Lloyds BBL credit reference

alboy12

Big thumbs upto Lloyd's Bank. 
I've been trying for a BBL through Starling, Santander and both declined. 
As I'm sole trader but I only have a current acc with Halifax I managed to open a business acc at Lloyds. All set up and BBL in the acc in half a day. I was beginning to lose hope. 
I can get things back on track now. 
Probably a dumb question but I'll Sk anyway, because the loans are government backed and they say no credit checks done, is, this debt registered as a debt on a credit agency sites? 

Grumpy_chap

For a sole trader, given that the BBLS is a liability, it would be absurd if that was not visible to other lenders in some way.

Sibbers123

Yes. You will always be liable to repay the loan. The fact the it is government guaranteed means the lender (Lloyd’s) can recover from the government if you default. BUT if this occurs, the government will then come after you for repayment. The borrower remains liable. 

It’s a loan, it will have to be repaid at some point unless you go bankrupt.

Percy1983

its not showing on my credit file, part of the agreement did say my credit file would be affected if I don't pay so it may appear if I don't pay.

As above the government will come after you buy won't go for your primary residence or vehicle.

dunstonh

Sibbers123 said:

Yes. You will always be liable to repay the loan. The fact the it is government guaranteed means the lender (Lloyd’s) can recover from the government if you default. BUT if this occurs, the government will then come after you for repayment. The borrower remains liable. 

It’s a loan, it will have to be repaid at some point unless you go bankrupt.

My understanding from reading elsewhere is that " banks bear the responsibility of pursuing delinquent borrowers. ".    It is only if that fails that the Government covers the shortfall.

Sibbers123

dunstonh said:

Sibbers123 said:

Yes. You will always be liable to repay the loan. The fact the it is government guaranteed means the lender (Lloyd’s) can recover from the government if you default. BUT if this occurs, the government will then come after you for repayment. The borrower remains liable. 

It’s a loan, it will have to be repaid at some point unless you go bankrupt.

My understanding from reading elsewhere is that " banks bear the responsibility of pursuing delinquent borrowers. ".    It is only if that fails that the Government covers the shortfall.

But the borrow will remain 100% liable, even after the government have paid the bank (unless the borrow goes bankrupt/liquidated).