BBL repayment extension

gary70

I have a BBL with Santander & repayments are due to start in a couple of months does anyone know the procedure for delaying the repayment start date?? Thanks in advance. 

MattMattMattUK

gary70 said:

I have a BBL with Santander & repayments are due to start in a couple of months does anyone know the procedure for delaying the repayment start date?? Thanks in advance. 

Currently there is not a procedure. The banks are working on the Pay as You Grow process which means you can pay only the interest for the six months three times in the duration of the loan once the repayments are due to start, as well as spread repayments over ten years rather than the original six. 

There is planned to be an initial allowance of delaying the repayments for six months when they are due to start, but no banks have announced their procedures yet and it has not been clarified what happens to the interest and how that is applied. 

https://www.gov.uk/government/news/chancellor-eases-burden-on-more-than-a-million-businesses-through-pay-as-you-grow-flexible-repayment-options

newdriver101

I believe the bank will send you a letter a month or 2 before your repayments are due with options available and you can pick the one you want.  I believe the options are: (1) pay over 10 years; (2) pay interest only for 6 months; or (3) freeze payments for 6 months... 

Percy1983

My bank (Lloyds) have told me about it and list all the options when I log in. It says I will be able to pick before payments start.