Bounce Back Loan Changes - 'Pay as You Grow'
Updated: Feb 18
The Chancellor has announced new measures to give businesses some extra breathing space.
Over 1.4 million businesses took out a bounce back loan in 2020 and the date to start repaying them is fast approaching.
Under the Governments 'Pay as You Grow' scheme, those with a loan now have options:
Extend the length of the loan from six years to ten.
Make interest only payments for six months, wit the option to use this up to three times throughout the loan
Pause repayments entirely for up to six months.
The Chancellor said:
'Businesses are continuing to feel the impact of extended disruption from Covid-19, and we're determined to give them the backing and confidence they need to get through the pandemic.
'That's why we're giving Bounce Back Loan Borrowers breathing space to get back on their feet, through greater flexibility and time to repay their loans on their terms.'