to help boost their reopening plans. The various restrictions associated with Covid-19 meant many small businesses struggled to generate much revenue over the past few months, and these businesses now need to be able to re-stock and re-hire. Meanwhile, other businesses are looking at expanding or capitalising on pent up customer demand.”

As part of the SME Recovery Loan Scheme, the Business Boost Loan is designed to support business customers who have been adversely economically affected by the pandemic and who want to borrow a set amount over a two-year loan term.