BOUNCE BACK LOAN BLUES

PoshSteve

We applied for a Bounce Back loan back in May through our bank TSB and were rejected as we are trading as a non-for-profit organisation. We were contacted by the bank's relationship manager a few weeks later who informed me that they were looking at the possibility of introducing a pilot scheme which would be able to help organisations such as ourselves who had been rejected previously. After exchanging emails and telephone calls for over two months we then heard nothing. I contacted the bank asking for an update only to be told that the relationship manager had been moved to another role and that they would not be going ahead with the pilot scheme. I felt very disappointed that nobody from our bank could be bothered to notify us until I contacted them. The bank also told me that in the current situation they had 'no appetite' to help charities and non-for-profit organisations. The person at the call centre advised me to apply through HSBC as they were accepting applications from non-account holders and also another bank who she couldn't remember the name of were also doing the same. I went to the HSBC website but had to apply for a feeder account first before applying for the loan. I was dismayed to read on the feeder account application they were not accepting applications from businesses who are regulated by the FCA but unfortunately we are. Also none of the other bank lenders would accept our application as we are not account holders or they  had received the maximum number of applications.

Our business has been badly affected by the coronavirus and we might be forced to close as we are unable to get any financial support. If anyone cao offer any guidance it would be greatly appreciated.

Grumpy_chap

The FAQ for small business may assist.  One of the rules is that the business is not a bank, building society, insurance company.  I suspect that HSBC have assessed that as you are regulated by FCA you are in one of these groups and therefore not eligible.

What type of business do you operate?
Are there business premises?
Did you take advantage of the tax deferrals?
Did you take advantage of the furlough scheme?

PoshSteve

Thank you for your reply, it is greatly appreciated.
1. We are a community transport organisation serving the local area of Peterborough
2. Yes we have our premises
3. Yes w are doing that
4. Yes we are using the furlough scheme

Grumpy_chap

Did you benefit from the premises related coronavirus grants?

Why is a community transport scheme regulated by FCA?

PoshSteve

1. No we were not elegible

2. We are a mutual society and registered as a Community Benefit Society (formerly an Industrial Provident Society). We send our end of year accounts to them so we are regulated by them.