The savings ethic is solid and household finances tending to be better than most are aware. At least, that’s the way Heritage Bank sees things.

“We have seen a keenness to repay debt,” Peter Lock, CEO of Heritage Bank wrote in a reflection on the crisis yesterday.

“Although we have had many of our members approach us for assistance with their mortgages – we have been surprised over how many weren’t aware of the strength of their financial position,” Lock said.

“Low interest rate environments have helped many members get ahead with their home loan repayments and many weren’t aware that they had additional capacities that enabled them to weather the current storm. That’s a positive.”

Heritage is also “seeing a significant uptake of previously reluctant members transferring to digital banking”.

AFG, the mortgage broking group, chipped in insights in a conference presentation yesterday.

There’s been a “significant shift in customer mix” with refinancers increasing, and a decrease in the numbers of First Home Buyers and Upgraders, AFG said.

There is also “a large increase in the percentage of lodgements choosing a fixed interest rate”.

Total residential lodgements for AFG over April 2020 were A$5.2 billion, up 34 per cent on April 2019 with growth in all states.

The Australian Bureau of Statistics on Monday released findings that show one in three people's households are worse off financially, thanks to the Covid crisis.

The ABS said one in 10 households had drawn down on savings, while three per cent have reduced home loan repayments.