The Australian Banking Association on Wednesday said customers who could resume repaying their loans at the end of their six-month deferral periods would be required to do so,

"Customers with reduced incomes and ongoing financial difficulty due to COVID-19 will be contacted as they approach the end of their deferral period, to ensure that wherever possible they can return to repayments through a restructure or variation to their loan," the ABA said..

"If these arrangements are not in place at the end of a six-month deferral, customers will be eligible for an extension of their deferral for up to four months.

"Customers will be expected to work with their bank during this extra time to find the best solution for them.

"Those who are able to repay their loans will resume doing so, which is in the best interests of those customers and allows support to be directed to those who need it."

Bendigo and Adelaide Bank managing director Marnie Baker said taking a personalised approach to finding long-term solutions would ensure better outcomes for customers.

"Ultimately, we want to support customers to make full, regular loan repayments and it's in their best interests to do so as soon as possible so they can strengthen their financial wellbeing," Ms Baker said.

"We are currently undertaking a check-in process with consumer customers that have accessed a repayment arrangement due to COVID-19 to assess what further support they need and to better understand their current circumstances given the impact of the pandemic.

"We know that a tailored approach with each customer achieves more meaningful results for their specific circumstances.

"It's a really difficult time for many of our customers and we want to help those who continue to do it tough to minimise the impact that comes with unexpected events such as COVID-19 and the difficulty of financial hardship."