Business arrears were 2.49 per cent in June, while credit card and personal loan arrears fell in the year to June. Arrears attributed to natural disasters in Victoria and Queensland were mostly confined to Bendigo and Adelaide Bank's Rural Bank subsidiary. Bendigo and Adelaide Bank's tier one capital levels reduced from 8.55 per cent to 7.85 per cent in the year to June, primarily due to the purchase of the remaining 40 per cent stake in Rural Bank, it said.