Extension of Bounce Back Loan Scheme (BBLS): The Government has now extended the closing date for new BBLS applications until 31 March 2021.
Top ups for existing Bounce Back Loan (BBL) borrowers: If your business has already opened a Bounce Back Loan with us and didn’t borrow the full amount available (either £50,000 or 25% of the annual turnover as stated in the original application, whichever is lower), your business may be eligible to top up its existing Bounce Back Loan. However the rules of BBLS state that under no circumstances can you amend or increase the turnover that you stated on your original application. Take a look at our ‘Top up my existing Bounce Bank Loan’ section for more information.
Please be aware that this is a government backed guarantee scheme. However, your business will always remain responsible for repayment of the whole (ie.100%) of the debt.
What you will get
- Straightforward application and quick access to funds
- Loan amount from £2,000 up to £50,000 or 25% of your annual turnover, whichever is lower
- Government covers the first 12 months of interest (this means you pay 0% for the first year)
- No repayments required for the first 12 months
- Interest rate of 2.5% p.a. fixed for the full length of the loan
- 6-year loan with no early repayment charges
-
Existing Bounce Back Loan customers may be eligible to apply for a BBLS Top-up.
Eligibility
To be eligible to be considered your business must fulfil the following criteria:
- You have a Santander current account opened before March 01 2020
- You’re a UK-based business that has been impacted by Covid-19
- You haven’t already applied for or received a BBL for a group business
- You don’t already have a CBILS, CLBILS or CCFF unless you’re refinancing it in full by taking this BBLS. We’ll contact you afterwards if this applies to you
- You are not a Relevant Financial Institution (RFI), nor do you intend to become an RFI (as defined within Article 2 of the Financial Services and Markets Act 2000 (Excluded Activities and Prohibitions Order) 2014)
- Full eligibility details are included within the online application process
Things to remember:
- The maximum loan size under BBLS is £50,000.
- Under the rules of BBLS, personal guarantees to support a company’s BBLS loan obligations (if you are applying on behalf of a company) will not be taken by us.
How much will it cost?
Repayment example
| Representative 2.5% APR | Term 72 months |
| Loan amount £50,000 | First monthly repayment £939.49 |
| Interest rate 2.5% (fixed) p.a. | Total amount repayable £54,431.60 |
You will not need to make any payments for the first 12 months, however, you can repay the loan at any time.
The table below shows illustrative costs for a Bounce Back Loan.
| Loan amount | £5000 | £10,000 | £15,000 | £20,000 | £30,000 | £40,000 | £50,000 |
|---|---|---|---|---|---|---|---|
| First monthly payment (at month 13) | £93.95 | £187.90 | £281.85 | £375.80 | £563.70 | £751.60 | £939.49 |
| Total amount repayable over the term of the loan | £5,443.18 | £10,886.32 | £16,329.50 | £21,772.71 | £32,658.98 | £43,545.27 | £54,431.60 |
Your monthly repayments will reduce over time as you repay the capital balance.
The total amount repayable over the term of the loan includes the Business Interruption Payment.
A Business Interruption Payment (BIP) is the amount the government pays in the first year to cover your interest.
| Loan amount | £5000 | £10,000 | £15,000 | £20,000 | £30,000 | £40,000 | £50,000 |
|---|---|---|---|---|---|---|---|
| Business Interruption Payment (BIP | £125.01 | £249.99 | £375.00 | £500.05 | £749.99 | £999.98 | £1,249.97 |
Fees
There are no arrangement fees for setting up a Bounce Back Loan.
Early repayment charges don’t apply.
What you'll need to apply
You will need the following information to apply for a loan from the Bounce Back Loan Scheme (BBLS):
- Company name, address and company registration number (where applicable)
- Turnover for 2019 (estimates can be used)
- Santander business current account and sort code
Please enter the information as it appears on your statements. It’s important you do this otherwise we may not be able to process your application
If you’re applying for a Bounce Back Loan but only have a personal current account which you use for your business, you’ll need to provide us a copy of your 2018/19 self-assessment tax return.
Full details will be provided as part of the application process.
Apply for a Bounce Back Loan
Everything you need to know before you apply
The scheme offers businesses a government-backed lending facility if they meet the Bounce Back Loan Scheme eligibility criteria.
You can only apply for one Bounce Back Loan per group. Before beginning your application, please refer to the Business Group Guidance Sheet.
You may wish to keep a copy of the Business in Difficulty Guidance Questionnaire to hand if you want to check if your business is in difficulty. Please note this does not form part of the application process.
Important Information including Key Facts
We are expected to do the following in respect of your BBLS Loan (Loan):
- Monitor repayments you make during the life of the Loan and take appropriate action to help you where there are signs of actual or possible repayment difficulties
- Make appropriate adjustments if we identify you as vulnerable or we have reason to believe you may be vulnerable in order to ensure your circumstances are accommodated throughout the duration of the Loan
- If you default under the BBLS Loan, give you a reasonable period to remedy any breach and will not treat the same as an event of default if it is remedied by you within this period.
- Not require you to pay any fees of any description (including on default) or any default interest except we may continue to charge interest at 2.5% per annum if the Loan is not repaid when due until such time as it is repaid.
- Pay due regard to your information needs and provide information in a way which is clear, fair and not misleading.
We are to provide you with the following information in relation to your Loan during its term:
- Timely, clear and adequate information that enables you to understand that, where you fail to make payments under your Loan with us, the amount missed, what can be done to remedy, in what timescales, and the impact (if any) on future repayments;
- Information about any proposed action we may take in respect of the Loan (upon any default by you), prior to taking such action;
- Regular information about the Loan (on at least an annual basis) in the form of a statement setting out details of the payment transactions in respect of your Loan during the period since such information was provided (or the date the Loan was advanced to you, if no such information has been provided previously) and amounts outstanding under your Loan; and
- Information on options available to you for help and assistance, including sources of free independent advice.
Please note the above is for information purposes only and will not be deemed incorporated into the Loan (nor provide you with any additional rights under it).
Important information is included within documents which can be accessed via the links below. You should read and consider these documents before proceeding with your application. You should print or save copies of these documents for further reference and for your records. If you have any questions regarding these or require further information, please contact us.
All lending is subject to status, availability, our lending criteria and the BBLS eligibility criteria.
The right to decline any application is reserved. BBLS Loans are not subject to the usual consumer protections that apply to business lending and as such you will not have the benefit of the protection and remedies that would otherwise be available to you under the Financial Services and Markets Act 2000 or the Consumer Credit Act 1974.
It’s important that you read and understand the information in the Bounce Back Loans Key Facts Document and Bounce Back Loan Scheme Data Protection Statement.
By clicking one of the buttons below, you agree to the data protection declaration contained in the Bounce Back Loan Scheme Data Protection Statement and confirm that you want to proceed with a Bounce Back Loan Scheme application or a BBLS Top-up to your existing Bounce Back Loan.
