Bounce back loans

Exfarmer

Member
Location
Bury St Edmunds
How many used the facility? Apparently £47 billion was lent to 1.5 million business’s despite warnings that it was open to fraud.
17 billion is the estimate of how much will never be repaid thanks to borrowers defaulting.
3.5 -5 billion is believed to have been claimed fraudulently by organised gangs
The government is investing £30 million to try and reclaim some of this money, they are optimistic of getting £6million back
Was it such a goodinvestment?
 

neilo

Member
Mixed Farmer
Location
Montgomeryshire
There was an item on the News this morning where the police had caught a gang that had been supplying Cocaine in the Midlands somewhere. They had been running it out of 2 portacabins masquerading as a legitimate business, and had received £20k in a Bounce Back Loan.

Quite enterprising I suppose, but I think they might have trouble reclaiming that one.
 

Kidds

Member
Horticulture
Paid all mine back, the hardest part was trying to find out how.
I have some cash now so no point paying interest on a loan and not being able to find interest on an investment.
Useful at the time because all my income had stopped but glad it is out of the way again.
As for being open to fraud, when I applied I just made up any old figures for them to base the amount of loan on and they never questioned it at all, just sent the money.
 

Spud

Member
Arable Farmer
Location
YO62
How many used the facility? Apparently £47 billion was lent to 1.5 million business’s despite warnings that it was open to fraud.
17 billion is the estimate of how much will never be repaid thanks to borrowers defaulting.
3.5 -5 billion is believed to have been claimed fraudulently by organised gangs
The government is investing £30 million to try and reclaim some of this money, they are optimistic of getting £6million back
Was it such a goodinvestment?
Only a civil servant would spend 30 mil to get 6mil back. Bonkers.
For the record, I'm paying mine back (over 5yrs)
 
Last edited:

bobk

Member
Location
stafford
How many used the facility? Apparently £47 billion was lent to 1.5 million business’s despite warnings that it was open to fraud.
17 billion is the estimate of how much will never be repaid thanks to borrowers defaulting.
3.5 -5 billion is believed to have been claimed fraudulently by organised gangs
The government is investing £30 million to try and reclaim some of this money, they are optimistic of getting £6million back
Was it such a goodinvestment?
They'll be found out when the tax return comes in
 

steveR

Member
Mixed Farmer
Paid all mine back, the hardest part was trying to find out how.
I have some cash now so no point paying interest on a loan and not being able to find interest on an investment.
Useful at the time because all my income had stopped but glad it is out of the way again.
As for being open to fraud, when I applied I just made up any old figures for them to base the amount of loan on and they never questioned it at all, just sent the money.
I was chatting with my accountant yesterday on this very topic. I have asked Barclays why I couldn't simply transfer funds to the BBL account to pay of 50%.

No response....
 

Kidds

Member
Horticulture
I was chatting with my accountant yesterday on this very topic. I have asked Barclays why I couldn't simply transfer funds to the BBL account to pay of 50%.

No response....
I am pretty confident you can. Mine was with Barclays too and on your online banking you will see it come up as a different account within your business account, it has a sort code and account number with it that is different to your main account, simply transfer funds to that account and they will recalculate the repayments.
When you do pay into that account number it says unable to confirm the account but continue anyway (Barclays themselves told me this when I contacted them to repay mine). It takes several days to register during which you think you just got scammed but that is how it worked for me.
Ring Barclays and ask them, that again is another challenge finding the number but I think it may be on the app if you have that on your phone.
 

neilo

Member
Mixed Farmer
Location
Montgomeryshire
I was chatting with my accountant yesterday on this very topic. I have asked Barclays why I couldn't simply transfer funds to the BBL account to pay of 50%.

No response....

On the HSBC online banking site you can just click on 'manage my BBL', which gives you several options. I assumed that was the case elsewhere too.

I've delayed paying mine back for 6 months, as I couldn't see the point of using a higher interest rate OD to do so. Now there are a few more sales in, I will start nibbling at it.
At 2.5% it's still very cheap borrowing, so I'm not desperate to pay it off just yet. Would be different if I was likely to remain in the black by more than the value of the BBL, but that's not likely year round.
 
It'll have a Sort Code and Account number... Over Pay as you like.

From Santander,

Santbb.JPG
 

Dragon

Member
Location
Cornwall
What is the implication of not paying back a bbl.
An aquatance has got them selves in a muddle. Can you close a sole trader business, clear debtors with only the bbl not paid, with no further funds available to pay bbl? No assets etc
Are creditors likely to press for insolvency/bankruptcy?
Obviously the bbl is government backed, but the lender will have investigate non repayment.
 

Make Tax Digital Software Poll

  • Quickbooks

    Votes: 27 18.1%
  • Sage

    Votes: 13 8.7%
  • Xero

    Votes: 65 43.6%
  • Other

    Votes: 44 29.5%

Five nature-recovery projects spanning 100,000ha launched

  • 100
  • 1
Written by Michelle Martin from Agriland

Image-source-Savills-field-640x360.jpg
Five nature-recovery projects spanning nearly 100,000ha across the West Midlands, Cambridgeshire, the Peak District, Norfolk and Somerset have been announced by the government and Natural England today (Thursday, May 26).

This is the equivalent in size to all 219 current National Reserves.

The aim of the projects is to deliver nature recovery at a landscape scale, helping to tackle biodiversity loss, climate change and improve public health and well-being.

All five projects will make a significant contribution towards the national delivery of the international commitment to protect at least 30% of land and...
Top