HSBC UK have launched the Bounce Back Loans Scheme to support small and medium-sized businesses who have been affected by coronavirus.
Amanda Murphy, Head of Commercial Banking, HSBC UK said, “HSBC UK is committed to supporting UK businesses during these challenging times and have already provided customers with over £2.3bn in support to help them through this outbreak.
“We have been working at pace to deliver the government backed schemes to ensure businesses are getting the funding they need. The Bounce Back Loan Scheme will ensure small business have access to vital financial support and combined with our own initiatives will provide reassurance to businesses over the coming weeks and months.”
Backed by an 100% government guarantee, HSBC UK will provide lending of between £2,000 and £50,000 [up to a maximum of 25% annual turnover] and any business can apply online here.
The government covers first 12 months of interest and fees and no repayments are required for the first 12 months.
There will be an interest rate of 2.5% which is fixed for the life of the loan, there will be a six year loan with no early repayment charges.
For HSBC UK customers funds will be available within days and for new customers, we need to do additional checks which will take longer, HSBC said.
HSBC said, “We’ll be working hard to ensure quick access for our customers. New customers to HSBC UK will need to undergo additional checks, therefore we advise all businesses seeking help quickly to go through their own bank first.”
HSBC UK is working closely with the government and UK Finance to identify emerging issues and make sure customers and businesses have the advice and support they need.
For tips and advice for businesses around planning for any possible disruption, click here.
The new measures build upon the package of support that HSBC UK has already announced for business customers.