CBILS & BBL Loans Same Time

dannyboy1717

Hi all new user here. I took a BBLS back in April for the full £50k which was the easiest thing Ive ever done. 

We have since applied for a CBILS loan and been accepted for a larger sum, I was told, I couldnt have both at the same time but it seems nobody is enforcing this. The company who provided the CBILS said you should pay the BBLS back but 'we cant enforce it'. So my question is, who can enforce this or who even knows you have both? I dont want the commitment of both really, but I would prefer not to pay back the BBLS right away as I could use the money for stock and actually do some good with it. I am waiting for my new CBILS loan to be transferred (will be tomorrow or next day) but where/who is going to know or enforce me to pay back the BBLS? Or when they say it has to be paid back, they are just saying this to cover themselves as responsible lenders? The company can afford both I would think so perhaps with the new CBILS loan, the underwriters take this into account - but they have to tell you to pay it back (even though nobody can enforce this?). My accountant doesnt seem to know and the lender for the CBILS ( a very well known lender) couldnt give me an answer either, and it was almost as though they didnt want me to ask the question.....! Do the Government or my bank know and I'll receive a letter requesting it to be paid back?

Jeremy535897

Firstly, wait till you have the CBIL in the bank before doing anything. Is the BBL with a different bank?
You can roll a BBL into a CBIL. See:
https://www.napthens.co.uk/coronavirus-covid-19-in-the-uk/coronavirus-covid-19-employers-2/coronavirus-business-support/coronavirus-bbl/

dannyboy1717

Jeremy535897 said:

Firstly, wait till you have the CBIL in the bank before doing anything. Is the BBL with a different bank?
You can roll a BBL into a CBIL. See:

Different banks - BBLS from highst bank and the CBILS from one of the recommended partners. Haven’t got the CBILS yet but it’s expected today. I’m not wanting to pay the BBL back immediately if I don’t have to, as it seems nobody can enforce or even know you’ve got both apparently - just wondering what people’s thoughts were on this or if anyone else is in same boat.

Jeremy535897

The link I sent gives you the option of rolling the BBL into the CBIL, or cancelling the CBIL. I doubt anyone will have any experience of what happens if you have both at once. If both banks are aware, and the terms and conditions of each don't provide the answer, maybe they will let you keep both, but I would be surprised, as I suspect that one or both of the government guarantees will be invalid.