How quickly can businesses get the money?
It will depend on the individual business’ circumstance and how much funding they require. This is a new scheme and a number of checks need to be implemented to satisfy the scheme’s eligibility criteria. We're working hard to check applications and get funding to people, while looking at a number of ways we can introduce additional technology to help speed up the process.
What do I do if my CBILS application is unsuccessful?
If your application isn't successful, we have a range of other flexible borrowing solutions that may help.
Taking out a new loan
If you need £50,000 or less, please take a look at the new Bounce Back Loan scheme announced by the government on 27 April. The scheme offers loans of £2,000 to £50,000 for UK businesses that have been affected by coronavirus.
If you already have a loan with us
If you originally borrowed less than £25,000, you might be eligible for a three-month repayment holiday. If we approve a payment holiday application
- You won’t need to make a payment on your next three monthly payment dates
- We’ll extend the term of your loan by three months, and add your three deferred payments to the end of your term
- We’ll charge interest as normal on your loan during this time, at the rate stated in your loan agreement – you’ll need to pay any interest you’ve accrued by the end of your extended term
- The total amount you’ll have to repay will be more with a repayment holiday than without one. You can pay the accrued interest back whenever you like – you don’t have to wait until the end of your loan
- We’ll continue to give information about your account to credit reference agencies
- The repayment holiday is subject to eligibility criteria, terms and conditions. All other terms and conditions of your loan will stay the same
If you originally borrowed more than £25,000, you might be eligible for a capital repayment holiday of up to 12 months. We can usually agree that within 48 hours after you apply if
- Your loan term stays the same (which means your repayments would increase after the holiday)
- You’ve been a Barclays client for at least a year
- You’re not in the commercial property sector
- Alternatively, you can refinance your loan to extend the term and reduce the payments, with the option to include a repayment holiday.
To find out more or apply, please fill in this form and we’ll call you. If you have a payment due in the next ten days, your holiday will start from the month after you apply.
There are also a number of government support measures for businesses, such as grants, that you could be eligible for – find out more about these at gov.uk. You can learn more about the government’s finance options, and see if there’s a provider who could give the finance you need.
You can also appeal against our lending decision.
Do I need to give security for a CBILS loan?
Security may be required, subject to application. We will not take personal guarantees as security for any CBILS loans. The borrower’s primary residential property cannot be taken as security under the scheme.
What kind of interest rates will businesses need to pay?
If your business is eligible for a ‘Business Interruption Payment’, then the UK Government will cover the first 12 months interest applicable to your loan together with certain fees, including the arrangement fee. The ‘Business Interruption Payment’ is provided by the UK Government to support eligible customers to help businesses manage in these challenging circumstances. After the initial 12 months, the interest rate on your loan that has been agreed and communicated to you at the outset will start to apply.
Can I refinance a loan into CBILS?
Yes, under certain restricted circumstances. If you have been severely impacted by COVID-19 and your current loan provides inadequate working capital, you may be able to refinance into the scheme. You will have to go through the normal application process, stating you wish to refinance, and meet the full eligibility criteria. Please speak to your Barclays Business Manager or call our coronavirus helpline for more information. Full details are available on our dedicated CBILS product page.
What is the impact if my business employs over 250 people?
If this is the case, the way we pay the British Business Bank (BBB) is different to the process for smaller businesses. As a result, we'll need visibility and we'll ask you to self-certify that you employ over 250 people. We're still reviewing whether this includes seasonal workers. Please check back as we'll regularly update our site.